Addendum to a real estate purchase agreement conditioning the buyer's obligation to close on obtaining satisfactory mortgage financing within a defined contingency period.
The Financing Contingency Addendum is a ready-to-use real estate template you can send for signature in minutes. It is written for 2 signers (buyer and seller) and, by default, expires 30 days after it is sent if left unsigned. It covers real estate, contingency, financing, mortgage, purchase agreement, addendum. Like every Abundera Sign template it is a convenience draft structured for ESIGN Act and UETA compliance, not a substitute for legal advice. Each signed copy is sealed with PAdES-LTA digital signatures, dual RFC 3161 timestamps, and a tamper-evident evidence package in WORM storage.
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# Financing Contingency Addendum This Financing Contingency Addendum ("Addendum") is entered into as of ___________ and amends and supplements the Real Estate Purchase Agreement dated ___________ ("Purchase Agreement") between ___________ ("Buyer") and ___________ ("Seller") for the real property located at ___________, ___________, ___________, ___________ ("Property"). All capitalized terms not defined herein have the meanings given in the Purchase Agreement. --- ## 1. Financing Contingency This transaction is contingent upon Buyer obtaining a written loan commitment ("Loan Commitment") for a mortgage loan satisfying the following minimum criteria: | Term | Buyer's Requirement | |------|---------------------| | Loan amount | ___________ | | Loan type | ___________ | | Maximum interest rate | ___________% per annum (fixed) | | Minimum loan term | ___________ years | | Maximum points/origination fee | ___________ point(s) | If Buyer selects an adjustable-rate mortgage, the maximum interest rate stated above applies to the initial rate period. Any other material loan terms acceptable to Buyer shall be stated here: ___________ ## 2. Contingency Period Buyer shall have until ___________ ("Financing Deadline") to obtain the Loan Commitment. Time is of the essence as to this deadline. Buyer agrees to: (a) submit a complete loan application to a licensed mortgage lender within ___________ calendar days after the Effective Date of the Purchase Agreement; (b) promptly furnish all documents, information, and authorizations requested by the lender; (c) not take any voluntary action that would materially impair Buyer's creditworthiness or debt-to-income ratio prior to closing; and (d) notify Seller in writing of the status of Buyer's loan application upon request, but no later than two (2) business days before the Financing Deadline. ## 3. Satisfaction and Removal If Buyer obtains a Loan Commitment on or before the Financing Deadline, Buyer shall deliver written notice to Seller ("Contingency Removal Notice") confirming satisfaction of this contingency. Upon delivery of the Contingency Removal Notice, this contingency is deemed waived and removed from the Purchase Agreement, and the transaction shall proceed to closing in accordance with the Purchase Agreement. ## 4. Termination Right