PRELIMINARY
TERMS AND CONDITIONS OF SALE
(Replace with
Property Name and Address)
(Replace with Auction Time and Date)
_______(name of seller)______________________________,
(individually and collectively the “Seller”), hereby offer to
sell at public auction the Property known as ______(replace
with name/ description of property)_______, a ____(replace
with a description of property type)___________________,
located at (replace
with address of property)
which
is selling subject to the Seller’s confirmation of the bid
price.
A.
PROPERTY
1)
Seller will convey the Property by Warranty Deed free and
clear of all liens and encumbrances except as
specified
in the Title Commitment and the Auction Real Estate Sales
Contract.
2)
The Property is selling subject to, and any CONTRACT
IS NOT CONTINGENT upon, any state facts, an accurate survey
or personal inspection of the Property may reveal, any existing
rights-of-way, easements or claims to easements, encroachments,
rights or claims of parties in possession, restrictive and
protective covenants, flood zones, zoning or subdivision
regulations, building codes, governmental agencies regulations,
environmental conditions, hazardous materials, leases or
tenancies, any mineral rights, reservations or conveyances, and
subject also to all title exceptions as set forth in the Title
Commitment that is available for inspection.
B.
PROPERTY INSPECTION
1) It is the Purchaser’s sole responsibility to: 1)
perform all inspections (legal, environmental, economic or
otherwise) of the Property and improvements thereon
and to be satisfied as to their condition prior to bidding; 2)
review all property information and due diligence materials; 3)
independently verify any information they deem important
including information available in public records; and 4) inquire
of public officials as to the applicability of and compliance
with land use and environmental laws, zoning, building and health
& safety codes and ordinances, and any other local, state or
federal laws and regulations.
2)
All information advertised on the property, and all
promotional materials (if any), including, but not limited to
square footages, acreage, dimensions, maps, taxes, etc., was
provided by the Seller and is believed to be correct; however,
the Seller does not make any guarantee or warranty as to the
accuracy or completeness of such information.
The Seller is not required to update any information. Purchaser and/or Purchaser’s Agent/Broker shall bear the
responsibility to confirm all information relevant to the
Property prior to bidding.
C.
PROPERTY DISCLOSURES
1)
Only those personal property items as listed below shall
be conveyed with the real estate.
List
Items)
a.
b.
c.
d.
e.
f.
g.
(Seller
shall / shall not (please delete the one that
does not apply) convey only those mineral rights as actually
owned, if any.
D.
BIDDER
REGISTRATION AND TERMS OF SALE
Bidders must be Registered Users in order to bid on
the Property. A Bid
Deposit in the amount of $_(fill
in amount of deposit required to bid, if any) will be
required at registration for the Property.
The Bid Deposit should be held and confirmed by an
attorney, broker, escrow or title company as follows (fill
in name of attorney, broker or attorney who will hold and very
escrow deposit, if applicable – if not, fill in N/A).
1)
Within (fill in
number of days from 0-3) days
of being declared the final successful confirmed bidder, the
purchaser will be required to pay in U.S. funds an Earnest Money
Deposit of no less than TEN PERCENT (10%) of the Total Contract
Price of the Property to the Escrow Agent on auction day.
The Bid Deposit shall be applied to the Earnest Money
Deposit, and the difference between the Bid Deposit and the
Earnest Money Deposit may be paid by personal or company check.
The balance of the purchase price is due at closing on or
before ___(fill in desired closing date – generally 30-60
days after auction).
2)
Bidder acknowledges that once a bid is offered, the Bidder
shall be bound by the bid amount until the
Seller has either accepted or rejected such bid.
Bidder acknowledges that only upon the execution of the
Sales Contract by the Seller shall the Seller be bound concerning
the sale of the Property.
3)
The confirmed Bidder (the “Purchaser”) shall pay the
required Earnest Money Deposit to (fill in escrow or title
company agent) after being notified as the winning bidder
by Seller. The
winning Bidder shall deposit the difference between the bid
deposit and the down payment (fill in - auction day or
within 1-3 days after notification and shall execute and
deliver a completed Auction Real Estate Sales Contract (the
“Sales Contract”), together with all related Addenda for the
Property at the Auction. The
fully executed Sales Contract (together with all related Addenda
thereto) shall control all terms and conditions of the sale and
constitute the entire agreement between Purchaser and Seller.
