Page 8 - Purchase Contract Guide Book Title Alliance of Arizona Ellsworth May 2017 (2)

Financing

Lines 90-96: Buyer shall comply with all lender requests in a timely manner

Lines 100-102: Percentage of sales price or flat amount that seller agrees to pay towards
buyers closing costs. This credit can only apply to the buyers, impounds, title and escrow com-

pany costs, recording fees, buyers loan fees and non allowable VA costs on VA loans. All other
fees associated with the purchase unless noted separately in the purchase contract are the
responsibility of the buyer even if the full amount of this credit is not used.

Loan costs are fees charged by buyers lender impounds are upfront reserves for property taxes
and hazard insurance required by lender. Title/escrow company costs are fees charged by title

company. Non allowable VA costs are costs that are VA loan charges that the buyer is not
allowed to pay per VA rules.

Lines 107-110: Lenders appraisal of property must appraise for at least the sales price. If
property does not appraise for the sales price, buyer then has 5 days after notice to cancel the

contract and receive a refund of earnest money.

Section 3 - Title And Escrow

Lines 115-119: Escrow/Title company name, address and contact information

Lines 120-122: Buyer to determine how to take title and should seek sufficient counsel to
do so. Be aware that escrow must know the marital status of the buyer(s) in order to properly
prepare documents.

Lines 123-132: Escrow/title company will deliver to buyer and seller a copy of a title
commitment; preliminary title report along with the CC&R’s (Conditions, Covenants and

Restrictions). Upon receipt buyer has 5 days to notify seller of any disapproved items. Seller
shall pay for owners title policy for buyer through transaction. If buyer is obtaining loan

financing, lender title policy will be paid for by buyer.

8 www.taofarizona.com