BUYER GUIDE RE/MAX SELECT 2022 by Lisa Larkin

BUYER

Guide

ABOUT

PREMIER TITLE AGENCY Premier Title Agency (PTA) provides title searches and examinations, issues title insurance policies, handles commercial and residential escrows, and offers other real estate related services. Premier Title continues to extend its commercial and residential services by empowering talented, innovative people to make the decisions necessary to satisfy customers on the spot and by utilizing technology that delivers measurable improvement of service to our most valuable end user – our customer. Premier Title Agency has the distinction of being underwritten by some of the most reputable underwriters in the industry. Mother Lode Holding Company (MLHC) provides title insurance, underwriting and transaction support services to the nation’s real estate industry. With the founding of its principal subsidiary, Placer Title Company in 1973, Mother Lode has since expanded outside of its original California market to provide title and title-related products and services throughout the United States. The Mother Lode family of companies includes Premier Title Agency, Placer Title Company, North Idaho Title, Montana Title and Escrow, Wyoming Title and Escrow, Premier Reverse Closings, Texas National Title, Washington Title & Escrow, and our National Lender Services Division — PTC/ National Closing Solutions.

P R E M I E R T I T L E AG E N C Y

THE

PTA STORY Premier Title Agency is a DBA of Placer Title Company, which was founded by Leo French in 1973. Leo’s vision was to create a work environment that emphasized people. His dream: “To bring together a group of people who really care about each other and about their customers.” Leo believed that if this was accomplished, success would follow. It did. Beginning with only two offices—one in Roseville, California and the other in Auburn, California—Placer Title Company has grown throughout the United States. At Premier Title Agency, our title industry veterans are committed to giving exceptional service. Our skilled and knowledgeable team, local decision makers, and a culture that fosters taking care of our clients and each other is what makes PTA different from any other title company. Backed by the strength of MLHC, we have been able to diversify our business by creating Premier Reverse Closings and a National Lender Service Division — PTC/National Closing Solutions. Furthermore, we have expanded our title and escrow services by adding North Idaho Title, Montana Title and Escrow, Premier Title Agency, Texas National Title, Washington Title & Escrow, and Wyoming Title and Escrow to our family of companies. By expanding our services, we can better serve our clients and offer solutions to all of their title and escrow needs. At Premier Title Agency, we care about each other and our clients and continually demonstrate why we are a proven leader in the title and escrow industry.

Visit us on the web at www.PTAnow.com

DREAM HOME

WISHLIST Finding the perfect home starts with determining exactly what you are looking for and what you can realistically afford. Your Real Estate Professional and lender will work with you to accomplish both of these goals, but the worksheet below can help you get your home search off to the right start. Good luck!

In what areas are you interested in purchasing a home? (City/Zip)

INTERIOR What price range would you like to consider? Min

Max

You are looking to move...  Immediately

 Within 3 Months

 Within 6 Months

 Within 12 Months

What style of houses appeals to you?  Contemporary  Traditional  Southwestern  Colonial  No Preference Please complete the following: Min

Desired Square Footage

Max

Bedrooms

Baths

1 2 3 4 5

Garage Space

2  Gas

Kitchen Appliances

Heating (select all that apply)

EXTERIOR

 Electric  Gas

 Electric

 Hot Water

Age of Home Desired How important is energy efficiency and low utility bills to you?  Not Important

 Somewhat Important

 Very Important

Do you want to be close to... Schools?

 Yes  No

Public Transportation?

Parks?

 Yes  No

Major Corridors/Highways?  Yes  No

Shopping?  Yes  No

Work?

 Yes  No

Do you have any physical needs that must be met, such as wheelchair access?  Yes

 No

One Story Two Story Storm Windows Wood Floors Wall-to-Wall Carpet Separate Dining Room Formal Living Room Family Room Great Room Office/Den Laundry Room Basement Fireplace Central Heating/Air Lots of Windows (light)

Attached Garage Extra Parking Swimming Pool Spa, Hot Tub or Sauna Patio/Deck Landscaping Fenced Yard Large Yard (1 acre or more) Small Yard (Less than 1 acre) Water View City View Mountain View Golf Course Gated Community Senior Community

MUST HAVE WOULD LIKE                               MUST HAVE WOULD LIKE                              

P R E M I E R T I T L E AG E N C Y

DREAM HOME

FINDER NOTES Please use this page to keep notes of the homes that you have toured with your Real Estate Professional. You can make multiple copies of this page to note numerous properties.

