Under the TREC contract, if the buyer and seller agree to extend the closing date from April 15 to May 1, they should:
Correct Answer
C) Execute a TREC Amendment form specifying the new closing date
Any change to the closing date after the contract is executed requires a written amendment using the TREC Amendment form. Both parties must sign the amendment to make the change effective.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An inspection contingency gives the buyer the right to have the property professionally inspected within a specified time frame and to negotiate repairs or cancel the contract based on the findings.
Liquidated damages are a predetermined amount of money specified in the contract that the non-breaching party is entitled to receive if the other party breaches. In real estate, the earnest money deposit typically serves as liquidated damages.
Novation is the substitution of a new contract for an existing one, or the replacement of one party with a new party, with the consent of all parties involved. The original party is completely released from all obligations.
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