Ann Arbor Buyers Must Sign Bank Addendums on Foreclosures

Banks and Foreclosures

If you are a buyer in Ann Arbor and are looking to purchase a foreclosure you will be required to sign the bank addendums if your offer is accepted.

Every bank wants their own Purchase Agreement and or Addendum signed after the offer is accept. ed You can’t blame them they are dealing with foreclosures all over the country. They want consistency in their documents and not hundreds of different purchase agreements from all over the U.S.

Lately we have had a few buyer clients want to modify, edit or change the bank addendums.

This is not going to happen. Anymore than when you buy a home with a Relocation Company and they have their own addendum’s.

When we are selling a foreclosure in Ann Arbor we always encourage (strongly) that the buyers seek the advice of a local attorney. If you are purchasing a foreclosed home, under market value, then please spend the money and get Attorney Review.

Even the local attorneys tell our buyers that the addendum’s must be signed.

If you don’t want to sign the Bank Addendum’s then DON’T LOOK AT FORECLOSURES!

It is really as simple as that.

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4 thoughts on “Ann Arbor Buyers Must Sign Bank Addendums on Foreclosures

  1. Missy,

    I’ve hard buyers try to scoff at these contracts and then they realize real quickly if they want this magical foreclosure they are going to play by the banks rules.

    Those contract packages are huge!

  2. I’ve had buyers try to do the same thing, and while I can sympathize with them, you’ve got to play by the banks rules if you want to play foreclosure ball. As Realtors, we should be mindful of the clauses in those bank addendum’s, though. (for example, check out the Fannie Mae Addendum, it says they charge for every day that the settlement is late, but that doesn’t apply if there is a title issue, in which case Fannie can hold for up to 90 days without providing buyer release!)

  3. True Jonathan, but so far we have not had a penalty for not closing on time imposed. Sometimes it is the buyers lender and if it is a few days late, hasn’t been a penalty.

Thoughts?