THE BASICS

THE HOME

Property Address ��

Exterior Appearance/Condition Floor Plan Interior Walls Closet and Storage Space Fireplace Basement Laundry Room Landscaping/Yard Size of Yard Fence Patio/Deck Roof - Age and Condition Gutters and Downspouts

MLS # �� Price �� Number of Bedrooms �� Number of Bathrooms �� Garage Size �� Lot Size �� Year Built �� Square Feet �� Style of House ��

GOOD             

AVERAGE             

FAIR             

GOOD         

AVERAGE         

FAIR         

GOOD       

AVERAGE       

FAIR       

Number of Floors ��

LOCATION & CONVENIENCE NEIGHBORHOOD Appearance of Nearby Homes Traffic Noise Level Safety/Security Emergency Services (Fire/Police) Parking Number of Children Age Range of Inhabitants

GENERAL IMPRESSION Likes Dislikes

GOOD        

AVERAGE        

FAIR        

Supermarkets Schools Work Shopping Medical Care/Hospitals Recreation/Parks Restaurants/Entertainment Freeway Access Public Transportation

SCHOOLS Age Condition Reputation Playground Curriculum Class Size School District

PROFESSIONALS

IN THE TRANSACTION REAL ESTATE AGENT

LOAN OFFICER

COOPERATING REAL ESTATE AGENT

ESCROW OFFICER

PROCESSOR

HOME INSPECTOR

TITLE EXAMINER/ UNDERWRITER

APPRAISER

TERMITE INSPECTOR

COUNTY

LENDER

NOTARY PUBLIC

UNDERWRITER

COUNTY RECORDER

FLOOD CERT./ TAX SERVICE PROVIDER

INSURANCE AGENT

P R E M I E R T I T L E AG E N C Y

THE

PURCHASE PROCESS CONTACT YOUR REAL ESTATE PROFESSIONAL To determine your requirements, preferences and final qualifications.

LOAN QUALIFICATION Contact a Loan Officer; discuss financial resources & obtain pre-qualification letter.

INSPECTIONS & DISCLOSURES Must be approved by all parties along with the Title Commitment, as permitted by the contract.

HOME SEARCH Tour available properties with your Real Estate Professional and learn about different neighborhoods.

PRESENT & NEGOTIATE OFFER Your Real Estate Professional will present and negotiate your offer with the listing agent.

FIND THE PERFECT HOUSE Discuss strategy with your Real Estate Professional and decide on an offer; arrange for Earnest Money.

SUBMIT LOAN APPLICATION To the lender with all necessary documents.

OPEN ESCROW WITH PREMIER TITLE AGENCY Submit deposit to escrow.

NEGOTIATE REPAIRS If critical issues are discovered in disclosures, inspections, etc., as permitted by contract.

TITLE COMMITMENT Issued in response to application for title insurance.

UNDERWRITING & APPRAISAL Underwriter reviews files for loan acceptance. Appraiser establishes value of property.

REMOVE CONTINGENCIES

HOMEOWNER’S INSURANCE Select an insurance company and coverage, then give insurance agent lender information.

SIGN DOCUMENTS Sign loan documents, escrow documents, etc. at Premier Title Agency, or arrangements for a mobile notary will be made.

DOWN PAYMENT & LOAN FUNDING Lender sends funds to Premier Title Agency.

RECORD/TRANSFER Deeds are recorded at County Recorder’s office.

The above assumes you are using the services of a Real Estate Professional.

YOU ARE THE OWNER OF A NEW HOME!

UNDERSTANDING

TITLE INSURANCE The Title Process

What is title insurance?