In the event of a conflict between these Terms and
Conditions of Sale and the Terms and Conditions of such Sales
Contract, the Terms and Conditions of the Sales Contract shall
prevail. NO CHANGES
TO THE TERMS OF THE SALES CONTRACT WILL BE PERMITTED. PURCHASER WILL BE REQUIRED TO ENTER INTO THE SALES CONTRACT
“AS IS” ON AUCTION DATE.
4)
Any person bidding on behalf of another person or entity
must have a valid, legally enforceable,
unexpired, recorded Power of Attorney approved by
Seller prior to the auction.
If a Purchaser is bidding on behalf of a corporation, the
bidder shall be individually bound until the bidder presents a
corporate resolution prior to closing.
5)
If for any reason the Purchaser fails or refuses to
deposit the required funds or to execute the Sales
Contract immediately after being confirmed as the
high bidder, the Seller reserves the right to declare the
bidder’s rights forfeited and may resell the Property.
6)
(Choose one of the following)
This
is a CASH SALE. This
sale is not contingent upon Purchaser’s ability to obtain
financing.
Or
This is a CASH SALE.
Purchaser must pay in cash or must provide financing
commitment as proof of ability to purchase property.
F.
CLOSING COSTS
2000 Ad Valorem
taxes and assessments, if applicable, shall be prorated at
closing. The Seller will pay the fee for the preparation for the Title
Commitment and Owner’s Policy of Title Insurance, the costs of
preparing the Warranty Deed, and other legal documents to
transfer the property, including reproduction costs, and the
costs to record the release of any encumbrances on the Property
to allow conveyance. Purchaser
shall pay for the transfer taxes, the costs for recording the
Warranty Deed and all other sale, closing, or financing costs.
G.
CLOSING
Closing will be scheduled on or before
(fill in closing date)
, and all deposits and down payments shall
be in U.S.
funds and shall be held in a non-interest bearing escrow account
by the Escrow/Closing Agent pending completion of necessary
closing procedures, after which the Purchaser shall be granted
possession of the Property subject to any matters contained in
the Title Commitment and the Auction Real Estate Sales Contract.
H.
ESCROW/CLOSING AGENCY
Closing will be at the office of (Fill in
“Escrow/ClosingAgent” name, address and telephone number)
1)
The proceeds due from the Purchaser at closing shall be in
U.S. funds, locally drawn bank cashier’s
check or confirmed wire transfer.
I. DISCLAIMER
1)
PERSONAL ON-SITE INSPECTION OF THE PROPERTY IS RECOMMENDED
AND BIDDERS
ARE ADVISED TO INDEPENDENTLY VERIFY ALL INFORMATION
THEY DEEM IMPORTANT. THIS
PROPERTY IS BEING SOLD “AS IS, WHERE IS” AND ”WITH ALL
FAULTS.” THE SELLER DOES NOT MAKE, AND WILL NOT MAKE, AND HEREBY
DISCLAIM, ANY REPRESENTATION OR WARRANTY, WHETHER EXPRESSED,
IMPLIED, OR STATUTORY, WHETHER ORAL OR WRITTEN, WITH RESPECT TO
THE PROPERTY, INCLUDING, WITHOUT LIMITATION, ANY WARRANTY AS TO
ITS VALUE, CONDITION, ACREAGE, SQUARE FOOTAGE, SUITABILITY,
MERCHANTABILITY, MARKETABILITY, OPERABILITY, ZONING OR
SUBDIVISION REGULATIONS, MINERAL RIGHTS, ENVIRONMENTAL CONDITION,
OR FITNESS FOR A PARTICULAR USE OR PURPOSE.
NO GUARANTEES ARE GIVEN AS TO THE AVAILABILITY OF
UTILITIES OR ACCESS, OR THE PERMITTED OR ALLOWABLE USES ON THE
PROPERTY.
2) The
Seller shall be liable for any relief, including damages,
rescission, reformation, allowance or adjustments based on the
failure of the Property, including, but not limited to, amount of
acreage, square footage, zoning, and environmental condition to
conform to any specific standard or expectation, or any third
party documents or information.
J.
EQUAL OPPORTUNITY CLAUSE
All
bidding is open to the public.
The Property is available to qualified Purchasers without
regard to a prospective Purchaser’s race, color, religion, sex,
familial status, national origin, or physical handicap.
K.
MISCELLANEOUS
1)
The
Seller reserves the right to announce additional Terms and
Conditions of the Sale prior to or during the course of the
auction.
2)
The Seller reserves the right to add or withdraw the
Property prior to or during the course of the auction, subject to applicable law.
__________________________________
SELLER’S
SIGNATURE
________________________________
SELLER’S
SIGNATURE
