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HomeMy WebLinkAbout17-142 Resolution No. 17-142 RESOLUTION RATIFYING THE EXECUTION OF A REAL ESTATE CONTRACT AND ADDENDUM TO REAL ESTATE CONTRACT (1254 Cedar Avenue) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that it hereby ratifies and approves the execution of a Real Estate Contract and Addendum to Real Estate Contract on behalf of the City of Elgin by Richard G. Kozal, City Manager, with Fannie Mae for the purchase of the property commonly known as 1254 Cedar Avenue, Elgin, for $139,900, a copy of which is attached hereto and made a part hereof by reference. s/David J. Kaptain David J. Kaptain, Mayor Presented: November 8, 2017 Adopted: November 8, 2017 • Omnibus Vote: Yeas: 9 Nays: 0 Attest: s/Kimberly Dewis Kimberly Dewis, City Clerk I el REALTOR' MULTI-BOARD RESIDENTIAL REAL ESTATE CONTRACT 6.1 °••°• °• 1 1. THE PARTIES: Buyer and Seller are hereinafter referred to as the "Parties". 2 Buyer Name(s) (please print] c-tty Og sL..,..N 3 Seller Name(s) (please print] FANNIE MAE 4 If Dual Agency Applies, Complete Optional Paragraph 31. 5 2. THE REAL ESTATE: Real Estate shall be defined as the property, all improvements, the fixtures and Personal 6 Property included therein. Seller agrees to convey to Buyer or to Buyer's designated grantee, the Real Estate 7 with approximate lot size or acreage of stat t.c. y"E. `+� l Lk %e. VC1`j commonly known as: 8 I2-5.4 C“)0AV6 . 3....coI04 `. . (,o1Z., 9 Address City Oto State "' 3`�4 - OtoZip A+s>A 10 LfAryc, 04e_ et ,r 1 42— O, • 11 County Unit#(If applicable) Permanent Index Number(s)of Real Estate 12 If Condo/Coop/Townhome Parking is Included: # of spaces(s) ; identified as Space(s) # , 13 (check type]Odeeded space, PIN: Dimited common elementEassigned space. . so 14 3. PURCHASE PRICE: The Purchase Price shall be$ 1 3 41. Ck 0(3 . After the payment of 15 Earnest Money as provided below, the balance of the Purchase Price, as adjusted by prorations, shall be paid at 16 Closing in "Good Funds" as defined by law. 17 4. EARNEST MONEY: Earnest Money shall be held in trust for the mutual benefit of the Parties by(check one): 18 [beliefs Brokerage;Euyer's Brokerage; ✓❑As otherwise agreed by the Parties,as "Escrowee". 19 Initial Earnest Money of$ shall be tendered to Escrowee on or before 1 day(s) after Date 20 of Acceptance. Additional Earnest Money of$ shall be tendered by , 20 . 21 21 5. FIXTURES AND PERSONAL PROPERTY AT NO ADDITIONAL COST: All of the fixtures and included Personal 22 Property are owned by Seller and to Seller's knowledge are in operating condition on the Date of Acceptance, 23 unless otherwise stated herein. Seller agrees to transfer to Buyer all fixtures, all heating, electrical, plumbing, 24 and well systems together with the following items of Personal Property at no additional cost by Bill of Sale at 25 Closing(Check or enumerate applicable items]: 26 efrigerator entral Air Conditioning entral Humidifier fight Fixtures,as they exist 27 en/Range/Stove indow Air Conditioner(s) Water Softener(owned) wilt-in or attached shelving 28icrowave • eiling Fan(s) ump Pump(s) Window Treatments&Haidwaie 29 ishwasher •i tercom System lectronic or Media Air Filter(s) xisting Storms and Screens 30 arbage Disposal II:ackup Generator System entral Vac&Equipment ireplace Screens/Doors/Grates 31 rash Compactor •.atellite Dish curity System(s)(owned) ireplace Gas Log(s) 32 asher •• tdoor Shed arage Door Opener(s) visible Fence System,Collar&Box 33 ryer •i !anted Vegetation with all Transmitters moke Detectors 34 ttached Gas Grill MO tdoor Play Set(s) ❑All Tacked Down Carpeting arbon Monoxide Detectors 35 Other Items Included at No Additional Cost: 36 37 Items Not Included: 38 39 Seller warrants to Buyer that all fixtures, systems and Personal Property included in this Contract shall be in 40 operating condition at Possession except: . 41 A system or item shall be deemed to be in operating condition if it performs the function for which it is 42 intended,regardless of age, and does not constitute a threat to health or safety. 43 If Home Warranty will be provided,complete Optional Paragraph 34. Buyer InitialGBuyer Initial Seller Initial Seller Initial Address: k 1-5•‘4 C6-111021410.- Av E. . EL-4=‘...t4 k ..`, ioel•ZA v6.1 Page 1 of 13 44 6. CLOSING: Closing shall be on t 1. / g , 20 1 `? or at such time as mutually agreed by the 45 Parties in writing. Closing shall take place at the escrow office of the title company (or its issuing agent)that will 46 issue the Owner's Policy of Title Insurance,situated nearest the Real Estate or as shall be agreed mutually by the Parties. 47 7. POSSESSION: Unless otherwise provided in Paragraph 40, Seller shall deliver possession to Buyer at Closing. 48 Possession shall be deemed to have been delivered when Seller has vacated the Real Estate and delivered keys 49 to the Real Estate to Buyer or to the office of the Seller's Brokerage. 50 8. MORTGAGE CONTINGENCY: If this transaction is NOT CONTINGENT ON FINANCING, Optional Paragraph 36 a) OR 51 Paragraph 36 b)MUST BE USED.If any portion of Paragraph 36 is used,the provisions of this Paragraph 8 are NOT APPLICABLE 52 This Contract is contingent upon Buyer obtaining a(check one]❑fixed;❑adjustable;[check one]❑conventional; 53 ❑FHA/VA(if FHA/VA is chosen, complete Paragraph 37); ❑ other loan for % 54 of the Purchase Price, plus private mortgage insurance (PMI), if required, with an interest rate (initial rate if an 55 adjustable rate mortgage used)not to exceed %per annum, amortized over not less than years. 56 Buyer shall pay loan origination fee and/or discount points not to exceed % of the loan amount. Buyer 57 shall pay usual and customary processing fees and closing costs charged by lender. (Complete Paragraph 35 if 58 closing cost credits apply). 59 Buyer shall make written loan application within five (5) Business Days after the Date of Acceptance; failure to 60 do so shall constitute an act of Default under this Contract. (Complete both a) and b)]: 61 a) Not later than , 20 , (if no date is inserted, the date shall be twenty-one (21) days after 62 the Date of Acceptance) Buyer shall provide written evidence from Buyer's licensed lending institution 63 confirming that Buyer has provided to such lending institution an "Intent to Proceed" as that term is defined 64 in the rules of the Consumer Financial Protection Bureau and has paid all lender application and appraisal 65 fees. If Buyer is unable to provide such written evidence, Seller shall have the option of declaring this 66 Contract terminated by giving Notice to the other Party not later than two (2) Business Days after the date 67 specified herein or any extension date agreed to by the Parties in writing. 68 b) Not later than , 20 , (if no date is inserted, the date shall be sixty (60) days after the 69 Date of Acceptance) Buyer shall provide written evidence from Buyer's licensed lending institution 70 confirming that Buyer has received a written mortgage commitment for the loan referred to above. If Buyer 71 is unable to provide such written evidence either Buyer or Seller shall have the option of declaring this 72 Contract terminated by giving Notice to the other Party not later than two (2) Business Days after the date 73 specified herein or any extension date agreed to by the Parties in writing. 74 A Party causing delay in the loan approval process shall not have the right to terminate under either of the 75 preceding paragraphs. In the event neither Party elects to declare this Contract terminated as of the latter of 76 the dates specified above (as may be amended from time to time), then this Contract shall continue in full 77 force and effect without any loan contingencies. 78 Unless otherwise provided in Paragraph 32, this Contract shall not be contingent upon the sale and/or 79 closing of Buyer's existing real estate. Buyer shall be deemed to have satisfied the financing conditions of this 80 paragraph if Buyer obtains a loan commitment in accordance with the terms of this paragraph even though the 81 loan is conditioned on the sale and/or closing of Buyer's existing real estate. 82 9. STATUTORY DISCLOSURES: If applicable, prior to signing this Contract,Buyer: 83 (check one]gthas Ehas not received a completed Illinois Residential Real Property Disclosure; 84 (check one]ghas Ehas not received the EPA Pamphlet, "Protect Your Family From Lead In Your Home"; 85 [check one]ghas Ehas not received a Lead-Based Paint Disclosure; 86 [check one]Ighas Ehas not received the IEMA, "Radon Testing Guidelines for Real Estate Transactions"; Buyer Initial 'f 1.uyer Initial Seller Initial Seller Initial Address: L'-' .4 "C:rc Q— i>V.>F, , EL &4..sa c`7A v6.1 Page 2 of 13 87 (check onelhas Ehas not received the Disclosure of Information on Radon Hazards. 88 10. PRORATIONS: Proratable items shall include without limitation, rents and deposits (if any) from tenants; 89 Special Service Area or Special Assessment Area tax for the year of Closing only; utilities, water and sewer;and 90 Homeowner or Condominium Association fees (and Master/Umbrella Association fees, if applicable). 91 Accumulated reserves of a Homeowner/Condominium Association(s) are not a proratable item. Seller 92 represents that as of the Date of Acceptance Homeowner/Condominium Association(s) fees are$ 93 per (and,if applicable Master/Umbrella Association fees are$ per ). 94 Seller agrees to pay prior to or at Closing any special assessments (by any association or governmental entity) 95 confirmed prior to the Date of Acceptance. Special Assessment Area or Special Service Area installments due 96 after the year of Closing shall not be proratable items and shall be paid by Buyer. The general Real Estate taxes 97 shall be prorated as of the date of Closing based on 100 %of the most recent ascertainable full year tax bill. All 98 prorations shall be final as of Closing, except as provided in Paragraph 22. If the amount of the most recent 99 ascertainable full year tax bill reflects a homeowner, senior citizen or other exemption, a senior freeze or senior 100 deferral, then Seller has submitted or will submit in a timely manner all necessary documentation to the 101 appropriate governmental entity, before or after Closing, to preserve said exemption(s). The requirements of 102 this Paragraph shall survive the Closing. 103 11. ATTORNEY REVIEW: Within five (5) Business Days after Date of Acceptance, the attorneys for the respective 104 Parties,by Notice,may: 105 a) Approve this Contract;or 106 b) Disapprove this Contract,which disapproval shall not be based solely upon the Purchase Price;or 107 c) Propose modifications except for the Purchase Price. If within ten (10) Business Days after the Date of 108 Acceptance written agreement is not reached by the Parties with respect to resolution of the proposed 109 modifications, then either Party may terminate this Contract by serving Notice, whereupon this Contract 110 shall be null and void; or 111 d) Propose suggested changes to this Contract. If such suggestions are not agreed upon, neither Party may 112 declare this Contract null and void and this Contract shall remain in full force and effect. 113 Unless otherwise specified, all Notices shall be deemed made pursuant to Paragraph 11 c). If Notice is not 114 served within the time specified herein, the provisions of this paragraph shall be deemed waived by the 115 Parties and this Contract shall remain in full force and effect. 116 12. PROFESSIONAL INSPECTIONS AND INSPECTION NOTICES: Buyer may conduct at Buyer's expense (unless 117 otherwise provided by governmental regulations) any or all of the following inspections of the Real Estate by 118 one or.more licensed or certified inspection services: home, radon, environmental, lead-based paint, lead-based 119 paint hazards or wood-destroying insect infestation. 120 a) Buyer agrees that minor repairs and routine maintenance items of the Real Estate do not constitute defects 121 and are not a part of this contingency. The fact that a functioning major component may be at the end of 122 its useful life shall not render such component defective for purposes of this paragraph. Buyer shall 123 indemnify Seller and hold Seller harmless from and against any loss or damage caused by the acts of 124 negligence of Buyer or any person performing any inspection. The home inspection shall cover only the 125 major components of the Real Estate, including but not limited to central heating system(s), central cooling 126 system(s), plumbing and well system, electrical system, roof, walls, windows, doors, ceilings, floors, 127 appliances and foundation. A major component shall be deemed to be in operating condition if it performs 128 the function for which it is intended, regardless of age, and does not constitute a threat to health or safety. If 129 radon mitigation is performed, Seller shall pay for any retest. Buyer Initialer Initial Seller Initial Seller Initial Address: L. CO—DOA , EX-40 v6.1 Page 3 of 13 130 b) Buyer shall serve Notice upon Seller or Seller's attorney of any defects disclosed by any inspection for which 131 Buyer requests resolution by Seller, together with a copy of the pertinent pages of the inspection reports 132 within five (5) Business Days (ten (10) calendar days for a lead-based paint or lead-based paint hazard 133 inspection) after the Date of Acceptance. If within ten (10) Business Days after the Date of Acceptance 134 written agreement is not reached by the Parties with respect to resolution of all inspection issues, then either 135 Party may terminate this Contract by serving Notice to the other Party, whereupon this Contract shall be 136 null and void. 137 c) Notwithstanding anything to the contrary set forth above in this paragraph, in the event the inspection 138 reveals that the condition of the Real Estate is unacceptable to Buyer and Buyer serves Notice to Seller 139 within five (5)Business Days after the Date of Acceptance, this Contract shall be null and void. Said Notice 140 shall not include any portion of the inspection reports unless requested by Seller. 