Premier Title Agency performs a thorough and vigorous search of public records to eliminate any risks that may affect the title to a property. When the title search is complete, Premier Title Agency issues a Title Commitment.

Premier Title Agency works to identify and eliminate existing claims against a property or discrepancies that cloud title to a property. Title Insurance indemnifies you against loss under terms of the policy. Prior to closing, Premier Title Agency carefully examines public records to identify and eliminate potential claims and defects that may have been created in the past. Premier Title Agency utilizes “Title Plants” that contain information regarding property transfers and liens reaching back many years. However, claims can surface after a property is acquired. Unrecorded liens may surface, missing heirs may claim the property, or taxes might have been unpaid. The Owner’s Title Insurance Policy protects the new owner by providing legal and financial redress. It is important to purchase the Owner’s Title Insurance Policy because the Lender’s Policy only protects the lender.

What is a Title Commitment? A Title Commitment is prepared prior to issuing a policy of title insurance, and it contains information which can affect the close of escrow. The report lists exceptions and exclusions to the policy of title insurance; it is important to read the exceptions and exclusions set forth. They are intended to provide you with notice of matters which are not covered under the terms of the Title Insurance Policy. The Title Commitment is not a written representation as to the condition of the title and may not list all liens, defects, and encumbrances affecting the title to the property.

Why do I need title insurance? Many homeowners assume that when they purchase a piece of property that possession of a deed to the property is all they need to prove ownership. This is not true. You and your lender will want to make sure that the property is indeed yours and that no one else has any lien, claim, or encumbrance on the property. A property owner’s greatest protection is an Owner’s Title Insurance Policy. Your lender will also seek protection with a Lender’s Title Insurance Policy.

What protection will I receive from my title policy? A Title Insurance Policy pays for legal fees in defense of a claim against property covered under your policy. It also contains provisions for indemnification against losses that result from a claim. The title insurance premium is paid at the close of escrow and no additional premiums are paid as long as you own the property.

P R E M I E R T I T L E AG E N C Y

A COMPARISON OF

OWNER’S TITLE POLICIES Coverage: Subject to your policy’s exceptions, exclusions, conditions and stipulations 1

Someone else owns an interest in your property

ALTA STANDARD POLICY yes

ALTA EXTENDED POLICY yes

ALTA HOMEOWNER’S POLICY yes

A document is not properly executed

yes

Forgery, fraud or duress

yes

Defective recording of any document

yes

There are restrictive covenants

yes

There is a lien on your title because there is: h a deed of trust h a judgment, tax or special assessment h a charge by homeowner’s association

yes yes yes

Title is unmarketable

yes

Mechanic’s lien protection

yes

Forced removal of structure because it: h Extends onto other land or onto an easement h Violates a restriction in Schedule B h Violates an existing zoning law

no no no

yes yes yes

use land for a single family dwelling because the use violates a 10 Can’t restriction in Schedule B or a zoning ordinance.

yes

12 Unrecorded lien by a homeowner’s association

yes

13 Unrecorded easements

yes

14 Rights under unrecorded leases

yes

15 Enhanced continuing coverage

yes

16 Building permit violations

yes

17 Compliance with Subdivision Map Act

yes

18 Restrictive covenant violations

yes

19 Forgery occurring after policy date

yes

20 Encroachment occurring after policy date

yes

21 Damage from minerals or water extraction occurring after policy date

yes

22 Coverage continues after transfer to your Living Trust

yes

23 Enhanced access, vehicular and pedestrian

yes

24 Attached map not consistent with legal description

yes

25 Potential increase in policy limit up to 150% due to inflation

yes

26 Adverse possession occurring after policy date

yes

27 Cloud on title occurring after policy date

yes

28 Prescriptive easement occurring after policy date

yes

Pays rent for substitute land or facilities

29 Covenant violation resulting in reversion

yes

30 Boundary, walls and fence encroachment

yes

31 Violations of building setbacks

yes

Some additional coverage is subject to a deductible and maximum dollar limits of liability. For more details on all coverages, including the coverages outlined above, please refer to the terms of the policy itself. Copies are available from your local Premier Title Agency office. The ALTA Homeowner’s Policy is designed for issuance on certain subdivided residential properties and are not available for all properties. Check with your title representative for availability.

