Understanding the Dates in Your Contract

The home buying process can be daunting, but that's why you hire a realtor like me to help walk you through every step and help you understand some of the complex verbiage that goes along with contracts.

Time of Deadline

Paragraph Reference: 3

Responsible Party: Buyer + Seller

As used in this Contract, the term “day” means the entire day ending at 11:59 p.m., United States

Mountain Time. Except however, if a Time of Day Deadline is specified here. If a time of day is specified here, all Objection Deadlines, Resolution Deadlines, Examination Deadlines and Termination Deadlines will end on the specified deadline date at this time of

day. If Time of Day Deadline is left blank or “N/A” the deadlines will expire at 11:59 p.m., United States Mountain Time.

Alternative Earnest Money Deadline

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Responsible Party: Buyer

This is the last possible date for delivery of earnest money from the buyer to the earnest money holder (this is usually the listing broker's office or a title insurance company).

Record Title Deadline (& Tax Certificate)

Paragraph Reference: 8

Responsible Party: Buyer or Seller by agreement

By this date, any information in the county public record relating to the ownership of the property

must be obtained from the title company in the form of a Title Commitment. It will declare who actually owns the property; any deeds that are recorded and require release; any liens or judgments against the parties; and any HOA recordings.

Record Title Objection Deadline

Paragraph Reference: 8

Responsible Party: Buyer or Seller

The Buyer or Seller can object to and terminate the contract due to something found in the Title Commitment, but must object by this date.

Off-Record Title Deadline

Paragraph Reference: 8

Responsible Party: Seller

If there are any documents or issues that the Seller knows about, but that aren’t in the public record,

they must be disclosed by this date. An example would be any type of oral agreement between neighbors or friends to allow the use of land or property. If the agreements are not legally recorded, they must be disclosed by the Seller to the Buyer by this date.

Off-Record Title Objection Deadline

Paragraph Reference: 8

Responsible Party: Buyer

The Buyer can object to and terminate the contract due to something found in the Off-Record Title

Disclosure, but must object by this date.

Title Resolution Deadline

Paragraph Reference: 8

Responsible Party: Seller of Buyer by Agreement

If the Buyer or Seller objected to anything disclosed in the Record or Off-Record Title phase that needed to be addressed by the other party, the responsible party must do so by this date.

Third Party Right to Purchase/Approve Deadline

Paragraph Reference: 8

Responsible Party: Seller

This gives the holder of the first right of refusal—usually an HOA—the option to approve the offer

as written or exercise their right to reject the offer and purchase the property based on the terms of

their right of refusal. It’s been used by condominium associations to maintain value and not let property sell below market. It is more often used when a contingency of sale is accepted by the Seller with the right to continue to market the property until the contingency is removed or the Seller obtains another acceptable offer.

Association Documents Deadline

Paragraph Reference: 7

Responsible Party: Seller

The Seller must deliver copies of all HOA (Homeowners Association) declarations, covenants, rules & regulations, restrictions, bylaws, operating agreements, financial documents, reserve studies, party wall agreements, and minutes of board meetings to the Buyer by this date. The Seller can either do this via the title company, or on their own.

Association Documents Termination Deadline

Paragraph Reference: 7

Responsible Party: Buyer

If the Buyer finds anything in the Association Documents to be unacceptable, such as a pending assessment or covenant restriction, they need to serve written notice to the Seller by this date to either get more time for researching the matter or to terminate the offer.

Seller's Property Disclosure Deadline

Paragraph Reference: 10

Responsible Party: Seller

The Seller has until this date to deliver the optional multi-page Property Disclosure. This disclosure covers the details of the condition of the home and the home’s components. It must identify any problems or material defects known by the Seller. When the Buyer signs this document, the Buyer is not accepting the condition of the property, but only receipting delivery of the document.

Loan Application Deadline

Paragraph Reference: 5

Responsible Party: Buyer

The Buyer must apply for a loan by this date. We always recommend seeing a lender before the buying process begins, but new lending laws dictate that the final process cannot occur without an accepted contract.

New Loan Terms Deadline

Paragraph Reference: 5

Responsible Party: Buyer

The New Loan Termination Deadline is for the sole benefit of the Buyer. If the Buyer is obtaining

financing for their home purchase and the loan is not satisfactory to the Buyer, they have the right to

object and terminate the purchase contract based on but are not limited to: the availability, payments, interest rate, terms, conditions, and cost of the loan. Since most buyers in this market will be pre-approved before they are writing the contract.