141 d) Failure of Buyer to conduct said inspection(s) and notify Seller within the time specified operates as a 142 waiver of Buyer's rights to terminate this Contract under this Paragraph 12 and this Contract shall remain 143 in full force and effect. 144 13. HOMEOWNER INSURANCE: This Contract is contingent upon Buyer obtaining evidence of insurability for an 145 Insurance Service Organization HO-3 or equivalent policy at standard premium rates within ten (10) Business 146 Days after the Date of Acceptance. If Buyer is unable to obtain evidence of insurability and serves Notice 147 with proof of same to Seller within time specified, this Contract shall be null and void. If Notice is not 148 served within the time specified, Buyer shall be deemed to have waived this contingency and this Contract 149 shall remain in full force and effect. 150 14. FLOOD INSURANCE: Buyer shall have the option to declare this Contract null and void if the Real Estate is 151 located in a special flood hazard area. If Notice of the option to declare contract null and void is not given to 152 Seller within ten (10) Business Days after the Date of Acceptance or by the time specified in Paragraph 8 b), 153 whichever is later, Buyer shall be deemed to have waived such option and this Contract shall remain in full 154 force and effect. Nothing herein shall be deemed to affect any rights afforded by the Residential Real Property 155 Disclosure Act. 156 15. CONDOMINIUM/COMMON INTEREST ASSOCIATIONS: (If applicable) The Parties agree that the terms 157 contained in this paragraph, which may be contrary to other terms of this Contract, shall supersede any 158 conflicting terms. 159 a) Title when conveyed shall be good and merchantable, subject to terms, provisions, covenants and conditions 160 of the Declaration of Condominium/Covenants, Conditions and Restrictions ("Declaration/CCRs") and all 161 amendments; public and utility easements including any easements established by or implied from the 162 Declaration/CCRs or amendments thereto; party wall rights and agreements; limitations and conditions 163 imposed by the Condominium Property Act; installments due after the date of Closing of general 164 assessments established pursuant to the Declaration/CCRs. 165 b) Seller shall be responsible for payment of all regular assessments due and levied prior to Closing and for all 166 special assessments confirmed prior to the Date of Acceptance. 167 c) Seller shall notify Buyer of any proposed special assessment or increase in any regular assessment between 168 the Date of Acceptance and Closing. The Parties shall have three (3) Business Days to reach agreement 169 relative to payment thereof. Absent such agreement either Party may declare the Contract null and void. 170 d) Seller shall, within five (5) Business Days from the Date of Acceptance, apply for those items of disclosure 171 upon sale as described in the Illinois Condominium Property Act, and provide same in a timely manner,but 172 no later than the time period provided for by law. This Contract is subject to the condition that Seller be able Buyer Initial ( er Initial Seller Initial Seller Initial Address: _ _l'Z T_4 CARDI bbl v6.1 Page 4 of 13 • 173 to procure and provide to Buyer a release or waiver of any right of first refusal or other pre-emptive rights to 174 purchase created by the Declaration/CCRs. In the event the Condominium Association requires the personal 175 appearance of Buyer or additional documentation,Buyer agrees to comply with same. 176 e) In the event the documents and information provided by Seller to Buyer disclose that the existing 177 improvements are in violation of existing rules, regulations or other restrictions or that the terms and 178 conditions contained within the documents would unreasonably restrict Buyer's use of the premises or 179 would result in financial obligations unacceptable to Buyer in connection with owning the Real Estate, then 180 Buyer may declare this Contract null and void by giving Seller Notice within five (5) Business Days after the 181 receipt of the documents and information required by this Paragraph, listing those deficiencies which are 182 unacceptable to Buyer. If Notice is not served within the time specified, Buyer shall be deemed to have 183 waived this contingency, and this Contract shall remain in full force and effect. 184 f) Seller shall not be obligated to provide a condominium survey. 185 g) Seller shall provide a certificate of insurance showing Buyer and Buyer's mortgagee,if any, as an insured. 186 16. THE DEED: Seller shall convey or cause to be conveyed to Buyer or Buyer's Designated grantee good and 187 merchantable title to the Real Estate by recordable Warranty Deed, with release of homestead rights, (or the 188 appropriate deed if title is in trust or in an estate), and with real estate transfer stamps to be paid by Seller 189 (unless otherwise designated by local ordinance). Title when conveyed will be good and merchantable, subject 190 only to: covenants, conditions and restrictions of record and building lines and easements, if any, provided they 191 do not interfere with the current use and enjoyment of the Real Estate; and general real estate taxes not due and 192 payable at the time of Closing. 193 17. MUNICIPAL ORDINANCE,TRANSFER TAX, AND GOVERNMENTAL COMPLIANCE: 194 a) The Parties are cautioned that the Real Estate may be situated in a municipality that has adopted a pre- 195 closing inspection requirement, municipal Transfer Tax or other similar ordinances. Transfer taxes required 196 by municipal ordinance shall be paid by the Party designated in such ordinance. 197 b) The Parties agree to comply with the reporting requirements of the applicable sections of the Internal 198 Revenue Code and the Real Estate Settlement Procedures Act of 1974, as amended. 199 18. TITLE: At Seller's expense, Seller will deliver or cause to be delivered to Buyer or Buyer's attorney within 200 customary time limitations and sufficiently in advance of Closing, as evidence of title in Seller or Grantor, a title 201 commitment for an ALTA title insurance policy in the amount of the Purchase Price with extended coverage by 202 a title company licensed to operate in the State of Illinois, issued on or subsequent to the Date of Acceptance, 203 subject only to items listed in Paragraph 16.The requirement to provide extended coverage shall not apply if the 204 Real Estate is vacant land. The commitment for title insurance furnished by Seller will be presumptive evidence 205 of good and merchantable title as therein shown, subject only to the exceptions therein stated. If the title 206 commitment discloses any unpermitted exceptions or if the Plat of Survey shows any encroachments or other 207 survey matters that are not acceptable to Buyer, then Seller shall have said exceptions, survey matters or 208 encroachments removed, or have the title insurer commit to either insure against loss or damage that may 209 result from such exceptions or survey matters or insure against any court-ordered removal of the 210 encroachments. If Seller fails to have such exceptions waived or insured over prior to Closing, Buyer may elect 211 to take title as it then is with the right to deduct from the Purchase Price prior encumbrances of a definite or 212 ascertainable amount. Seller shall furnish Buyer at Closing an Affidavit of Title covering the date of Closing, and 213 shall sign any other customary forms required for issuance of an ALTA Insurance Policy. 214 19. PLAT OF SURVEY: Not less than one (1) Business Day prior to Closing, except where the Real Estate is a 215 condominium (see Paragraph 15) Seller shall, at Seller's expense, furnish to Buyer or Buyer's attorney a Plat of Buyer Initial.Buyer Initial Seller Initial Seller Initial Address: l 2 5 ' t C-rvelMO- 'AVE . ELS t..4 ••• 6,=6 v6.1 Page 5 of l3 216 Survey that conforms to the current Minimum Standard of Practice for boundary surveys, is dated not more 217 than six (6) months prior to the date of Closing, and is prepared by a professional land surveyor licensed to 218 practice land surveying under the laws of the State of Illinois. The Plat of Survey shall show visible evidence of 219 improvements, rights of way, easements, use and measurements of all parcel lines. The land surveyor shall set 220 monuments or witness corners at all accessible corners of the land. All such corners shall also be visibly staked 221 or flagged. The Plat of Survey shall include the following statement placed near the professional land surveyor's 222 seal and signature: "This professional service conforms to the current Illinois Minimum Standards for a 223 boundary survey." A Mortgage Inspection, as defined, is not a boundary survey and is not acceptable. 224 20. DAMAGE TO REAL ESTATE OR CONDEMNATION PRIOR TO CLOSING: If prior to delivery of the deed the 225 Real Estate shall be destroyed or materially damaged by fire or other casualty, or the Real Estate is taken by 226 condemnation, then Buyer shall have the option of either terminating this Contract (and receiving a refund of 227 earnest money) or accepting the Real Estate as damaged or destroyed, together with the proceeds of the 228 condemnation award or any insurance payable as a result of the destruction or damage, which gross proceeds 229 Seller agrees to assign to Buyer and deliver to Buyer at Closing. Seller shall not be obligated to repair or replace 230 damaged improvements. The provisions of the Uniform Vendor and Purchaser Risk Act of the State of Illinois 231 shall be applicable to this Contract,except as modified by this paragraph. 232 21. CONDITION OF REAL ESTATE AND INSPECTION: Seller agrees to leave the Real Estate in broom clean 233 condition. All refuse and personal property that is not to be conveyed to Buyer shall be removed from the Real 234 Estate at Seller's expense prior to delivery of Possession. Buyer shall have the right to inspect the Real Estate, 235 fixtures and included Personal Property prior to Possession to verify that the Real Estate, improvements and 236 included Personal Property are in substantially the same condition as of the Date of Acceptance, normal wear 237 and tear excepted. 238 22. REAL ESTATE TAX ESCROW: In the event the Real Estate is improved,but has not been previously taxed for 239 the entire year as currently improved, the sum of three percent (3%) of the Purchase Price shall be deposited in 240 escrow with the title company with the cost of the escrow to be divided equally by Buyer and Seller and paid at 241 Closing. When the exact amount of the taxes to be prorated under this Contract can be ascertained, the taxes 242 shall be prorated by Seller's attorney at the request of either Party and Seller's share of such tax liability after 243 proration shall be paid to Buyer from the escrow funds and the balance, if any, shall be paid to Seller. If Seller's 244 obligation after such proration exceeds the amount of the escrow funds, Seller agrees to pay such excess 245 promptly upon demand. 246 23. SELLER REPRESENTATIONS: Seller's representations contained in this paragraph shall survive the Closing. 247 Seller represents that with respect to the Real Estate Seller has no knowledge of nor has Seller received any 248 written notice from any association or governmental entity regarding: 249 a) zoning,building, fire or health code violations that have not been corrected; 250 b) any pending rezoning; 251 c) boundary line disputes; 252 d) any pending condemnation or Eminent Domain proceeding; 253 e) easements or claims of easements not shown on the public records; 254 f) any hazardous waste on the Real Estate; 255 g) any improvements to the Real Estate for which the required initial and final permits were not obtained; 256 h) any improvements to the Real Estate which are not induded in full in the determination of the most recent tax assessment or 257 i) any improvements to the Real Estate which are eligible for the home improvement tax exemption. 258 Seller further represents that: Buyer Initial�1 .... ;-Initial Seller Initial Seller Initial Address: kor-Z‘.7. 