WAYS TO

TAKE TITLE IN ARIZONA COMMUNITY PROPERTY

JOINT TENANCY WITH RIGHT OF SURVIVORSHIP

COMMUNITY PROPERTY WITH RIGHT OF SURVIVORSHIP

TENANCY IN COMMON

Requires a valid marriage between two persons.

Parties need not be married; may be more than two joint tenants.

Requires a valid marriage between two persons.

Parties need not be married; may be more than two tenants in common.

Each spouse holds an undivided one-half interest in the estate.

Each joint tenant holds an equal and undivided interest in the estate, unity of interest.

Each spouse holds an undivided one-half interest in the estate.

Each tenant in common holds an undivided fractional interest in the estate. Can be disproportionate, e.g.,20% and 80%; 60% and 40%; 20%, 20%, 20% and 40%; etc.

One spouse cannot partition the property by selling his or her interest.

One joint tenant can partition the property by selling his or her joint interest.

One spouse cannot partition the property by selling his or her interest.

Each tenant’s share can be conveyed, mortgaged or devised to a third party.

Requires signatures of both spouses to convey or encumber.

Requires signatures of all joint tenants to convey or encumber the whole.

Requires signatures of both spouses to convey or encumber.

Requires signatures of all tenants to convey or encumber the whole.

Each spouse can devise (will) onehalf of the community property.

Estate passes to surviving joint tenants outside of probate.

Estate passes to the surviving spouse outside of probate.

Upon death the tenant’s proportionate share passes to his or her heirs by will or intestacy

Upon death the estate of the decedent must be “cleared” through probate, affidavit or adjudication.

No court action required to “clear” title upon the death of joint tenant(s).

No court action required to “clear” title upon the first death.

Upon death the estate of the decedent must be “cleared” through probate, affidavit or adjudication.

Both halves of the community property are entitled to a “stepped up” tax basis as of the date of death.

Deceased tenant’s share is entitled to a “stepped up” tax basis as of the date of death.

Both halves of the community property are entitled to a “stepped up” tax

Each share has its own tax basis.

Note: Arizona is a community property state. Property acquired by a husband and wife is presumed to be community property unless legally specified otherwise. Title may be held as “Sole and Separate.” If a married person acquires title as sole and separate, his or her spouse must execute a disclaimer deed to avoid the presumption of community property. Parties may choose to hold title in the name of an entity, e.g., a corporation; a limited liability company; a partnership (general or limited), or a trust. Each method of taking title has certain significant legal and tax consequences; therefore, you are encouraged to obtain advice from an attorney or other qualified professional.

P R E M I E R T I T L E AG E N C Y

WHAT IS

ESCROW? Buying, selling, or refinancing real property usually involves the transfer of large sums of money. It is imperative that a neutral third party, known as the Escrow Holder (Premier Title Agency), handles the transfer of these funds and related documents from one party to another. The Escrow Holder impartially carries out all written instructions given by the principals (borrowers). As a neutral third party, Premier Title Agency oversees the escrow process to ensure that all conditions of the loan are met.

The Escrow Holder’s Duties y Serves as the neutral third party and the liaison between all parties involved y Requests a Title Commitment to facilitate issuance of title insurance y Prepares the escrow instructions y Complies with lender’s conditions and prepares necessary documentation y Requests payoff demands for anything to be paid through escrow y Records the Deed and other related documents y Receives closing instructions, documents, borrower’s funds and reviews file to determine that all conditions have been met

y Closes the escrow y Disburses funds as authorized by the instructions, including charges for title insurance, recording fees, lender fees, and loan payoff

y Arranges for the Title Insurance Policy for the borrower and the lender

What Do I Need to Provide? You may be asked to complete a Statement of Information as part of the paperwork. Because many people have similar names, the Statement of Information is used to identify the specific person in the transaction through such information as date of birth, social security number, etc. This information is considered highly confidential.