New Loan Availability Deadline

Paragraph Reference: 5

Responsible Party: Buyer

If Buyer is to pay all or part of the Purchase Price with a New Loan, this Contract is conditional upon Buyer’s satisfaction with the availability of the New Loan based on the lender’s review and underwriting of Buyer’s New Loan Application (New Loan Availability). Buyer has the Right to Terminate under § 24.1., on or before the New Loan Availability Deadline if the New Loan Availability is not satisfactory to Buyer.

Buyer's Credit Information Deadline

Paragraph Reference: 5

Responsible Party: Buyer

If the Buyer is getting a loan from the Seller to pay any part of the purchase price, this is the date by which the Buyer must provide accurate and up-to-date credit information to the Seller. Credit and financial information includes but is not limited to: credit reports, work history, bank account balances, mortgage or rental payment history, current debts and any additional information requested by the Seller.

Disapproval of Buyer's Credit Information Deadline

Paragraph Reference: 5

Responsible Party: Seller

If the Buyer is providing a promissory note to the Seller to pay any part of the purchase price, this is the date the Seller must approve or disapprove the Buyer’s credit information. If the Seller—in their “sole subjective discretion”—disapproves the Buyer’s credit information, the Seller must provide written notice of disapproval to the Buyer by this date, the contract will be terminated and earnest money returned to the Buyer.

Existing Loan Deadline

Paragraph Reference: 5

Responsible Party: Seller

If the Buyer agrees to take on the Seller’s existing loan, the Seller must deliver copies of the loan documents (including note, deed of trust, and any modifications) to Buyer by this date.

Existing Loan Termination Deadline

Paragraph Reference: 5

Responsible Party: Buyer

If the Buyer agrees to take on the Seller’s existing loan, they have the right to review all documents as provided by the Seller and determine if approval is required and can be obtained by the original lender of the promissory note. If, in the Buyer’s “sole subjective discretion,” the terms of the loan are unsatisfactory, they must serve written notice to the Seller to terminate the loan on or before this date and earnest money will be returned to the Buyer.

Loan Transfer Approval Deadline

Paragraph Reference: 5

Responsible Party: Buyer

If a third party (usually the bank who made the original loan to the Seller) is required to approve the transfer of a loan to the Buyer, with or without modification of the terms, and that approval cannot be obtained by the Buyer, then the Buyer must serve written notice to the Seller on or before this date.

Appraisal Deadline

Paragraph Reference: 6

Responsible Party: Buyer

This is the date the appraisal must be received by. The Lender will order the appraisal to ensure that the sale price for the property matches the property’s value. If the value comes in under the agreed upon purchase price, the Lender will not lend the Buyer the appropriate money to purchase the house. There may also be conditions on the property that need correction for the Lender to lend. If this is the case, the Buyer will need to submit a letter to the Seller objecting to the appraisal by the Appraisal Objection Deadline.

Appraisal Objection Deadline

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Responsible Party: Buyer

If the appraisal comes in below the agreed upon purchase price—or there are other conditions—and the Buyer wishes to object, this is the date by which the Buyer will need to give written notice of such to the Seller. The Seller can choose to lower the purchase price and/or correct any issues, but it is up to the Buyer’s sole discretion whether to accept the new price or terminate the contract. The Buyer can also choose to increase their down payment to cover the gap between the appraisal value and purchase price.

Appraisal Resolution Deadline

Paragraph Reference: 6

Responsible Party: Seller

The Seller must consider the Appraisal Objection and either agree or disagree to the request(s) by this date. The Seller will provide the Buyer a resolution as to what is agreeable with the Seller, or offer an alternative resolution. Negotiation may go back and forth until Buyer and Seller come to an agreement or the contract is terminated as of this date passing.

New ILC or New Survey Deadline

Paragraph Reference: 9

Responsible Party: Buyer or Seller

There are two types of surveys the Buyer may request and pay for. An ILC (Improvement Location

Certificate) shows the improvement locations (home, shed, fences, detached garage, etc.) in relation to the property boundaries and easements. An official survey is a much more detailed and expensive document usually purchased for larger, unplatted (not in a subdivision) parcels of land. This is the date by which the survey requested must be received by Buyer.

New ILC or New Survey Objection Deadline

Paragraph Reference: 9

Responsible Party: Buyer

Buyer has the right to object or terminate on or before this date if the requested ILC or survey is not received or, after review, the Buyer finds any unsatisfactory matter.