1 v6.1 Page 6 of 13 • 259 [Initials There [check one]❑is fR3is not a pending or unconfirmed special assessment 260 affe t Re Estate by any association or governmental entity payable by Buyer after the date of Closing. 261 The Real Estate [check one]Dis Eis not located within a Special Assessment Area or 262 Special Service Area, payments for which will not be the obligation of Seller after the year in which the Closing occurs. 263 All Seller representations shall be deemed re-made as of Closing. If prior to Closing Seller becomes aware of 264 matters that require modification of the representations previously made in this Paragraph 23, Seller shall 265 promptly notify Buyer. If the matters specified in such Notice are not resolved prior to Closing, Buyer may 266 terminate this Contract by Notice to Seller and this Contract shall be null and void. 267 24. BUSINESS DAYS/HOURS: Business Days are defined as Monday through Friday, excluding Federal 268 holidays. Business Hours are defined as 8:00 A.M. to 6:00 P.M.Chicago time. 269 25. FACSIMILE OR DIGITAL SIGNATURES: Facsimile or digital signatures shall be sufficient for purposes of 270 executing, negotiating, and finalizing this Contract, and delivery thereof by one of the following methods shall 271 be deemed delivery of this Contract containing original signature(s). An acceptable facsimile signature may be 272 produced by scanning an original, hand-signed document and transmitting same by facsimile. An acceptable 273 digital signature may be produced by use of a qualified, established electronic security procedure mutually 274 agreed upon by the Parties. Transmissions of a digitally signed copy hereof shall be by an established, mutually 275 acceptable electronic method, such as creating a PDF ("Portable Document Format") document incorporating 276 the digital signature and sending same by electronic mail. 277 26. DIRECTION TO ESCROWEE: In every instance where this Contract shall be deemed null and void or if this 278 Contract may be terminated by either Party, the following shall be deemed incorporated: "and Earnest Money 279 refunded upon the joint written direction by the Parties to Escrowee or upon an entry of an order by a court of 280 competent jurisdiction." 281 In the event either Party has declared the Contract null and void or the transaction has failed to close as 282 provided for in this Contract and if Escrowee has not received joint written direction by the Parties or such court 283 order, the Escrowee may elect to proceed as follows: 284 a) Escrowee shall give written Notice to the Parties as provided for in this Contract at least fourteen (14) days 285 prior to the date of intended disbursement of Earnest Money indicating the manner in which Escrowee 286 intends to disburse in the absence of any written objection. If no written objection is received by the date 287 indicated in the Notice then Escrowee shall distribute the Earnest Money as indicated in the written Notice 288 to the Parties. If any Party objects in writing to the intended disbursement of Earnest Money then Earnest 289 Money shall be held until receipt of joint written direction from all Parties or until receipt of an order of a 290 court of competent jurisdiction. 291 b) Escrowee may file a Suit for Interpleader and deposit any funds held into the Court for distribution after 292 resolution of the dispute between Seller and Buyer by the Court. Escrowee may retain from the funds 293 deposited with the Court the amount necessary to reimburse Escrowee for court costs and reasonable 294 attorney's fees incurred due to the filing of the Interpleader. If the amount held in escrow is inadequate to 295 reimburse Escrowee for the costs and attorney's fees, Buyer and Seller shall jointly and severally indemnify 296 Escrowee for additional costs and fees incurred in filing the Interpleader action. 297 27. NOTICE: Except as provided in Paragraph 32 c) 2) regarding the manner of service for "kick-out" Notices, all 298 Notices shall be in writing and shall be served by one Party or attorney to the other Party or attorney. Notice to 299 any one of the multiple person Party shall be sufficient Notice to all.Notice shall be given in the following manner: 300 a) By personal delivery;or Buyer Initialayer Initial Seller Initial Seller Initial Address: V4 C.t.,.OR,& -A'4- S-Ao‘ _,`. 4oCt2a v6.1 Page 7of13 • 301 b) By mailing to the addresses recited herein by regular mail and by certified mail,return receipt requested.Except 302 as otherwise provided herein,Notice served by certified mail shall be effective on the date of mailing;or 303 c) By facsimile transmission. Notice shall be effective as of date and time of the transmission, provided that the 304 Notice transmitted shall be sent on Business Days during Business Hours. hi the event Notice is transmitted 305 during non-business hours, the effective date and time of Notice is the first hour of the next Business Day after 306 transmission;or 307 d) By e-mail transmission if an e-mail address has been furnished by the recipient Party or the recipient Party's 308 attorney to the sending Party or is shown in this Contract. Notice shall be effective as of date and time of e-mail 309 transmission, provided that, in the event e-mail Notice is transmitted during non-business hours, the effective 310 date and time of Notice is the first hour of the next Business Day after transmission. An attorney or Party may 311 opt out of future e-mail Notice by any form of Notice provided by this Contract;or 312 e) By commercial overnight delivery (e.g., FedEx). Such Notice shall be effective on the next Business Day 313 following deposit with the overnight delivery company. 314 28. PERFORMANCE: Time is of the essence of this Contract.In any action with respect to this Contract, the Parties 315 are free to pursue any legal remedies at law or in equity and the prevailing party in litigation shall be entitled to 316 collect reasonable attorney fees and costs from the non-prevailing party as ordered by a court of competent jurisdiction. 317 29. CHOICE OF LAW AND GOOD FAITH: All terms and provisions of this Contract including but not limited to the 318 Attorney Review and Professional Inspection paragraphs shall be governed by the laws of the State of Illinois and 319 are subject to the covenant of good faith and fair dealing implied in all Illinois contracts. 320 30. OTHER PROVISIONS: This Contract is also subject to those OPTIONAL PROVISIONS initialed by the Parties 321 and the following additional attachments,if any: Pursuant to section 28 of the Real Estate Purchase Addendum 322 this document is subject to all terms and conditions set forth in the Real Estate Purchase Addendum. 323 OPTIONAL PROVISIONS(Applicable ONLY if initialed by all Parties) 324 [Initials) 31. CONFIRMATION OF DUAL AGENCY: The Parties confirm that they have previously 325 consented to (Licensee) acting as a Dual Agent in providing 326 brokerage services on their behalf and specifically consent to Licensee acting as a Dual Agent with regard to the 327 transaction referred to in this Contract. 328 32. SALE OF BUYER'S REAL ESTATE: 329 a) REPRESENTATIONS ABOUT BUYER'S REAL ESTATE:Buyer represents to Seller as follows: 330 1) Buyer owns real estate(hereinafter referred to as"Buyer's real estate")with the address of: 331 332 Address City State Zip 333 2) Buyer(check one]Ohas Dias not entered into a contract to sell Buyer's real estate. 334 If Buyer has entered into a contract to sell Buyer's real estate, that contract: 335 a) [check one]Es Ds not subject to a mortgage contingency. 336 b) (check one]Dis Ds not subject to a real estate sale contingency. 337 c) (check one]Dis ❑iis not subject to a real estate closing contingency. 338 3) Buyer [check one]Ohas Ohas not listed Buyer's real estate for sale with a licensed real estate broker and 339 in a local multiple listing service. 340 4) If Buyer's real estate is not listed for sale with a licensed real estate broker and in a local multiple listing 341 service,Buyer(check one]: Buyer Initial r Initial Seller Initial Seller Initial Address: Ira 'M.-- So co v6.1 Page 8 of 13 • • 342 a) hall list real estate for sale with a licensed real estate broker who will place it in a local multiple 343 listing service within five(5)Business Days after Date of Acceptance. 344 (For information only]Broker: 345 Broker's Address: Phone: 346 b) ❑ Does not intend to list said real estate for sale. 347 b) CONTINGENCIES BASED UPON SALE AND/OR CLOSING OF REAL ESTATE: 348 1) This Contract is contingent upon Buyer having entered into a contract for the sale of Buyer's real estate that 349 is in full force and effect as of ,20 . Such contract should provide for a dosing 350 date not later than the Closing Date set forth in this Contract. If Notice is served on or before the date set 351 forth in this subparagraph that Buyer has not procured a contract for the sale of Buyer's real estate,this 352 Contract shall be null and void. If Notice that Buyer has not procured a contract for the sale of Buyer's 353 real estate is not served on or before the close of business on the date set forth in this subparagraph, 354 Buyer shall be deemed to have waived all contingencies contained in this Paragraph 32, and this 355 Contract shall remain in full force and effect. (If this paragraph is used,then the following paragraph must 356 be completed.) 357 2) In the event Buyer has entered into a contract for the sale of Buyer's real estate as set forth in Paragraph 32 358 b) 1) and that contract is in full force and effect, or has entered into a contract for the sale of Buyer's real 359 estate prior to the execution of this Contract, this Contract is contingent upon Buyer closing the sale of 360 Buyer's real estate on or before ,20 . If Notice that Buyer has not dosed the sale 361 of Buyer's real estate is served before the close of business on the next Business Day after the date set 362 forth in the preceding sentence,this Contract shall be null and void. If Notice is not served as described 363 in the preceding sentence, Buyer shall have deemed to have waived all contingencies contained in this 364 Paragraph 32,and this Contract shall remain in full force and effect. 365 3) If the contract for the sale of Buyer's real estate is terminated for any reason after the date set forth in 366 Paragraph 32 b) 1) (or after the date of this Contract if no date is set forth in Paragraph 32 b) 1)),Buyer shall, 367 within three (3) Business Days of such termination, notify Seller of said termination. Unless Buyer, as part 368 of said Notice,waives all contingencies in Paragraph 32 and complies with Paragraph 32 d),this Contract 369 shall be null and void as of the date of Notice. If Notice as required by this subparagraph is not served 370 within the time specified,Buyer shall be in default under the terms of this Contract. 371 c) SELLER'S RIGHT TO CONTINUE TO OFFER REAL ESTATE FOR SALE: During the time of this contingency, 372 Seller has the right to continue to show the Real Estate and offer it for sale subject to the following: 373 1) If Seller accepts another bona fide offer to purchase the Real Estate while contingencies expressed in 374 Paragraph 32 b)are in effect, Seller shall notify Buyer in writing of same.Buyer shall then have 375 hours after Seller gives such Notice to waive the contingencies set forth in Paragraph 32 b), subject to 376 Paragraph 32 d). 377 2) Seller's Notice to Buyer(commonly referred to as a'kick-out' Notice)shall be in writing and shall be served 378 on Buyer,not Buyer's attorney or Buyer's real estate agent. Courtesy copies of such'kick-out' Notice should 379 be sent to Buyer's attorney and Buyer's real estate agent, if known. Failure to provide such courtesy copies 380 shall not render Notice invalid. Notice to any one of a multiple-person Buyer shall be sufficient Notice to all 381 Buyers. Notice for the purpose of this subparagraph only shall be served upon Buyer in the following manner: 382 a) By personal delivery effective at the time and date of personal delivery;or 383 b) By mailing to the address recited herein for Buyer by regular mail and by certified mail. Notice shall be 384 effective at 10:00 A.M.on the morning of the second day following deposit of Notice in the U.S.Mail;or Buyer Initial t er nitial Seller Initial Seller Initial Address: L2_,s-4 Csvo b.Q. ' . , v6.1 Page 9 of 13 385 c) By commercial delivery overnight (e.g., FedEx). Notice shall be effective upon delivery or at 4:00 P.M. 386 Chicago time on the next delivery day following deposit with the overnight delivery company, 387 whichever first occurs. 388 3) If Buyer complies with the provisions of Paragraph 32 d)then this Contract shall remain in full force and effect. 389 4) If the contingencies set forth in Paragraph 32 b) are NOT waived in writing, within said time period by 390 Buyer,this Contract shall be null and void. 391 5) Except as provided in Paragraph 32 c) 2) above, all Notices shall be made in the manner provided by 392 Paragraph 27 of this Contract. 