The hot seller’s market in Texas has created confusing situations involving financing and appraisals. To answer your questions about these issues, Texas REALTORS® hosted a webinar with Ron Walker, co-chair of the Texas Real Estate Commission Broker-Lawyer Committee and former general counsel for Texas REALTORS®. He explained how to use the Third Party Financing Addendum and the Addendum Concerning Right to Terminate Due to Lender’s Appraisal.
Note: The print version of this article in the July issue of Texas REALTOR® contained an incorrect example regarding use of Paragraph 2(ii) of the Addendum Concerning Right to Terminate Due to Lender’s Appraisal. This online version has been corrected.
Does the amount in paragraph 4 of third party financing have to be the sales price? Could it be for example $3000 lower than sales price if the buyer is willing to pay the difference? For either VA or FHA? This seems much better to address up front and appears to be how it is written.