STATEMENT

OF INFORMATION A Statement of Information provides a title company with the information needed to distinguish the buyers and sellers of real property from others with similar names.

What is a Statement of Information? A Statement of Information is a form routinely requested from the buyer(s) and seller(s) in a transaction where title insurance is sought. The completed form allows the title company to disregard matters that do not affect the property to be insured — matters that actually apply to some other person.

What does a Statement of Information do? Everyday, documents affecting real property—liens, court decrees, and bankruptcies — are recorded. Whenever a title company uncovers a recorded document in which the name is the same or similar to that of the buyer, seller, or borrower in a title transaction, the title company must ask, “Does this affect the parties we are insuring?”

What types of questions are on a Statement of Information? Personal information such as date of birth, dependents, marital history (current and former), residential history (present and past 10 years), and occupational history (present and past 10 years).

Will the information be kept confidential? Yes, the information is completely confidential and only for the title company to use in completing the search of records necessary before a policy of title insurance can be issued.

P R E M I E R T I T L E AG E N C Y

THE

LOAN PROCESS Unless you are paying cash for your property, you will need to apply for a mortgage loan. Your lender can explain current financing options and help you select the right type of loan for your situation. The following details the steps to securing a loan:

PRE-QUALIFICATION/INTERVIEW • Application interview • Lender obtains all pertinent documents to avoid delays

LOAN PROCESS PERIOD During the loan process, the lender will request: • Credit report, appraisal of property, verification of employment, mortgage or landlord ratings, verification of funds to close • Title Commitment from Premier Title Agency • Picture ID, W2s (2 years), a Certificate of Eligibility, DD214 (VA only), and any other necessary supporting documentation • Loan Estimate (includes estimate of costs)

LOAN SUBMISSION • Loan package is assembled by the Loan Officer or Processor and submitted to the underwriter for approval

LOAN APPROVAL • Generally takes 24-72 hours • Parties are notified of approval and conditions to the loan

DOCUMENTS PREPARED BY THE LENDER Upon loan approval: • Closing Disclosure is issued to Borrower and delivery and reviewing period begins • Loan documents are prepared and sent to Premier Title Agency • Borrower is notified of how much money is necessary to close the loan • Borrower will come to Premier Title Agency to sign all final documents

FUNDING • Lender reviews the signed loan package • Funds are wired to Premier Title Agency

RECORDING DOCUMENTS • Premier Title Agency records the Deed of Trust electronically with the County Recorder’s Office, securing the lien against the property • Funds are disbursed to the appropriate parties • Escrow is officially closed

CLOSING

COSTS Below are some typical closing costs you may incur during the home buying process. Premier Title Agency will review and explain your closing statement during your signing appointment.

Title Insurance Premium

Escrow Fees

Fee paid by an individual to insure a marketable title or, in the case of a lender, to insure the lien position.

Fees charged by a title and/or escrow company for ser vices rendered in coordinating the closing and preparing documents necessary to close a real estate transaction.

Transfer and Assumption Charges Fees charged by a lender to allow a new purchaser to assume the seller’s existing loan.

Inspection Fees The cost for inspections performed. Example: pest, home, roof, etc.

Recording Fees Fees assessed by a County Recorder’s Office for recording legal documents of a real estate transaction.

Loan Fees Fees charged by a lender in connection with the processing of a new loan. These may include points, origination fee and credit report.

Taxes The buyer may be required to reimburse the seller for property taxes, depending upon the month in which the transaction closes.

Real Estate Commission Fee paid to a real estate broker for services rendered in listing, showing, selling and consummating the transfer of property.

Homeowner’s Insurance Lenders typically require the first year of fire and hazard insurance be paid by escrowing funds.

Prepaid Interest Depending upon the time of month a loan closes, the per diem charge may vary from a full month’s interest to a few day’s interest.

P R E M I E R T I T L E AG E N C Y

CLOSING COSTS:

WHO PAYS WHAT? Get to know who customarily pays what costs Down Payment

CASH

FHA

CONV.