393 6) Buyer waives any ethical objection to the delivery of Notice under this paragraph by Seller's attorney or 394 representative. 395 d) WAIVER OF PARAGRAPH 32 CONTINGENCIES: Buyer shall be deemed to have waived the contingencies in 396 Paragraph 32 b) when Buyer has delivered written waiver and deposited with the Escrowee additional earnest 397 money in the amount of$ in the form of a cashier's or certified check within the time 398 specified.If Buyer fails to deposit the additional earnest money within the time specified,the waiver shall be 399 deemed ineffective and this Contract shall be null and void. 400 e) BUYER COOPERATION REQUIRED: Buyer authorizes Seller or Seller's agent to verify representations contained 401 in Paragraph 32 at any time,and Buyer agrees to cooperate in providing relevant information. 402 33. CANCELLATION OF PRIOR REAL ESTATE CONTRACT: In the event either Party has entered 403 into a prior real estate contract,this Contract shall be subject to written cancellation of the prior contract on or before 404 ,20 . In the event the prior contract is not cancelled within the time specified, this 405 Contract shall be null and void. Seller's notice to the purchaser under the prior contract should not be served 406 until after Attorney Review and Professional Inspections provisions of this Contract have expired, been 407 satisfied or waived. 408 34. HOME WARRANTY: Seller shall provide at no expense to Buyer a Home Warranty at a cost 409 of$ .Evidence of a fully pre-paid policy shall be delivered at Closing. 410 35. CREDIT AT CLOSING: Provided Buyer's lender permits such credit to show on the HUD-1 411 Settlement Statement or Closing Disclosure, and if not, such lesser amount as the lender permits, Seller agrees to 412 credit$ to Buyer at Closing to be applied to prepaid expenses,dosing costs or both. 413 � 36. TRANSACTIONS NOT CONTINGENT ON FINANCING: IF EITHER OF THE FOLLOWING 414 L RNATIVE OPTIONS IS SELECTED, THE PROVISIONS OF THE MORTGAGE CONTINGENCY PARAGRAPH 8 415 SHALL NOT APPLY [CHOOSE ONLY ONE]: 416 a) Transaction With No Mortgage(All Cash): If this selection is made,Buyer will pay at dosing, 417 in the form of "Good Funds" the difference (plus or minus prorations) between the Purchase Price and the 418 amount of the Earnest Money deposited pursuant to Paragraph 4 above. Buyer represents to Seller, as of the 419 Date of Offer, that Buyer has sufficient funds available to satisfy the provisions of this paragraph. Buyer agrees 420 to verify the above representation upon the reasonable request of Seller and to authorize the disclosure of such 421 financial information to Seller, Seller's attorney or Seller's broker that may be reasonably necessary to prove the 422 availability of sufficient funds to close. Buyer understands and agrees that, so long as Seller has fully complied 423 with Seller's obligations under this Contract, any act or omission outside of the control of Seller, whether 424 intentional or not, that prevents Buyer from satisfying the balance due from Buyer at closing, shall constitute a 425 material breach of this Contract by Buyer. The Parties shall share the title company escrow closing fee equally. 426 Unless otherwise provided in Paragraph 32, this Contract shall not be contingent upon the sale and/or 427 closing of Buyer's existing real estate. Buyer Initial 1 ( itial Seller Initial Seller Initial Address: 1.2..s.-4 Cie IDS fit-42. tN S`,, Coa`•-z,c7-> v6.1 Page 10of13 428 b) Transaction, Mortgage Allowed: If this selection is made, Buyer will pay at closing, in the 429 form of"Good Funds" the difference (plus or minus prorations)between the Purchase Price and the amount of 430 the Earnest Money deposited pursuant to Paragraph 4 above. Buyer represents to Seller, as of the Date of Offer, 431 that Buyer has sufficient funds available to satisfy the provisions of this paragraph. Buyer agrees to verify the 432 above representation upon the reasonable request of Seller and to authorize the disclosure of such financial 433 information to Seller, Seller's attorney or Seller's,broker that may be reasonably necessary to prove the 434 availability of sufficient funds to close. Notwithstanding such representation, Seller agrees to reasonably and 435 promptly cooperate with Buyer so that Buyer may apply for and obtain a mortgage loan or loans including but 436 not limited to providing access to the Real Estate to satisfy Buyer's obligations to pay the balance due (plus or 437 minus prorations) to close this transaction. Such cooperation shall include the performance in a timely manner 438 of all of Seller's pre-dosing obligations under this Contract. This Contract shall NOT be contingent upon 439 Buyer obtaining financing. Buyer understands and agrees that, so long as Seller has fully complied with 440 Seller's obligations under this Contract, any act or omission outside of the control of Seller, whether intentional 441 or not, that prevents Buyer from satisfying the balance due from Buyer at Closing shall constitute a material 442 breach of this Contract by Buyer. Buyer shall pay the title company escrow closing fee. Unless otherwise 443 provided in Paragraph 32, this Contract shall not be contingent upon the sale and/or dosing of Buyer's 444 existing real estate. 445 37. VA OR FHA FINANCING: If Buyer is seeking VA or FHA financing, required FHA or VA 446 amendments and disclosures shall be attached to this Contract. If VA, the Funding Fee, or if FHA, the Mortgage 447 Insurance Premium(MIP)shall be paid by Buyer and[check one]Dshall Fl.shall not be added to the mortgage loan amount. 448 38. WELL OR SANITARY SYSTEM INSPECTIONS: Seller shall obtain at Seller's expense a well 449 water test stating that the well delivers not less than five (5) gallons of water per minute and including a bacteria 450 and nitrate test and/or a septic report from the applicable County Health Department, a Licensed Environmental 451 Health Practitioner, or a licensed well and septic inspector, each dated not more than ninety (90) days prior to 452 Closing, stating that the well and water supply and the private sanitary system are in operating condition with no 453 defects noted.Seller shall remedy any defect or deficiency disclosed by said report(s)prior to Closing,provided that 454 if the cost of remedying a defect or deficiency and the cost of landscaping together exceed $3,000.00, and if the 455 Parties cannot reach agreement regarding payment of such additional cost, this Contract may be terminated by 456 either Party. Additional testing recommended by the report shall be obtained at the Seller's expense. If the report 457 recommends additional testing after Closing, the Parties shall have the option of establishing an escrow with a 458 mutual cost allocation for necessary repairs or replacements, or either Party may terminate this Contract prior to 459 Closing. Seller shall deliver a copy of such evaluation(s) to Buyer not less than ten (10) Business Days prior to 460 Closing. 461 39. WOOD DESTROYING INFESTATION: Notwithstanding the provisions of Paragraph 12, 462 within ten(10) Business Days after the Date of Acceptance,Seller at Seller's expense shall deliver to Buyer a written 463 report, dated not more than six (6) months prior to the Date of Closing, by a licensed inspector certified by the 464 appropriate state regulatory authority in the subcategory of termites, stating that there is no visible evidence of 465 active infestation by termites or other wood destroying insects. Unless otherwise agreed between the Parties, if the 466 report discloses evidence of active infestation or structural damage, Buyer has the option within five (5) Business 467 Days of receipt of the report to proceed with the purchase or to declare this Contract null and void. 468 40. POST CLOSING POSSESSION: Possession shall be delivered no later than 11:59 P.M.on the 469 date that is days after the date of Closing ("the Possession Date"). Seller shall be responsible for all 470 utilities, contents and liability insurance, and home maintenance expenses until delivery of possession. Seller shall Buyer InitialInitial Seller Initial Seller Initial Address: I Z 4' ��O�P� ' 'E �l �o�� S` v6.1 Page 11 of 13 471 deposit in escrow at Closing with , (check one]❑one percent(1%) 472 of the Purchase Price or❑the sum of$ to be paid by Escrowee as follows: 473 a) The sum of$_ per day for use and occupancy from and including the day after Closing to 474 and including the day of delivery of Possession,if on or before the Possession Date; 475 b) The amount per day equal to three (3) times the daily amount set forth herein shall be paid for each day after 476 the Possession Date specified in this paragraph that Seller remains in possession of the Real Estate;and 477 c) The balance, if any, to Seller after delivery of Possession and provided that the terms of Paragraph 21 have been 478 satisfied. Seller's liability under this paragraph shall not be limited to the amount of the possession escrow 479 deposit referred to above.Nothing herein shall be deemed to create a LandlordfFenant relationship between the Parties. 480 41. "AS IS" CONDITION: This Contract is for the sale and purchase of the Real Estate in its"As 481 Is" condition as of the Date of Offer. Buyer acknowledges that no representations, warranties or guarantees with 482 respect to the condition of the Real Estate have been made by Seller or Seller's Designated Agent other than those 483 known defects, if any, disclosed by Seller.Buyer may conduct an inspection at Buyer's expense.In that event,Seller 484 shall make the Real Estate available to Buyer's inspector at reasonable times. Buyer shall indemnify Seller and hold 485 Seller harmless from and against any loss or damage caused by the acts of negligence of Buyer or any person 486 performing any inspection. In the event the inspection reveals that the condition of the Real Estate is 487 unacceptable to Buyer and Buyer so notifies Seller within five (5) Business Days after the Date of Acceptance, 488 this Contract shall be null and void. Buyer's notice SHALL NOT include a copy of the inspection report, and 489 Buyer shall not be obligated to send the inspection report to Seller absent Seller's written request for same. 490 Failure of Buyer to notify Seller or to conduct said inspection operates as a waiver of Buyer's right to terminate 491 this Contract under this paragraph and this Contract shall remain in full force and effect. Buyer acknowledges 492 that the provisions of Paragraph 12 and the warranty provisions of Paragraph 5 do not apply to this Contract. 493 42. SPECIFIED PARTY APPROVAL: This Contract is contingent upon the approval of the Real 494 Estate by 495 Buyer's Specified Party, within five (5) Business Days after the Date of Acceptance. In the event Buyer's Specified 496 Party does not approve of the Real Estate and Notice is given to Seller within the time specified, this Contract shall 497 be null and void. If Notice is not served within the time specified, this provision shall be deemed waived by the 498 Parties and this Contract shall remain in full force and effect. 499 43. INTEREST BEARING ACCOUNT: Earnest money (with a completed W-9 and other 500 required forms), shall be held in a federally insured interest bearing account at a financial institution designated 501 by Escrowee. All interest earned on the earnest money shall accrue to the benefit of and be paid to Buyer. Buyer 502 shall be responsible for any administrative fee (not to exceed $100) charged for setting up the account. In 503 anticipation of Closing, the Parties direct Escrowee to close the account no sooner than ten (10) Business Days 504 prior to the anticipated Closing date. 505 44. MISCELLANEOUS PROVISIONS: Buyer's and Seller's obligations are contingent upon the 506 Parties entering into a separate written agreement consistent with the terms and conditions set forth herein, and 507 with such additional terms as either Party may deem necessary,providing for one or more of the following(check applicable boxes]: 508 ❑Articles of Agreement for Deed ❑Assumption of Seller's Mortgage ❑Commercial/Investment 509 or Purchase Money Mortgage ❑Cooperative Apartment ['New Construction 510 ❑Short Sale ❑Tax-Deferred Exchange ['Vacant Land • Buyer Initial =Initial Seller Initial Seller Initial Address: L. C.E.a PN1 , S�--r t.�x-Z.� v6.1 Page 12 of 13 511 THIS DOCUMENT WILL BECOME A LEGALLY BINDING CONTRACT WHEN SIGNED BY ALL PARTIES AND DELIVERED TO THE PARTIES OR THEIR AGENTS. 512 THE PARTIES REPRESENT THAT THE TEXT OF THIS COPYRIGHTED FORM HAS NOT BEEN ALTERED AND IS IDENTICAL TO THE OFFICIAL 513 MULTI-BOARD RESIDENTIAL REAL ESTATE CONTRACT 6.1. 514 1 t- l Z. V7 515 I- - .C's-r DATE OF ACCEPTANCE 516 %I/i/ 517 Buyer Signature 3 ' {�ueIO.O-ss 4. Seller Signature 518 vcs L�-t,� Va.AwALze.Q=il--- 519 Buyer Signature Seller Signature 520 C lj Oc• ELCiz FANNIE MAE 521 Print Buyer(s)Name(s)[Required] Print Seller(s)Name(s)[Required] 522 t SS O nTcX-t�-�p c C. 523 Address Address 524 EL..tct v%) ��� (=or- 525 r-525 City State Zip City State Zip 526 i%4 I-42113 %- .y-__Ve.,)-17 c..ro mat; 527 Phone E-mail kec.