…ok, #HAPPYFIFTH! It’s Friday, let’s take a quick sweep and then jump right back into summer work + play! First order of business, a quick brush up on Computation of Time. Good time of year to share critical points. For many of us, this is forever embedded into our brains. For those of you looking for clarity and a few more reps with respect to the importance of understanding Computation of Time…here you go:
PS, yes > yesterday, The 4th of July is a Legal Holiday when computing “time” with respect to your purchase and sales currently in play.
Understanding “Computation of Time”
General Term “l”
General Term “l” (Computation of Time) of the purchase and sale agreements governs how time is calculated for the various time periods in the agreement.
- Any period of time starts on the day following the event commencing the period (e.g. mutual acceptance occurs on Tuesday, day one is Wednesday)
- Time periods of 5 days or less do not include weekends or legal holidays
- Time periods of more than 5 days include weekends and legal holidays
- Time periods end at 9:00 pm on the last day of the specified period
- If the last day of the time period is on a weekend or a legal holiday, it moves to the next day that is not a weekend or legal holiday (except for the Possession Date)
- Time periods are not delayed by a missing legal description – time periods begin from the date of mutual acceptance
- The computation of time provision applies to all timelines in the purchase and sale agreements and any addenda (e.g. Form 22A, Form 22B, Form 22D, Form 35, etc.)
Reminder: NWMLS 2019 Forms Revisions have taken effect as of July 1st, 2019
NWMLS Legal Bulletin 216 fully summarizes revisions to many NWMLS forms and introduces one new form. Many of the revisions were made for clarification purposes and are not substantive changes. I want to point out one substantial change and the new form so that you may easily digest without looking to hard! *want a full run down of revisions? > See homepage of NWMLS for Legal Bulletin + red-lined versions of changes.
I’d like you to digest the following…
#1 Inspection Addendum (Form 35) and Pre-Inspection Addendum (Form 35P)
The Inspection Addendum has been revised to state that the buyer shall not provide the inspection report, or portions of the report, to the seller unless the seller requests a copy, or as required to deliver notice of additional inspections. The Pre- Inspection Addendum (Form 35P) was revised to include a similar provision. There were also a few minor clean-up revisions made to other sections of Form 35.
- Each scenario will be different, as you know, yet let’s get ahead of this and lead within our field with this change.
- Let’s not be the brokerage that sends the inspection without an “ok” from Seller! *we typically are not. Just a solid reminder!
- If we receive an inspection, or part of one – our first line of defense shouldn’t be to draw a line in the sand and get combative. Bring your art of negotiation to the table instead.
- It will take awhile to have all Firms/brokers playing by the new “may not” vernacular = give grace where we can [the art of what we do]
- When responding to an Inspection Response > move content from an inspection report to within the body of the response – 35R or 34, as needed.
- Not sure what to do in a given scenario? Track down your manager – or me – and let’s get to work, together.
#2 Financing and Related Forms
The Increased Down Payment for Low Appraisal Addendum (22AD) has been clarified to provide that, if the buyer waives the financing contingency, the seller may not terminate the agreement under the provisions in Form 22AD. In addition, a new notice form – Notice for Increased Down Payment for Low Appraisal Addendum (22ADN) –was created for the notices required by Form 22AD.
Heads up: if you stash NWMLS Forms somewhere outside of transaction desk, time to recycle! The new revisions are in play.
…and on that note, let’s get back to summer play! Thanks for digesting the above, in your continued commitment to be the best in the business and in your actions in constantly raising the bar. #TheWindermereWay
All in, for you.
…and oh, a few shots from Hoopfest last weekend > a me + Piper kind of weekend. The best. And yes, she drained that jumper [bottom right] after a wicked step back move. Fun to watch her play and coach the girls. Life is sweet. Focus on the good.