Buyer

Seller

Termite (Wood Infestation) Inspection (negotiable except on VA) Property Inspection (if requested by buyer)

Buyer

Property Repairs, if any (negotiable)

Seller

New Loan Origination Fee (negotiable)

Buyer

Discount Points (negotiable)

Buyer

Credit Report

Buyer

Appraisal or Extension Fee (negotiable)

Buyer

Existing Loan Payoff

Seller

Existing Loan Prepayment Penalty (if any)

Seller

Loan Prepayment Penalty (if any)

Seller

Next Month’s PITI Payment

Buyer

Prepaid Interest (approx. 30 days)

Buyer

Prorate

Buyer

Prorate

Tax Impounds

Buyer

Tax Service Contract

Seller

Buyer

Buyer or Seller

HOA/Disclosure Fee

Seller

Current HOA Payment

Prorate

Buyer

Buyer or Seller

Realtors®’ Commissions

Seller

Homeowners Title Policy

Seller

Buyer

Reserve Account Balance (credit seller/charge buyer) FHA MIP, VA Funding Fee, PMI Premium Assessments Payoff or Proration (sewer, paving, etc.)

Seller

Taxes

Prorate

Fire/Hazard Insurance

Buyer

Flood Insurance Homeowners Association (HOA) Transfer Fee

Next Month’s HOA Payment Home Warranty Premium (negotiable)

Lenders Title Policy and Endorsements Escrow Fee (NOTE: charge seller on VA loan)

Split

Seller

Split

Recording Fees (flat rate)

Split

Seller

Split

Seller

Split

Reconveyance/Satisfaction Fee Courier/Express Mail Fees

ARIZONA

PROPERTY TAX GUIDE Property taxes could affect expenses when closing escrow. See below on how this can impact your transaction.

1st Installment Due Oct 1st

Beginning of Fiscal Tax Year Jan 1st

2nd Installment Due Mar 1st

1st Installment Delinquent Nov 1st Jul

Aug

Sep

Oct

Nov

Dec

2nd Installment Delinquent May 1st Jan

2nd Installment July 1-December 31

Feb

Mar

Apr

May

Jun

1st Installment January 1-June 30

*Tax amounts will be prorated through escrow based on closing date and next installment due NOTE: Penalties for delinquent property taxes include an interest accrual of 16% annually, simple interest, prorated monthly. There will also be advertising fees of $5.00 or 5%, whichever is greater, and sale fees.

TAX IMPOUND RESERVE SCHEDULE Pay 1st in Escrow

Pay 2nd in Escrow

Number of Months Required By Lender to Impound

Closing Month

1st Payment

January

March

February

April

Yes

March

May

Yes

April

June

Yes

May

July

June

August

July

September

August

October

September

November

October

December

Yes

November

January

Yes

December

February

Yes

The number of months shown above are estimates and may vary according to individual lender requirements.

P R E M I E R T I T L E AG E N C Y

FOREIGN INVESTMENT IN REAL PROPERTY TAX ACT

(FIRPTA) The disposition of a U.S. real property interest by a foreign person (the seller) is subject to the Foreign Investment in Real Property Tax Act of 1980 (FIRPTA) income tax withholding. This IRS Rule requires the transferee/buyer to determine if withholding applies and, if so to remit the withholding to the IRS. If the buyer has determined FIRPTA withholding applies, the buyer and seller may mutually instruct the Escrow Officer to deduct the set amount, gather the applicable forms and remit them to the IRS on their behalf. Foreign sellers are subject to a 15% withholding of the sales price unless ONE of the following exemptions are met:

• The sales price is $300,000.00 or less and the buyer(s) signs the FIRPTA Buyer Occupancy Affidavit, which states they are acquiring the real property for use as a residence and that either the buyer or an immediate family member of the buyer will reside at the property for at least 50% of the number of days the property is used by any person during each of the first two 12-month periods following the date of transfer. Note immediate family members are: spouse, brothers, sisters, ancestors, lineal descendants.

• The seller provides a certification stating that the seller is not a foreign person which means they are a U.S. resident or a resident alien that lives in the U.S. and has a U.S. tax identification number.