•Pa•p.,Phone E-mail 528 FOR INFORMATION ONLY 529 TANIS Group Realty 53957 481.010506 530 Buyer's Brokerage MLS# State License# Seller's Brokerage MIS# State License# 531 122 W MAIN ST WEST DUNDEE 60118 532 Address City Zip Address City Zip 533 Joseph Mueller 53957 471.006369 534 Buyer's Designated Agent MLS# State License# Seller's Designated Agent MLS# State License# 535 847 594-4215 866 641-2192 536 Phone Fax Phone Fax 537 contractdept@tanisgroupllc.com 538 E-mail E-mail 539 UJ (A...CoxAb-` to( t.k- - to 0,C-up-rec. 540 Buyer's Attorney . aeller's Attorney E-mail 541 9 'ir,Z'c-1t �''C . �L+�al�-r __�.,, _ �-� 542 A.dress City State Zip Address City State Zip 543 St:.(7--1 2 11-54.5-1 �c .. 13 t•.��'S 544 Phone Fax Phone Fax 545 546 Mortgage Company Phone Homeowner's/Condo Association(if any) Phone 547 548 Loan Officer Phone/Fax Management Co./Other Contact Phone 549 550 Loan Officer E-mail Management Co./Other Contact E-mail 551 Illinois Real Estate License Taw requires all offers be presented in a timely manner;Buyer requests verification that this offer was presented. 552 Seller rejection:This offer was presented to Seller on ,20 at__A.M./P.M.and rejected on 553 ,20 at__A.M./P.M.__[Seller Initials] 554 ©2015,Illinois Real Estate Lawyers Association.All rights reserved. Unauthorized duplication or alteration of this form or any portion thereof is prohibited.Official farm available at 555 WWW.irclaarrc(website of Illinois Real Estate Lawyers Association).Approved by the following organizations,September 2015:Illinois Real Estate Lawyers Association•DuPage County Bar Association 556 McHenry County Bar Association•Northwest Suburban Bar Association•Will County Bar Association•Belvidere Board of REALTORS®•Chicago Association of REALTORS®•Heartland REALTOR® 557 Organization • Hometown Association of REALTORS® Illini Valley Association of REALTORS® Kankakee-Iroquois-Ford County Association of REALTORS®•Mainstreet Organization of 558 REALTORS® North Shore-Barrington Association of REALTORS® Oak Park Area Association of REALTORS®• REALTOR®Association of the Fox Valley,Inc. Three Rivers Association of 559 REALTORS® Buyer Initial FW II z.Initial Seller Initial Seller Initial Address: CrinitoA&. Ipv 6. 'e`.1.z1,•1 ,� L� rock l`L.1 v6.1 Page 13 of 13 • REO# C1605XY • REAL ESTATE PURCHASE ADDENDUM This Real Estate Purchase Addendum("Addendum")is to be madeart of,and incorporated into,the Real Estate Purchase Contract(the P rP "Contract"),between Fannie Mae ("Seller") and CITY OF ELGIN ("Purchaser")for the property and improvements located at the following address: 1254 CEDAR AVE ELGIN IL 60120 ("Property").As used in this Addendum,the Contract,Addendum and any riders thereto shall be collectively referred to as the"Agreement". The Seller and the Purchaser agree as follows: Offer: (a) Acknowledgement of Sufficient Offer: The Purchaser has offered to purchase the property for a purchase price in the amount of$ 139,900.00 in accordance with the terms set forth in the Agreement("Offer"). The Seller has reviewed the Offer and deemed it sufficient for acceptance. (b) Acceptance of Offer:Notwithstanding Seller's acknowledgement that the Offer is sufficient for acceptance, the Purchaser agrees that the Agreement remains subject to acceptance by the Seller and must be signed by all parties in order to be binding. The Agreement shall be effective as of the date of execution by Seller("Effective Date").The Purchaser's earnest money deposit of$0.00 is to be placed in a trust account acceptable to the Seller within two (2) calendar days following the Effective Date. The Agreement, signed by the Purchaser and reflecting the terms as acknowledged by the Seller,must be received by the Seller within five(5)calendar days of the receipt of the notice that the Offer was sufficient for acceptance. If the Seller does not receive the signed Agreement by such date,the Purchaser's offer shall be deemed null and void. As used in this paragraph, the term "received by the Seller" means actual receipt of the Agreement by the Seller's listing agent. The Purchaser shall present proof,satisfactory to the Seller,of the Purchaser's funds or prequalification for a mortgage loan in an amount and under terms sufficient for the Purchaser to perform its obligations under this Agreement. The prequalification shall include but is not limited to,a certification of prequalification or a mortgage loan commitment from a mortgage lender,a satisfactory credit report and/or proof of funds sufficient to meet the Purchaser's obligations under the Agreement. The Purchaser's submission of proof of prequalification is a condition precedent to the Seller's acceptance. The Seller may require the Purchaser to obtain, at no cost to the Purchaser, loan prequalification from a Seller approved third party lender. Notwithstanding any Seller required prequalification,the Purchaser acknowledges that Purchaser is free to obtain financing from any source. 2. Time is of the Essence: Settlement Date: (a) It is agreed that time is of the essence with respect to all dates specified in the Agreement. This means that all deadlines are intended to be strict and absolute. (b) The closing shall take place on a date ("Settlement Date") on or before 12/08/2017 ("Expiration Date"),unless extended in writing signed by the Seller and the Purchaser or extended by the Seller under the terms of the Agreement. The closing shall be held at a place so designated and approved by the Seller unless otherwise required by applicable law. The Purchaser has the right to make an independent selection of their own attorney, settlement company, escrow company, title company and/or title insurance company in connection with the closing. The date the closing takes place shall be referred to as the Settlement Date for purposes of the Agreement. If the closing does not occur by the Expiration Date,or in any extension,the Agreement is automatically terminated and the Seller may retain any earnest money deposit as liquidated damages. 1 PURCHASER(Initials) SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) • 3. Financing: This Agreement(check one): ( )is cash ® is (JZJ) is not, contingent on the Purchaser obtaining financing for the purchase of the Property. If this Agreement is contingent on financing,the type of financing shall be the following(check one): ❑Conventional El FHA jai VA Other(specify: ) All Financing. If this Agreement is contingent on fmancing, the Purchaser shall apply for a loan in the amount of $o.00 with a term of years, at prevailing rates, terms and conditions. The Purchaser shall complete and submit to a mortgage lender,of the Purchaser's choice,an application for a mortgage loan containing the terms set forth in this paragraph within five(5)calendar days of the Effective Date,and shall use diligent efforts to obtain a mortgage loan commitment by . If, despite the Purchaser's diligent efforts,the Purchaser cannot obtain a mortgage loan commitment by the specified date,then either the Purchaser or the Seller may terminate the Agreement by giving written notice to the other party. The Purchaser's notice must include a copy of the loan application,proof of the application date,and a copy of the denial letter from the prospective lender. In the event of a proper termination of the Agreement under this paragraph, the earnest money deposit shall be returned to the Purchaser. The Purchaser agrees to cooperate and comply with all requests for documents and information from the Purchaser's chosen lender during the loan application process. Failure of the Purchaser to comply with such requests from the lender that results in the denial of the mortgage loan will be a breach of the Agreement and the Seller shall be entitled to retain any earnest money deposited by the Purchaser. (a) Any change as to the terms of the Purchaser's financing, including but not limited to any change in the Purchaser's lender, after negotiations have been completed may, at Seller's discretion, require renegotiation of all terms of the Agreement. Seller shall have the right to terminate the Agreement in the event there is a change in Purchaser's financing or choice of lender. (b) The Purchaser shall ensure that the lender selected by the Purchaser to finance the sale shall fund the settlement agent as of the Settlement Date. The Purchaser shall further ensure that the selected lender shall provide all lender prepared closing documentation to the settlement agent no later than 48 hours prior to the Settlement Date. Any delays in closing as a result of the Purchaser's selected lender shall be the responsibility of the Purchaser. 4. Use of Property: The Purchaser(check one): (0)does,(71)does not, intend to use and occupy the Property as Purchaser's primary residence. 5. Inspections: (a) On or before ten(10) calendar days from the Effective Date, the Purchaser shall inspect the Property or obtain for its own use, benefit and reliance, inspections and/or reports on the condition of the Property, or be deemed to have waived such inspection and any objections to the condition of the Property and to have accepted the Property.The Purchaser shall keep the Property free and clear of liens and indemnify and hold the Seller harmless from all liability claims,demands,damages, and costs related to the Purchaser's inspection and the Purchaser shall repair all damages arising from or caused by the inspections.The Purchaser shall not directly or indirectly cause any inspections to be made by any government building or zoning inspectors or government employees without the prior written consent of the Seller,unless required by law, in which case,the Purchaser shall provide reasonable notice to the Seller prior to any such inspection.If the Seller has winterized this Property and the Purchaser desires to have the Property inspected, the Seller's listing agent will have the Property dewinterized prior to inspection and rewinterized after inspection. Within five(5)calendar days of receipt of any inspection report prepared by or for the Purchaser,but not later than ten(10) calendar days from the Effective Date, whichever first occurs,the Purchaser will provide written notice to the Seller of any items disapproved. The Purchaser's silence shall be deemed as acceptance of the condition of the Property. The Purchaser shall provide to the Seller, at no cost, upon request by the Seller, complete copies of all inspection reports upon which the 2 PURCHASER(Initials) SELLER(Initials) .? '? FANNIE MAE FORM 001(October 7,2014) • Purchaser's disapproval of the condition of the property is based.In no event shall the Seller be obligated to make any repairs or replacements that may be indicated in the Purchaser's inspection reports.The Seller may, in its sole discretion,make such repairs to the Property under the terms described in Section 6 of this Addendum. If the Seller elects not to repair the Property, the Purchaser may cancel this Agreement and receive all earnest money deposited. If the Seller elects to make any such repairs to the Property,the Seller shall notify the Purchaser after completion of the repairs and the Purchaser shall have five (5) calendar days from the date of notice, to inspect the repairs and notify the Seller of any items disapproved. If after inspection the Purchaser is not satisfied with repairs or treatments,Purchaser may terminate the Agreement at any time prior to closing. In situations that are applicable,a structural,electrical,mechanical,environmental or termite inspection report may have been prepared for the benefit of the Seller. Upon request, the Purchaser will be allowed to review the report to obtain the same information and knowledge the Seller has about the condition of the Property but the Purchaser acknowledges that the inspection reports were prepared for the sole use and benefit of the Seller. The Purchaser will not rely upon any such inspection reports obtained by the Seller in making a decision to purchase the Property. (b) If the Property is a condominium or planned unit development or co-operative, unless otherwise required by law, the Purchaser, at the Purchaser's own expense, is responsible for obtaining and reviewing the covenants, conditions and restrictions and bylaws of the condominium,or planned unit development or cooperative ("Governing Documents")within ten(10)calendar days of the Effective Date. The Seller agrees to use reasonable efforts,as determined in the Seller's sole discretion,to assist the Purchaser in obtaining a copy of the Governing Documents. The Purchaser will be deemed to have accepted the Governing Documents if the Purchaser does not provide the Seller notice in writing, within fifteen (15) calendar days of the Effective Date, of the Purchaser's disapproval of the Governing Documents. In the event Purchaser disapproves of the Governing Documents, Purchaser has the right to terminate the Agreement provided the Purchaser notifies Seller in writing of Purchaser's disapproval within fifteen(15)calendar days of the Effective Date. 6. Repairs: All repairs