Financing Addendum Form For Credit Approval
Description
How to fill out UCC1-AD Financing Statement Addendum?
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FAQ
A seller financing addendum outlines the terms under which the seller of a property agrees to loan money to the buyer in order to purchase their property.
What happens if buyer's credit is not approved under the TREC Third Party Financing Addendum, and the buyer gives timely notice to the seller? The contract will terminate and the buyer will get the earnest money.
Description: This Addendum is used when any type of financing for all or part of the purchase price will be provided by a third-party (not the Seller or Buyer).
If the buyer cannot obtain the loan approval in time, they will need to give the seller written notice and they can terminate the contract and receive their earnest money back. The buyer can also opt to make make the contract not subject to buyer approval.