An Indiana purchase agreement is signed by all parties on Monday, March 3rd. The seller delivers the Seller's Residential Real Estate Sales Disclosure Form to the buyer on Wednesday, March 5th. Under the Indiana Seller Disclosure Act, what is the last day the buyer can rescind the contract?
Correct Answer
B) Friday, March 7th (2 business days after receipt)
Under IC 32-21-5-2, the buyer has 2 business days after receiving the Seller's Residential Real Estate Sales Disclosure Form to nullify the contract. Counting from receipt on Wednesday, March 5th, Day 1 is Thursday March 6th and Day 2 (the deadline) is Friday, March 7th.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Earnest money is a deposit made by the buyer at the time of the offer or shortly after to demonstrate good faith and serious intent to purchase the property. It is also called a good faith deposit.
Equitable title is the buyer's interest in a property after a purchase contract is signed but before closing, giving the buyer the right to acquire legal title in the future. The seller retains legal title until the deed is delivered at closing.
A financing contingency makes the purchase contract conditional upon the buyer obtaining mortgage approval within a specified time period. If the buyer cannot secure financing, they can cancel the contract and receive their earnest money back.
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