and treatments will be completed by a vendor approved by the Seller,and will be subject to the Seller's satisfaction only. If the Seller has agreed to pay for treatment of wood infesting organisms,the Seller shall treat only active infestation. Neither the Purchaser, nor its representatives, shall enter upon the Property to make any repairs and/or treatments prior to closing. The Purchaser shall inspect the repairs and/or treatments as set forth in paragraph 5(a)or is deemed to have waived such inspection and any objections to the repairs and/or treatments. The Purchaser acknowledges that all repairs and treatments are done for the benefit of the Seller and not for the benefit of the Purchaser and that the Purchaser has inspected or has been given the opportunity to inspect repairs and treatments.Any repairs or treatments made or caused to be made by the Seller shall be completed prior to closing. Under no circumstances shall the Seller be required to make any repairs or treatments after the Settlement Date. The Purchaser acknowledges that closing on this transaction shall be deemed the Purchaser's reaffirmation that the Purchaser is satisfied with the condition of the Property and with all repairs and treatments to the Property and waives all claims related to such condition and to the quality of the repairs or treatments to the Property. Any repairs or treatments shall be performed for functional purposes only and exact restoration of appearance or cosmetic items following any repairs or treatments shall not be required. The Seller shall not be obligated to obtain or provide to the Purchaser any receipts for repairs, or treatments, written statements indicating dates or types of repairs and/ or treatments or copies of such receipts or statements nor any other documentation regarding any repairs or treatments to the Property. THE SELLER DOES NOT WARRANT OR GUARANTEE ANY WORK,REPAIRS OR TREATMENTS TO THE PROPERTY. THE PURCHASER AGREES TO EXECUTE AND DELIVER TO THE SELLER AT CLOSING FANNIE MAE'S WAIVER&RELEASE 2012. 7. CONDITION OF PROPERTY: THE PURCHASER UNDERSTANDS THAT THE SELLER ACQUIRED THE PROPERTY BY FORECLOSURE,DEED-IN-LIEU OF FORECLOSURE,FORFEITURE,TAX SALE,OR SIMILAR PROCESS. AS A MATERIAL PART OF THE CONSIDERATION TO BE RECEIVED BY THE SELLER UNDER THIS AGREEMENT AS NEGOTIATED AND AGREED TO BY THE PURCHASER AND THE SELLER, THE PURCHASER ACKNOWLEDGES AND AGREES TO ACCEPT THE PROPERTY IN "AS IS" CONDITION AT THE TIME OF CLOSING, INCLUDING, WITHOUT LIMITATION, ANY DEFECTS OR ENVIRONMENTAL CONDITIONS AFFECTING THE PROPERTY, WHETHER KNOWN OR UNKNOWN, WHETHER SUCH DEFECTS OR CONDITIONS WERE DISCOVERABLE THROUGH INSPECTION OR NOT. THE PURCHASER ACKNOWLEDGES THAT THE SELLER,ITS AGENTS AND REPRESENTATIVES HAVE NOT MADE AND THE SELLER SPECIFICALLY NEGATES AND DISCLAIMS ANY REPRESENTATIONS,WARRANTIES,PROMISES, COVENANTS, AGREEMENTS OR GUARANTEES, IMPLIED OR EXPRESS, ORAL OR WRITTEN WITH RESPECT TO THE FOLLOWING: PURCHASER(Initials) 3 SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) • (A) THE PHYSICAL CONDITION OR ANY OTHER ASPECT OF THE PROPERTY INCLUDING THE STRUCTURAL INTEGRITY OR THE QUALITY OR CHARACTER OF MATERIALS USED IN CONSTRUCTION OF ANY IMPROVEMENTS (E.G. DRYWALL, ASBESTOS, LEAD PAINT, UREA FORMALDEHYDE FOAM INSULATION),AVAILABILITY AND QUANTITY OR QUALITY OF WATER, STABILITY OF THE SOIL, SUSCEPTIBILITY TO LANDSLIDE OR FLOODING, SUFFICIENCY OF DRAINAGE, WATER LEAKS, WATER DAMAGE, MOLD OR ANY OTHER MATTER AFFECTING THE STABILITY, INTEGRITY, OR CONDITION OF THE PROPERTY OR IMPROVEMENTS; (B) THE CONFORMITY OF THE PROPERTY, OR THE IMPROVEMENTS, TO ANY ZONING, LAND USE OR BUILDING CODE REQUIREMENTS OR COMPLIANCE WITH ANY LAWS,RULES,ORDINANCES OR REGULATIONS OF ANY FEDERAL,STATE OR LOCAL GOVERNMENTAL AUTHORITY,OR THE GRANTING OF ANY REQUIRED PERMITS OR APPROVALS, IF ANY, OF ANY GOVERNMENTAL BODIES WHICH HAD JURISDICTION OVER THE CONSTRUCTION OF THE ORIGINAL STRUCTURE,ANY IMPROVEMENTS AND/OR ANY REMODELING OF THE STRUCTURE;AND (C) THE HABITABILITY, MERCHANTABILITY, MARKETABILITY, PROFITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OF THE PROPERTY OR IMPROVEMENTS INCLUDING REDHIBITORY VICES AND DEFECTS, APPARENT,NON APPARENT OR LATENT,WHICH NOW EXIST OR WHICH MAY HEREAFTER EXIST AND WHICH, IF KNOWN TO THE PURCHASER, WOULD CAUSE THE PURCHASER TO REFUSE TO PURCHASE THE PROPERTY. Mold,mildew,spores and/or other microscopic organisms and/or allergens(collectively referred to in this Agreement as "Mold")are environmental conditions that are common in residential properties and may affect the Property. Mold,in some forms, has been reported to be toxic and to cause serious physical injuries, including but not limited to, allergic and/or respiratory reactions or other problems, particularly in persons with immune system problems,young children and/or elderly persons.Mold has also been reported to cause extensive damage to personal and real property.Mold may have been removed or covered in the course of any cleaning or repairing of the Property.The Purchaser acknowledges that,if Seller,or any of Seller's employees,contractors,or agents cleaned or repaired the Property or remediated Mold contamination, that Seller does not in any way warrant the cleaning, repairs or remediation. Purchaser accepts full responsibility for all hazards that may result from the presence of Mold in or around the Property. The Purchaser is satisfied with the condition of the Property notwithstanding the past or present existence of Mold in or around the Property and Purchaser has not, in any way, relied upon any representations of Seller, Seller's employees, officers, directors,contractors,or agents concerning the past or present existence of Mold in or around the Property. If at any time the Property conditions result in violations of building code or other laws or regulations,either party shall have the right to terminate the Agreement at any time prior to closing. If there is an enforcement proceeding arising from allegations of such violations before an enforcement board, special master, court or similar enforcement body, and neither the Purchaser nor the Seller terminate this Agreement, the Purchaser agrees (a) to accept the Property subject to the violations, (b) to be responsible for compliance with the applicable code and with orders issued in any code enforcement proceeding and (c) to resolve the deficiencies as soon as possible after the closing. The Purchaser agrees to execute any and all documents necessary or required for closing by any agency with jurisdiction over the Property. The Purchaser further agrees to indemnify the Seller from any and all claims or liability arising from the Purchaser's breach of this Section 7 of this Addendum. The closing of this sale shall constitute acknowledgement by the Purchaser that Purchaser had the opportunity to retain an independent,qualified professional to inspect the Property and that the condition of the Property is acceptable to the Purchaser. The Purchaser agrees that the Seller shall have no liability for any claims or losses the Purchaser or the Purchaser's successors or assigns may incur as a result of construction or other defects which may now or hereafter exist with respect to the Property. 8. Occupancy Status of Property: The Purchaser acknowledges that neither the Seller,nor its representatives,agents or assigns,has made any warranties or representations, implied or expressed, relating to the existence of any tenants or occupants at the Property unless otherwise noted in Section 38 of this Addendum. Seller represents that the Property may have tenants occupying same under an active lease but expressly disclaims any warranties regarding the validity,enforceability,performance under or continuation of said lease. The Purchaser acknowledges that closing on this transaction shall be deemed the Purchaser's reaffirmation that neither the Seller, nor its representatives, agents or assigns, has made any warranties or 4 PURCHASER(Initials) SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) • representations, implied or expressed, relating to the existence of any tenants or occupants at the Property unless otherwise noted in Section 38 of this Addendum. The Seller, its representatives,agents or assigns, shall not be responsible for evicting or relocating any tenants,occupants or personal property at the Property prior to or subsequent to closing unless otherwise noted in Section 38 of this Addendum. All leases shall be deemed assigned to Purchaser upon closing to the extent permitted under applicable laws. The Purchaser further acknowledges that, to the best of the Purchaser's knowledge, the Seller is not holding any security deposits from former or current tenants and has no information as to such security deposits as may have been paid by the former or current tenants to anyone and agrees that no sums representing such tenant security deposits shall be transferred to the Purchaser as part of this transaction. The Purchaser further agrees to assume all responsibility and liability for the refund of such security deposits to the tenants pursuant to the provisions of applicable laws and regulations. All rents due and payable and collected from tenants for the month in which closing occurs will be prorated according to the provisions of Section 10 of this Addendum. The Purchaser acknowledges that this Property may be subject to the provisions of local rent control ordinances and regulations. The Purchaser agrees that upon the closing, all eviction proceedings and other duties and responsibilities of a property owner and landlord, including but not limited to those proceedings required for compliance with such local rent control ordinances and regulations,will be the Purchaser's sole responsibility. 9. Personal Property: Items of personal property,including but not limited to window coverings,appliances,manufactured homes, mobile homes, vehicles, spas, antennas, satellite dishes and garage door openers, now or hereafter located on the Property are not included in this sale or the Purchase Price unless the personal property is specifically described and referenced in Section 38 of this Addendum. Any personal property at or on the Property may be subject to claims by third parties and,therefore,may be removed from the Property prior to or after the closing. The Seller makes no representation or warranty as to the condition of any personal property, title thereto, or whether any personal property is encumbered by any liens. The Seller assumes no responsibility for any personal property remaining on the Property at the time of closing. 10. Closing Costs and Adjustments: (a) The Purchaser and the Seller agree to prorate the following expenses as of the Settlement Date: real estate taxes and assessments,common area charges,condominium or planned unit development or similar community assessments,co- operative fees, maintenance fees and rents, if any. In determining prorations,the Settlement Date shall be allocated to the Purchaser.Payment of special assessment district bonds and assessments,and payment of homeowner's association or special assessments owed by Seller shall be paid current and prorated between the Purchaser and the Seller as of Settlement Date with payments not yet due and owing to be assumed by the Purchaser without credit toward Purchase Price. Seller shall not be responsible for the payment of homeowner's association or special assessments dues that Seller is not obligated to pay under law or contract. The Property taxes shall be prorated based on an estimate or actual taxes from the previous year on the Property.All prorations shall be based upon a 30-day month and all such prorations shall be final.The Seller shall not be responsible for any amounts due,paid or to be paid after closing,including but not limited to, any taxes, penalties or interest assessed or due as a result of retroactive, postponed or additional taxes resulting from any change in use of, or construction on, or improvement to the Property, or an adjustment in the appraised value of the Property. In the event the Seller has paid any taxes,special assessments or other fees and there is a refund of any such taxes, assessments or fees after closing, and the Purchaser as current owner of the Property receives the payment,the Purchaser will immediately submit the refund to the Seller. (b) Fannie Mae is a congressionally chartered corporation and is exempt from realty transfer taxes pursuant to 12 U.S.C. 1723a(c)(2)and will not pay realty transfer taxes regardless of local practice.Any realty transfer taxes due on the sale as a result of the conveyance of the Property will be the sole responsibility of the Purchaser. (c) The Seller shall pay the real estate commission per the listing agreement between the Seller and the Seller's listing broker. (d) Purchaser shall release Seller from any and all claims arising from the adjustments or prorations or errors in calculating the adjustment or prorations that are or may be discovered after closing. THE PURCHASER AGREES TO EXECUTE AND DELIVER TO THE SELLER AT CLOSING FANNIE MAE'S Tax Proration Agreement 03/2011. 