See below for a copy of the COVID-19 Addendum that VAR has published. Thank you to Ekko Title for this summary. This document does a couple of key things:
Paragraph 1:
This allows the parties in the contract to agree to extend ALL CONTRACT DEADLINES for a certain number of days. The form is pre-printed with fifteen (15) days but there is also a blank that allows you to choose you own number of days. What are “ALL CONTRACT DEADLINES”? Taken in plain meaning, “all” means “all”. So this basically includes any deadline, including but not limited to settlement date, home inspection, financing contingency, appraisal, inspection timelines such as termite, well and septic, coinciding settlement contingencies, etc., etc.
This also indicates that if the COVID-19 condition extends for sixty (60) days, or another amount of days you choose, that either party can terminate the contract by written notice to the other party.
Finally, paragraph one specifically indicates that this addendum DOES NOT have ANY effect on deadlines related to the delivery of HOA/Condo packets. The Buyer still has the same three (3) days to void the contract on the HOA docs.
Paragraph 2:
Clarifies that if the contract is terminated under Paragraph 1, the Deposit SHALL be returned to the Purchaser.
Paragraph 3:
This is an “add-on” paragraph that can be included or NOT included in the addendum by checking the box. IF CHECKED… even if the Purchaser’s financing contingency is removed, if Purchaser’s inability to fund their loan and settle is due to Purchaser’s loss of income from COVID-19 related issues (which is not defined), then either party can cancel the contract and the Purchaser shall receive their EMD.
Access other COVID-19 resources from Virginia REALTORS® at virginiarealtors.org/coronavirus including
• Sales FAQs (addressing property showings, open houses, and more)
• Property Management FAQs (including the eviction moratorium)
• Licensing & DPOR FAQs (including the Governor’s Executive Order addressing license renewal extensions)
OTHER NEWS
DPOR update: DPOR extends license renewals/expiration deadlines to June 10, 2020. More details available at http://www.dpor.virginia.gov/COVID-19/
Developing News: Senate passes HR 6201
ADDITIONAL RESOURCES
Impact of HR 6201 “Families First Coronovirus Response Act” on NAR Members
List of FAAR’s rescheduled Events & Classes
Spotsylvania Circuit Clerk Update