A “Schedule A” is a document that accompanies an offer to purchase a foreclosure property in Calgary. It is prepared by the bank or lender selling the property and contains additional terms and conditions specific to the sale of a foreclosed home. Here are key points to know about Schedule A.
As-Is, Where-Is: It typically states that the property is being sold "as-is, where-is." This means the seller (the bank) makes no guarantees about the property's condition or what comes with it. The buyer accepts the property in its current state, flaws and all.
No Warranties: Unlike a traditional sale, the seller won’t provide warranties about the condition of the property, appliances, or other aspects of the home. This includes issues like structural problems, zoning violations, or outstanding taxes or liens.
Limited Recourse: If problems are discovered after the purchase, the buyer generally cannot hold the bank responsible or seek compensation.
Non-Negotiable: The terms in Schedule A are usually non-negotiable. Buyers must agree to them as part of submitting their offer.
Additional Costs: It may outline the buyer’s responsibility for costs such as utilities, legal fees, or transfer of ownership.
Bank-Favored Terms: These terms are heavily biased in favor of the bank, emphasizing their desire to limit liability and streamline the sale.
If you're considering purchasing a foreclosure, carefully reviewing and understanding Schedule A is very important to avoid surprises.
Comments:
Post Your Comment: