Two real estate forms that cause confusion are the Addendum and the Amendment. They are not interchangeable and are needed at different times in the offer timeline.
An Addendum is to be used concurrently with the offer, before final signing, when there is insufficient space in the body of the purchase contract to include all the information. (Addendum Sample )
Oftentimes, the addendum is used for clause 1.3 of the purchase contract if there are a considerable amount of chattels to list, or for 7.6 if the terms are lengthy.
An Amendment is a change agreed to by the parties after the initial execution of the contract. If the Purchase Contract has had final signing, an Amendment is required to make any additions or deletions to it. (Amendment Sample )
Whether the buyer forgot to include the dishwasher under clause 1.3, the closing date needs to be changed, or the home inspection revealed a defect that the seller agrees to repair before the possession date, this needs to be documented using an Amendment.
Understanding when to use which forms is essential for a legally binding contract and only a small aspect of a successful real estate transaction. I would be glad to represent you as either a buyer or seller’s agent. Feel free to contact me at 403-554-2284 or at firstname.lastname@example.org
The comments expressed in this article are for information purposes only for the Province of Alberta and serve to highlight general principles. Each situation is different and you should seek legal counsel before pursuing any particular course of action. These articles do not create an agency relationship and do not constitute legal advice.