NOTICE REGARDING CATASTROPHIC EVENTS

Dear BUYER NAME,

This notice is to inform you that the property located at _______________________________ is located in an area that recently experienced a natural disaster. Therefore, the property may have experienced damage due to the natural disaster. For this reason, we would like to advise you of the following suggested actions.

The below list is not intended to be an exhaustive checklist of due diligence; but it is intended to notify you of the disaster, your contractual rights, and some basic steps to take to perform due diligence on the property.   
  1. Please be aware that immediately following a natural disaster, all damages to a property may not be visible.  Accordingly, you may desire to conduct additional relevant inspections (e.g. structural inspection for earthquakes, roof inspections for strong wind events, water intrusion/mold inspections for hurricanes etc.) prior to closing.
  2. Review the provisions in your purchase contract regarding casualty loss with a lawyer.  For instance, Section 14 of the standard TREC One to Four Residential Contract ("Section 14"), gives the Buyer three basic options: (i) terminate the contract with a full refund of earnest money; (ii) extend the closing date for up to 15 days; or (iii) accept the property in its damaged condition and receive the insurance proceeds from the Seller's policy plus a credit on the purchase price for any excess, if permitted by the Seller's policy.
  3. Notify your lender that a casualty loss may have occurred.
  4. Notify the insurance carrier who will be insuring your new property. 
Please contact me with any questions or concerns.


Respectfully,

AGENT NAME
eXp Realty, LLC.
 
 
NOTICE REGARDING CATASTROPHIC EVENTS