Check Your Understanding Answers
- What three options do the parties have on the purchase agreement for when the buyer will receive possession of the property?
Paragraph 9B provides the following options:
- At 6pm (or another specified time) on the date of escrow
- No later than a written in number of days after close of escrow
- At a specific time on a specific date
- What does Paragraph 10A provide the buyer in regards to disclosure cancellation rights?
Buyer has the right to cancel the contract by written notice within 3 days of delivery in person of any disclosure or amended disclosure discussed in paragraph 10A(1) if the disclosure or notice is provided after the purchase agreement is signed.
- List three topics addressed in the Time Periods; Removal of Contingencies; and Cancellation Rights paragraph. (Additional correct answers on page 33.)
- How contingencies and other obligations are performed
- Time periods for delivery of disclosures, conducting inspections, and removal of contingencies
- Cancellation rights from both parties
- Describe the Final Verification of Condition provision.
The provision gives the buyer the right to make a final verification of the property within 5 days (or another specified number) prior to the close of escrow. This is NOT a contingency of the sale, but is to confirm the property has been maintained, repairs have been completed (if agreed to), and seller has fulfilled other obligations under the purchase agreement.
