View all Local Real Estate forums. I am working to get a first Fannie Mae REO property and all the terms were agreed by both parties via emails today. A ten day inspection was allowed and we were told to wait for further instructions, without having the signed contract back. Does this sound typical for REO purchases? I don't like the idea of wiring EMD without a signed contract or some kind of documentation stating it.

Having inspection done without the signed contract seems ok, but I was not sure about wiring the deposit to our broker. The "Acknowledgement Date" is the date at the top of the contract that is usually the date the addendum is provided to you, so yes, your due diligence period starts when you get the addendum, not when the Seller signs it. As for Earnest Money, it's pretty standard for the listing agent to request it while waiting for the documents to be signed by the Seller.

Your broker should provide you a receipt for the money, and you can feel pretty secure in the fact that any licensed broker is required to follow strict rules about how they handle earnest money. As long as you have a receipt from the broker, I wouldn't have any concerns about turning over the EM before the contract is signed. That said, if you really want to wait until the contract is signed, you can certainly argue that it's your right. But, then again, the Seller has the right not to sign if you're being "difficult.

Does this mean that "Addendum" can be a simple email correspondences? I was assuming that I would receive an additional form to sign to make all the terms "official. Thank you for clarifying the "Acknowledgement Date. Glad to hear that this request is standard. I'll probably have them sign a simple letter and get a receipt once they receive the fund. I certainly do not wish to be one of those "difficult" buyer, so hopefully, I'll resolve the EM matter soon. You should have been asked to sign the standard FNMA addendum, a 10 page or so document that goes along with every FNMA contract.

It requires initials at the bottom of every page If you haven't signed it, ask your agent why not.

This needs to be signed and submitted along with the contract before the seller signs their side. This will define the appropriate dates as well. Yes, we submitted the FNMA addendum along with the contract.

It took about 8 days for the seller to respond and counter us. Then, we accepted the counter offer via email, no additional addendum or revised addendum was submitted. This is the time when we were told that the inspection was allowed. Also, I checked my original addendum we initially signed and realized that the date line was blank! I remembered that we assumed it was going to be written by the seller when they sign it.

I wonder if FNMA is letting many potential buyers go inspect the property since they are not signing anything early on. The property is still "active" on both MLS and Homepath sites. Also, I have the escrow company information for EMD as well.

I guess I just needed to be patient and wait for this, but I had no clue what was happening until the revised form is sent to me. Thank you again J Scott and those who PM me in helping out with the situation.

Hey amy, I was wondering of you would be willing to share what your offer was off the ARV and how much earnest money did you put down? Already have an account? How a Newbie Can Start Building Wealth Through Real Estate. Use your real name. Make it at least 8 characters. Create a new account instead. An email has been sent with a confirmation link. That link will get you back here to reply. We look forward to your post. Log In Email Address: Share on Facebook Share on Twitter Share on LinkedIn 1 of 1 pages.

Real Estate Investor from Redondo Beach, California posted about 5 years ago. J Scott from Ellicott City, Maryland replied about 5 years ago Moderator.

In terms of inspections, the standard FNMA addendum states: Real Estate Investor from Redondo Beach, California replied about 5 years ago. Thank you J Scott for your post and advice.

Thank you again for your helpful advice! I wouldn't submit EM until I received and signed the addendum, if I were you Thank you again J Scott Yes, we submitted the FNMA addendum along with the contract. Not sure what date we are going by at this point I just wanted to update that I DID get the updated addendum with the acknowledgement date today! George Ramsay Investor from Marietta, Georgia replied about 5 years ago.

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Fannie Mae REO – Inspection and Earnest money deposit

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