5 PURCHASER(Initials) SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) • (e) Regardless of local custom,requirements or practice,the Purchaser shall pay all costs and fees incurred in the transfer of the Property, including the cost of any lender required fees and recording costs except as expressly assumed by the Seller in this Addendum. (f) Title and Closing Services. Purchaser will obtain title and escrow closing services from(check one): Seller's escrow closing and title provider and title insurance company used by Seller's provider. If Purchaser selects this option, Seller shall pay for the owner's and lender's title insurance policies. Purchaser and Seller agree that Seller's payment of the title insurance products is limited to the amount that Seller would pay its provider under its agreement with the provider for a basic residential owner's and lender's title insurance policy or their equivalent. ❑ Other escrow closing and title provider. If Purchaser selects this option, Purchaser shall bear the expense for all title insurance costs associated with the transaction,regardless of local custom,requirements or practice. 11. Delivery of Funds: Regardless of local custom,requirements,or practice,upon delivery of the deed by the Seller to the Purchaser, the Purchaser shall deliver, or cause to be delivered, all funds due the Seller from the sale in the form of bank check, certified check or wire transfer. An attorney's trust fund check shall not be sufficient to satisfy this provision unless the bank holding the account on which the trust fund check is drawn certifies the trust fund check. 12. Certificate of Occupancy: If the Property is located in a jurisdiction that requires a certificate of occupancy, smoke detector certification, septic certification or any similar certification or permit("Certificate of Occupancy")or any form of improvement or repair to the Property to obtain such Certificate of Occupancy necessary for the Property to be occupied, the Purchaser understands that the Seller requires the Certificate of Occupancy to be obtained by the Purchaser at the Purchaser's sole expense. The Purchaser shall make application for all Certificates of Occupancy within ten(10)calendar days of the Effective Date. The Purchaser shall not have the right to delay the closing due to the Purchaser's failure or inability to obtain any required Certificate of Occupancy. Failure of the Purchaser to obtain and furnish the Certificate of Occupancy shall be a material breach of the Agreement. 13. Delivery of Possession of Property:The Seller shall deliver possession of the Property to the Purchaser at closing. The delivery of possession shall be subject to the rights of any tenants or parties in possession per Section 8 of this Addendum. If.the Purchaser alters the Property or causes the Property to be altered in any way and/or occupies the Property or allows any other person to occupy the Property prior to closing without the prior written consent of the Seller,such event shall constitute a breach by the Purchaser under the Agreement and the Seller may terminate the Agreement and the Purchaser shall be liable to the Seller for damages caused by any such alteration or occupation of the Property prior to closing and waives any and all claims for damages or compensations for alterations made by the Purchaser to the Property including, but not limited to, any claims for unjust enrichment. 14. Deed: Regardless of local practice,the deed to be delivered by Seller at closing shall be a deed that covenants that grantor grants only that title which grantor may have and that grantor will only defend title against persons claiming by,through,or under the grantor, but not otherwise. Any reference to the term "Deed"or "Special Warranty Deed" herein shall be construed to refer to such form of deed. Under no circumstances shall Seller be required to deliver any form of deed which grants a general warranty of title. (check if applicable)Seller's deed shall include the following deed restriction: GRANTEE HEREIN SHALL BE PROHIBITED FROM CONVEYING CAPTIONED PROPERTY FOR A SALES PRICE OF GREATER THAN $ FOR A PERIOD OF MONTH(S) FROM THE DATE OF THE RECORDING OF THIS DEED. GRANTEE SHALL ALSO BE PROHIBITED FROM ENCUMBERING SUBJECT PROPERTY WITH A SECURITY INTEREST IN THE PRINCIPAL AMOUNT OF GREATER THAN $ FOR A PERIOD OF MONTH(S) FROM THE DATE OF THE RECORDING OF THIS DEED. THESE RESTRICTIONS SHALL RUN WITH THE LAND AND ARE NOT PERSONAL TO GRANTEE. THIS RESTRICTION SHALL TERMINATE IMMEDIATELY UPON CONVEYANCE AT ANY FORECLOSURE SALE RELATED TO AA MORTGAGE OR DEED OF TRUST. PURCHASER(Initials){—- W ._ 6 SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) 15. Defects in Title: If the Purchaser raises an objection to the Seller's title to the Property, which, if valid, would make title to the Property uninsurable, the Seller shall have the right unilaterally to terminate the Agreement by giving written notice of the termination to the Purchaser. However, if the Seller is able to correct the problem through reasonable efforts, as the Seller determines, at its sole and absolute discretion,prior to the Expiration Date, including any written extensions,or if title insurance is available from a reputable title insurance company at regular rates containing affirmative coverage for the title objections, then the Agreement shall remain in full force and the Purchaser shall perform pursuant to the terms set in the Agreement. The Seller is not obligated to remove any exception or to bring any action or proceeding or bear any expense in order to convey title to the Property or to make the title marketable and/or insurable but any attempt by the Seller to remove such title exceptions shall not impose an obligation upon the Seller to remove those exceptions.The Purchaser acknowledges that the Seller's title to the Property may be subject to court approval of foreclosure or to mortgagor's right of redemption.In the event the Seller is not able to (a) make the title insurable or correct any problem or (b) obtain title insurance from a reputable title insurance company,all as provided herein,the Purchaser may terminate this Agreement and any earnest money deposit will be returned to the Purchaser as the Purchaser's sole remedy at law or equity. If the Purchaser elects to take title subject to the title objections, the Purchaser shall so notify the Seller. The Purchaser's silence as to any title objections shall be deemed as acceptance. 16. Representations and Warranties: The Purchaser represents and warrants to the Seller the following: (a) The Purchaser is purchasing the Property solely in reliance on its own investigation and inspection of the Property and not on any information, representation or warranty provided or to be provided by the Seller, its servicers, • representatives,brokers,employees,agents or assigns; (b) Neither the Seller,nor its servicers,employees,representatives,brokers,agents or assigns,has made any representations or warranties,implied or expressed,relating to the condition of the Property or the contents thereof,except as expressly set forth in Section 38 of this Addendum; (c) The Purchaser has not relied on any representation or warranty from the Seller regarding the nature, quality or workmanship of any repairs made by the Seller; (d) The Purchaser will not occupy or cause or permit others to occupy the Property prior to closing and,unless and until any necessary Certificate of Occupancy has been obtained from the appropriate governmental entity, will not occupy or cause or permit others to occupy the Property after closing; (e) The undersigned, if executing the Agreement on behalf of the Purchaser that is a corporation,partnership,trust or other entity,represents and warrants that he/she is authorized by that entity to enter into the Agreement and bind the entity to perform all duties and obligations stated in the Agreement;and (f) The Purchaser(check one):Rl nhas •j has not previously purchased a Fannie Mae owned property. 17. WAIVERS: AS A MATERIAL PART OF THE CONSIDERATION TO BE RECEIVED BY THE SELLER UNDER THIS AGREEMENT AS NEGOTIATED AND AGREED TO BY THE PURCHASER AND THE SELLER, THE PURCHASER WAIVES THE FOLLOWING: (A) ALL RIGHTS TO FILE AND MAINTAIN AN ACTION AGAINST THE SELLER FOR SPECIFIC PERFORMANCE; (B) RIGHT TO RECORD A LIS PENDENS AGAINST THE PROPERTY OR TO RECORD THIS AGREEMENT OR A MEMORANDUM THEREOF IN THE REAL PROPERTY RECORDS; (C) RIGHT TO INVOKE ANY OTHER EQUITABLE REMEDY THAT MAY BE AVAILABLE THAT IF INVOKED, WOULD PREVENT THE SELLER FROM CONVEYING THE PROPERTY TO A THIRD PARTY PURCHASER; 7 PURCHASER(Initials) _ SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) • (D) ANY AND ALL CLAIMS ARISING FROM THE ADJUSTMENTS OR PRORATIONS OR ERRORS IN CALCULATING THE ADJUSTMENTS OR PRORATIONS THAT ARE OR MAY BE DISCOVERED AFTER CLOSING; (E) ANY CLAIMS FOR FAILURE OF CONSIDERATION AND/OR MISTAKE OF FACT AS SUCH CLAIMS RELATE TO THE PURCHASE OF THE PROPERTY OR ENTERING INTO OR EXECUTION OF OR CLOSING UNDER THIS AGREEMENT; (F) ANY REMEDY OF ANY KIND, INCLUDING BUT NOT LIMITED TO RESCISSION OF THIS AGREEMENT, OTHER THAN AS EXPRESSLY PROVIDED IN SECTION 19 OF THIS ADDENDUM, TO WHICH THE PURCHASER MIGHT OTHERWISE BE ENTITLED AT LAW OR EQUITY WHETHER BASED ON MUTUAL MISTAKE OF FACT OR LAW OR OTHERWISE; (G) TRIAL BY JURY, EXCEPT AS PROHIBITED BY LAW, IN ANY LITIGATION ARISING FROM OR CONNECTED WITH OR RELATED TO THIS AGREEMENT; (H) ANY CLAIMS OR LOSSES THE PURCHASER MAY INCUR AS A RESULT OF CONSTRUCTION ON, REPAIR TO, OR TREATMENT OF THE PROPERTY, OR OTHER DEFECTS, WHICH MAY NOW OR HEREAFTER EXIST WITH RESPECT TO THE PROPERTY; (I) ANY CLAIMS OR LOSSES RELATED TO ENVIRONMENTAL CONDITIONS AFFECTING THE PROPERTY INCLUDING, BUT NOT LIMITED TO, MOLD, DRYWALL, LEAD PAINT, FUEL OIL, ALLERGENS,OR TOXIC SUBSTANCES OF ANY KIND; (J) ANY RIGHT TO AVOID THIS SALE OR REDUCE THE PRICE OR HOLD THE SELLER RESPONSIBLE FOR DAMAGES ON ACCOUNT OF THE CONDITION OF THE PROPERTY, LACK OF SUITABILITY AND FITNESS,OR REDHIBITORY VICES AND DEFECTS,APPARENT, NONAPPARENT OR LATENT, DISCOVERABLE OR NONDISCOVERABLE; (K) ANY CLAIM ARISING FROM ENCROACHMENTS, EASEMENTS, SHORTAGES IN AREA OR ANY OTHER MATTER WHICH WOULD BE DISCLOSED OR REVEALED BY A SURVEY OR INSPECTION OF THE PROPERTY OR SEARCH OF PUBLIC RECORDS;AND (L) ANY RIGHT TO MEDIATION OR ARBITRATION RELATING TO OR ARISING UNDER OR FROM THIS AGREEMENT,EXCEPT AS PROHIBITED BY LAW. References to the"Seller"in this Section 17 of this Addendum shall include the Seller and the Seller's servicers,representatives, agents,brokers,employees,and/or assigns. In the event that the Purchaser breaches any of the terms described or contemplated under this Section 17 of this Addendum,the Purchaser shall pay all reasonable attorney fees and costs incurred by the Seller in defending such action,and the Purchaser shall pay Five Thousand Dollars($5,000)as liquidated damages for breach of this Section 17 of the Addendum,which amount shall be in addition to any liquidated damages held or covered by the Seller pursuant to Section 19 of this Addendum. 18. Conditions to the Seller's Performance: The Seller shall have the right, at the Seller's sole discretion, to extend the Expiration Date or to terminate this Agreement if: (a) full payment of any mortgage insurance claim related to the loan previously secured by the Property is not confirmed prior to the closing or the mortgage insurance company exercises its right to acquire title to the Property; (b) the Seller determines that it is unable to convey title to the Property insurable by a reputable title insurance company at regular rates; (c) the Seller at any time has requested that the servicing lender,or any other party,repurchase the loan previously secured by the Property and/or such lender or other party has elected to repurchase the property; 8 PURCHASER(Initials) - SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) • (d) a third party with rights related to the sale of the property does not approve the sale terms; (e) full payment of any property,fire or hazard insurance claim is not confirmed prior to the closing; (f) any third party, whether tenant,homeowner's association,or otherwise,exercises rights under a right of first refusal to purchase the Property; (g) the Purchaser is the former mortgagor of the Property, or is related to or affiliated in any way with the former mortgagor,and the Purchaser has not disclosed this fact to the Seller prior to the Seller's acceptance of this Agreement. Such failure to disclose shall constitute default under this Agreement, entitling the Seller to exercise any of its rights and remedies,including,without limitation,retaining the earnest money deposit; (h) the Seller, at the Seller's sole discretion, determines that the sale of the Property to the Purchaser or any related transactions are in any way associated with illegal activity of any kind; (i) the Agreement was accepted and executed by Seller in noncompliance with Fannie Mae procedures or guidelines; (j) Seller determines in its sole discretion that the sale of the Property will subject Seller to liability and/or have an impact on pending,threatened or potential litigation;or (k) material misrepresentation by the Purchaser. In the event the Seller elects to terminate this Agreement as a result of(a),(b),(c),(d),(e),(f),(i)or(j)above,the Seller shall return the Purchaser's earnest money deposit. 