New ILC or New Survey Resolution Deadline

Paragraph Reference: 9

Responsible Party: Seller

The Seller must consider the New ILC or New Survey Objection and either agree or disagree to the request(s) by this date. The Seller will provide the Buyer a resolution as to what is agreeable with the Seller, or offer an alternative resolution. Negotiation may go back and forth until Buyer and Seller come to an agreement or the contract is terminated as of this date passing.

Water Rights Examination Deadline

Paragraph Reference: 2

Responsible Party: Buyer

If Water Rights are part of the property, the Buyer has the right to review and accept those rights by this deadline.

Mineral Rights Examination Deadline

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Responsible Party: Buyer

If Mineral Rights are part of the property, the Buyer has the right to review and accept those rights by this deadline.

Inspection Termination Deadline

Paragraph Reference: 10

Responsible Party: Buyer

This is the date that the Buyer has the option to terminate the contract and get their earnest money

back due to concerns raised due to the Inspection of the Property. In a case where the Buyer waves

the Inspection Objection and Resolution, the Buyer can still terminate the contract on this date if the

Inspection report is not satisfactory.

Inspection Objection Deadline

Paragraph Reference: 10

Responsible Party: Buyer

On or before this date, Buyer will have physical inspections of the property completed. After the

inspection, at the Buyer's "sole subjective discretion," they may choose to terminate or may prepare and deliver a list (Inspection Objection Form) of items (safety, systems, structure, etc.) that Buyer requests the Seller to repair, replace, or correct.

Inspection Resolution Deadline

Paragraph Reference: 10

Responsible Party: Seller

The Seller must consider the Inspection Objection Form and either agree or disagree to the request(s) by this date. The Seller will provide the Buyer an Inspection Resolution Form as to what is agreeable with the Seller, or offer an alternative resolution. Negotiation may go back and forth until Buyer and Seller come to an agreement or the contract is terminated as of this date passing.

Property Insurance Termination Deadline

Paragraph Reference: 10

Responsible Party: Buyer

Before this date, the Buyer should verify that an insurance company of their choosing will insure the

property for an amount acceptable to the Buyer. Certain circumstances may exist that could prevent

an insurance company from insuring a property. Buyer may at their “sole subjective discretion”

terminate the contract based on the information obtained from the insurance company.

Due Diligence Documents Delivery Deadline

Paragraph Reference: 10

Responsible Party: Seller

Buyer to review all documents provided by the Seller. If, in the Buyer’s “sole subjective discretion,” they find the documents to be unsatisfactory, written notice must be served by the Buyer to the Seller on or before this date.

Due Diligence Documents Resolution Deadline

Paragraph Reference: 10

Responsible Party: Seller

The Seller must consider the Due Diligence Documents Objection and either agree or disagree to

the request(s) by this date. The Seller will provide the Buyer a resolution as to what is agreeable with the Seller, or offer an alternative resolution. Negotiation may go back and forth until Buyer and Seller come to an agreement or the contract is terminated as of this date passing.

Conditional Sales Deadline

Paragraph Reference: 10

Responsible Party: Buyer

The Buyer may have a property that must be sold in order to enable the purchase of another property. The Buyer agrees to purchase the contracted property “conditional” on the sale of the already-owned property. The Seller agrees to accept the Buyer’s offer “conditional on the sale” by a date no later than the Conditional Sale Deadline. If the Buyer completes the sale, the condition is removed. If no sale occurs, the Buyer must serve written notice to the Seller and the contract is terminated.

Closing Date

Paragraph Reference: 12

Responsible Party: Buyer & Seller

This is the date that the Buyer and the Seller will sign all necessary documents—usually at a title

company—to finalize the terms of the contract. Buyer must bring certified funds. Buyer and Seller

must bring suitable IDs.

Possession Date

Paragraph Reference: 17

Responsible Party: Buyer & Seller

This is the date the Buyer receives possession of the property. The parties may agree to provide the seller a few days after closing to move.

Possession Time

Paragraph Reference: 17

Responsible Party: Buyer & Seller

This is the time of day agreed to between Buyer and Seller that full possession of the property is surrendered by the Seller to the Buyer.

Acceptance Deadline Date

Paragraph Reference: 27

Responsible Party: Seller

The date at which a Buyer’s offer expires unless accepted or countered in writing by the seller.

Acceptance Deadline Time

Paragraph Reference: 27

Responsible Party: Seller

The time at which a Buyer's offer expires unless accepted or countered by the Seller.