Utah’s New REPC Section 2.0. Purchase Price.

Section 2.0. Purchase Price.

Section 2. Purchase Price has been streamlined and simplified, with a sometimes-misused section removed.

In the new REPC, note the last sentence (a new one) of the first paragraph stating "Any amounts shown in 2(b) and 2(d) may be adjusted as deemed necessary by Buyer and the Lender."

This change allows for the actual loan amounts to be adjusted in an Addendum to what actually occurs in the lending process. Specific loan terms are spelled out in the indicated Addenda.

Also note Section 2(e) ________ Other has been dropped from the new REPC. The discussions on this provision indicated the provision had become troublesome and many times used for matters other than financing.



Here are the actual sections .....


Old Section 2. Purchase Price







2. PURCHASE PRICE. The Purchase Price for the Property is $ ___________.
2.1 Method of Payment. The Purchase Price will be paid as follows:

$ __________ (a) Earnest Money Deposit. Under certain conditions described in this Contract, THIS DEPOSIT MAY BECOME TOTALLY NON-REFUNDABLE.

$ __________ (b) New Loan. Buyer agrees to apply for a new loan as provided in Section
2.3. Buyer will apply for one or more of the following loans: [ ] CONVENTIONAL [ ] FHA [ ] VA [ ] OTHER (specify) ___________________ If an FHA/VA loan applies, see attached FHA/VA Loan Addendum. If the loan is to include any particular terms, then check below and give details: [ ] SPECIFIC LOAN TERMS ____________________________ .

$ ___________ (c) Loan Assumption Addendum (See attached Assumption Addendum if applicable)

$____________ (d) Seller Financing (see attached Seller Financing Addendum if applicable)

$____________ (e) Other (specify)

$____________ (f) Balance of Purchase Price in Cash at Settlement

$ ____________ PURCHASE PRICE. Total of lines (a) through (f)




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New Section 2. Purchase Price






2. PURCHASE PRICE. The Purchase Price for the Property is $ _____________. Except as provided in this Section, the Purchase Price shall be paid as provided in Sections 2(a) through 2(d) below. Any amounts shown in 2(b) and 2(d) may be adjusted as deemed necessary by Buyer and the Lender.

$ ________________ (a) Earnest Money Deposit. Under certain conditions described in the REPC, this deposit may become totally non refundable.

$ ________________ (b) New Loan. Buyer may apply for mortgage loan financing (the “Loan”) on terms acceptable to Buyer: If an FHA/VA loan applies, see attached FHA/VA Loan Addendum.

$________________ (c) Seller Financing (see attached Seller Financing Addendum)

$________________ (d) Balance of Purchase Price in Cash at Settlement

$________________ PURCHASE PRICE. Total of lines (a) through (d)





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UP Next: Section 3.1 Settlement



From My Porch

Mike B. Class Star^®

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I’m remarking on the new REPC changes as I see them. The forgoing isn't legal advice.

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