19. Remedies for Default: (a) In the event of the Purchaser's default,material breach or material misrepresentation of any fact under the terms of this Agreement, the Seller, at its option, may retain the earnest money deposit and any other funds then paid by the Purchaser as liquidated damages and/or invoke any other remedy available to Seller at law and/or equity and the Seller is automatically released from the obligation to sell the Property to the Purchaser and neither the Seller nor its representatives,agents,attorneys, successors,or assigns shall be liable to the Purchaser for any damages of any kind as a result of the Seller's failure to sell and convey the Property. (b) In the event of the Seller's default or material breach under the terms of the Agreement or if the Seller terminates the Agreement as provided under the provisions of Paragraph 18 (a),(b),(c),(d),(e),(f),(i)or(j)of this Addendum,the Purchaser shall be entitled to the return of the earnest money deposit as Purchaser's sole and exclusive remedy at law and/or equity. The Purchaser waives any rights to file and maintain an action against the Seller for specific performance and the Purchaser acknowledges that a return of its earnest money deposit can adequately and fairly compensate the Purchaser. Upon return of the earnest money deposit to the Purchaser, this Agreement shall be terminated, and the Purchaser and the Seller shall have no further liability or obligation, each to the other in connection with this Agreement. (c) The Purchaser agrees that the Seller shall not be liable to the Purchaser for any special, consequential or punitive damages whatsoever, whether in contract,tort(including negligence and strict liability)or any other legal or equitable principle, including but not limited to any cost or expense incurred by the Purchaser in selling or surrendering a lease on a prior residence,obtaining other living accommodations, moving, storage or relocation expenses or any other such expense or cost arising from or related to this Agreement or a breach of this Agreement. (d) Any consent by any party to,or waiver of,a breach by the other,whether express or implied,shall not constitute consent to,waiver of,or excuse for any different or subsequent breach. (e) hi the event either party elects to exercise its remedies as described in this Section 19 of this Addendum and this Agreement is terminated, the parties shall have no further obligation under this Agreement except as to any provision that survives the termination of this Agreement pursuant to Section 24 of this Addendum. 9 PURCHASER(Initials)- SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) • 20. Indemnification: The Purchaser agrees to indemnify and fully protect, defend, and hold the Seller, its officers, directors, employees, shareholders, servicers,representatives,agents,attorneys, tenants,brokers, successors or assigns harmless from and against any and all claims, costs, liens, loss, damages, attorney's fees and expenses of every kind and nature that may be sustained by or made against the Seller, its officers, directors, employees, shareholders, servicers, representatives, agents, attorneys,tenants, brokers,successors or assigns,resulting from or arising out of: (a) inspections or repairs made by the Purchaser or its agents,employees,contractors,successors or assigns; (b) claims,liabilities,fines or penalties resulting from the Purchaser's failure to timely obtain any Certificate of Occupancy or to comply with equivalent laws and regulations; (c) claims for amounts due and owed by the Seller for taxes,homeowner association dues or assessment or any other items prorated under Section 10 of this Addendum, including any penalty or interest and other charges, arising from the proration of such amounts for which the Purchaser received a credit at closing under Section 10 of this Addendum;and (d) the Purchaser's or the Purchaser's tenants,agents or representatives use and/or occupancy of the Property prior to closing and/or issuance of required certificates of occupancy. 21. Risk of Loss: In the event of fire, destruction or other casualty loss to the Property after the Seller's acceptance of this Agreement and prior to closing,the Seller may,at its sole discretion,repair or restore the Property,or the Seller may terminate the Agreement.If the Seller elects to repair or restore the Property,then the Seller may,at its sole discretion,limit the amount to be expended. Whether or not Seller elects to repair or restore the Property, the Purchaser's sole and exclusive remedy shall be either to acquire the Property in its then condition at the Purchase Price with no reduction thereof by reason of such loss or terminate this Agreement and receive a refund of any earnest money deposit. 22. Eminent Domain: In the event that the Seller's interest in the Property, or any part thereof, shall have been taken by eminent domain or shall be in the process of being taken on or before the closing, either party may terminate the Agreement and the earnest money deposit shall be returned to the Purchaser and neither party shall have any further rights or liabilities hereunder except as provided in Section 24 of this Addendum. 23. Keys: The Purchaser understands that the Seller may not be in possession of keys,including but not limited to, mailbox keys, recreation area keys, gate cards, or automatic garage remote controls, and any cost of obtaining the same will be the responsibility of the Purchaser. The Purchaser also understands that if the Property includes an alarm system, the Seller cannot provide the access code and/or key and that the Purchaser is responsible for any costs associated with the alarm and/or changing the access code or obtaining keys. 24. Survival: Delivery of the deed to the Property to the Purchaser by the Seller shall be deemed to be full performance and discharge of all of the Seller's obligations under this Agreement.Notwithstanding anything to the contrary in the Agreement, any provision which contemplates performance or observance subsequent to any termination or expiration of the Agreement, shall survive the closing and/or termination of the Agreement by any party and continue in full force and effect. 25. Further Assurances: The Purchaser agrees to execute and deliver to the Seller at closing,or otherwise as requested by the Seller, documents including Fannie Mae's Waiver and Release 2012, Tax Proration Agreement 03/2011 or documents that are substantially the same, and to take such other action as reasonably may be necessary to further the purpose of this Agreement. Copies of referenced documents are available from the Seller's listing agent upon request by the Purchaser. 26. Severability: The lack of enforceability of any provision of this Agreement shall not affect the enforceability of any other provision of this Agreement,all of which shall remain in full force and effect. 27. Assignment of Agreement: The Purchaser shall not assign this Agreement without the express written consent of the Seller. The Seller may assign this Agreement at its sole discretion without prior notice to,or consent of,the Purchaser. 28. EFFECT OF ADDENDUM: THIS ADDENDUM AMENDS AND SUPPLEMENTS THE CONTRACT AND, IF APPLICABLE, ESCROW INSTRUCTIONS. IN THE EVENT THERE IS ANY CONFLICT BETWEEN THIS ADDENDUM AND THE CONTRACT OR ESCROW INSTRUCTIONS OR NOTICE OR OTHER DOCUMENTS ATTACHED AND MADE A PART OF THE AGREEMENT, THE TERMS OF THIS ADDENDUM TAKE PRECEDENCE AND SHALL PREVAIL EXCEPT AS OTHERWISE PROVIDED BY LAW. 10 PURCHASER(Initials) SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) • • 29. Entire Agreement: The Agreement constitutes the entire agreement between the Purchaser and the Seller concerning the subject matter hereof and supersedes all previous communications, understandings, representations, warranties, covenants or agreements, either written or oral and there are no oral or other written agreements between the Purchaser and the Seller. All negotiations are merged into the Agreement. The Seller is not obligated by any other written or oral statements made by the Seller,the Seller's representatives,or any real estate licensee. 30. Modification: No provision, term or clause of the Agreement shall be revised, modified, amended or waived except by an instrument in writing signed by the Purchaser and the Seller. 31. Rights of Others: This Agreement does not create any rights, claims or benefits inuring to any person or entity, other than Seller's successors and/or assigns,that is not a party to the Agreement,nor does it create or establish any third party beneficiary to this Agreement. 32. Counterparts: This Agreement may be executed in any number of counterparts and each such counterpart shall be deemed to be an original, but all of which,when taken together,shall constitute one agreement. 33. Headings: The titles to the sections and headings of various paragraphs of this Agreement are placed for convenience of reference only and in case of conflict,the text of this Agreement,rather than such titles or headings shall control. 34. Electronic Signature: An electronic signature shall be given the same effect as a written signature. 35. Force Majeure: Except as provided in Section 21 to this Addendum, no party shall be responsible for delays or failure of performance resulting from acts of God, riots, acts of war and terrorism, epidemics, power failures, earthquakes or other disasters,providing such delay or failure of performance could not have been prevented by reasonable precautions and cannot reasonably be circumvented by such party through use of alternate sources,workaround plans or other means. 36. Attorney Review: The Purchaser acknowledges that Purchaser has had the opportunity to consult with its legal counsel regarding the Agreement and that accordingly the terms of the Agreement are not to be construed against any party because that party drafted the Agreement or construed in favor of any Party because that Party failed to understand the legal effect of the provisions of the Agreement. 37. Notices: Any notices required to be given under the Agreement shall be deemed to have been delivered when actually received in the case of hand or overnight delivery,or five(5) calendar days after mailing by first class mail, postage paid,or by fax with confirmation of transmission to the numbers below. All notices to the Seller will be deemed sent or delivered to the Seller when sent or delivered to Seller's listing broker or agent or Seller's attorney, at the address or fax number shown below. All notices to the Purchaser shall be deemed sent or delivered when sent or delivered to the Purchaser or the Purchaser's attorney or agent at the address or fax number shown below. 38. Additional Terms or Conditions: Purchaser further agrees that it will not enter into any contract for deed or lease with option to purchase agreements regarding the Property, unless Purchaser is a non-profit organization or has obtained Fannie Mae?s prior written consent. Purchaser acknowledges that, in addition to any other remedy available to Fannie Mae, any violation of this agreement may result in Fannie Mae refusing to sell additional REO properties to Purchaser and/or its affiliates." 11 PURCHASER(Initials) SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) IN WITNESS WHEREOF,the Purchaser and the Seller have entered into this Addendum as of the date first set forth above. PURCHASER(S • SELLER: Signature: /�I%/ C% � ��i ❑FANNIE MAE Date: 1.1— 1 — 2.t n ❑ ,as Attorney in Fact For Fannie Mae Print Name: Address: �(S d� tr- By: Email Address:C.2(l,..t W e_c_41d F'.d 412.EEm Telephone: $41 — ct31 — 5 �s9 Date: Fax: S[c('1 — 0C3.1- Gs- Signatu re: Date: Print Name: Address: Telephone: Fax: Email Address: PURCHASER'S AGENT: SELLER'S AGENT: Brokerage Firm: TANIS Group LLC Brokerage Firm: TANIS Group LLC Purchaser's Agent Name: Chris Bleser Seller's Agent Name: JOSEPH MUELLER-NRBA Address: 505 EAST ALGONQUIN RD Address: 122 WEST MAIN STREET Kane County ALGONQUIN IL 60102 WEST DUNDEE IL 60118-6011 Telephone: 8479124829 Telephone: 8475944215 Fax: 866-641-2192 Fax: 8666412192 Email Address: CBLESER AOL.COM Email Address: JMUELLER@TANISGROUPLLC.COM p� 12 PURCHASER(Initials) SELLER(Initials) FANNIE MAE FORM 001(October 7,2014) PURCHASER'S ATTORNEY: SELLER'S ATTORNEY: Name: w��1V Lam►-} ‘-417 1 Name: CODILIS&ASSOC PC 440�►��f.1-.1 Address: (ra 'b���ESL— Cmc . Address: 15W030 N FRONTAGE RD BURR RIDGE IL 60527 ., 12~ tag.. p 630 794-5630 Telephone: c%eV' �r6 Telephone: Fax: $ " q3l -_5 Fax: Email Address: CO / We_C`C-Vp} Email Address: reaiestate@ii.csiegal.com 13 PURCHASER(Initials) SELLER(Initials) FANNIE MAE FORM 001(October 7,2014)