• The buyer receives a waiver from the IRS that excuses or reduces the amount of the withholding prior to close of escrow.

IN PREPARATION

FOR YOUR SIGNING Below is a list of items that you will need at your appointment to sign escrow papers.

Cashier’s Check Obtain a cashier’s or certified check made payable to Premier Title Agency in the amount indicated by your Escrow Officer. A personal check will delay the closing since Premier Title Agency is required by law to verify good funds before disbursing funds from the escrow.

Identification There are several acceptable forms of identification that may be used during the escrow process. These include: y Current State of Arizona Department of Motor Vehicles driver’s license y Current State of Arizona Department of Motor Vehicles identification card y Passport y Other Arizona-approved identification card, provided it has a photograph, description of the person, signature of the person and an identifying number Check with your Escrow Officer to learn more about acceptable forms of identification. One of these forms of identification must be presented at the signing of escrow for the signature to be notarized.

Lender’s Requirements You must satisfy your lender’s requirements prior to closing.

Fire & Hazard Insurance/Homeowner’s Insurance Your lender will require that the first year of fire and hazard insurance premiums be paid into escrow. If you are purchasing a townhouse, check with your Real Estate Professional to see if your insurance is paid through homeowner’s dues.

Title to Your Home Decide how you wish to hold title to your new home. You may refer to the chart “Ways to Take Title” on page 9 for more information. Consult a lawyer, tax consultant or other qualified professional if you have questions.

P R E M I E R T I T L E AG E N C Y

FAQS OF

TITLE INSURANCE A home is the single largest investment most of us will make in our lives. To buy with confidence, get owner’s title insurance. It’s a smart way to protect your property from financial claims. To help you understand how it works, here are answers to common questions:

What is Title? A title is right to own or use your property. Title also notes any limitations on those rights.

What is a Title Search? A title search is a standard part of the home buying process that is conducted to uncover issues that could prevent your right to the property. Your closing agent reviews public records to see if there are problems or defects that could cause you legal issues.

Why Should I Purchase Owner’s Title Insurance? Purchasing owner’s title insurance is a smart decision because it’s the best way to protect your property from possible future claims.

What Does Owner’s Title Insurance Cost? The one-time payment for owner’s title insurance is low relative to the value of your home. The typical title insurance policy costs around 0.5% of the home’s purchase price.

What is Title Insurance? If you’re buying a home, title insurance is a policy that protects your investment and property rights. There are two different types of title insurance: owner’s policy and lender’s policy. 1. An owner’s policy protects your property rights for as long as you own the home. 2. A lender’s policy is usually required by the lender and protects only the lender’s financial interests. We recommend you ask your escrow officer on how it’s handled in your area.

How Long am I Covered? Your owner’s insurance policy lasts as long as you own your property. Your life will change over time, but your peace of mind never will.

What Happens at Settlement? You sign the legal documents and receive the keys to your home.

ESCROW

DELAYS There are many situations or title issues that can arise during the escrow process that may cause your transaction to be delayed or have unexpected costs. Below is a list of the most common situations that cause problems originating from the buyer. Remember to always advise your Escrow Officer and/or loan officer as soon as you are aware of any of these issues.

• Buyers leaving town without establishing a power of attorney. Use of a power of attorney must be approved by the title insurer and the buyer’s new lender. If a power of attorney is not approved, additional outside signing fees may be incurred.

• Additional funds to close may be needed. • Method to holding title to the property undecided prior to signing. • Escrow Officer not made aware of various statuses (e.g., marriage, separation, registered domestic partnership, sole and separate property, properties held in a trust, 1031 exchange, etc.).

• Lender requirements not satisfied prior to closing. • Spouse absent at signing. • Cashier’s or Certified Check missing at closing, or a wire transfer was not arranged. • Acceptable forms of identification, including current Driver’s License, passport, or Arizona DMV Identification Card, not provided at signing.

P R E M I E R T I T L E AG E N C Y

CLOSING’S COMPLETE.

NOW WHAT?

Here are some things to expect once your closing is complete: y Your Real Estate Professional will be contacted by your Escrow Officer from Premier Title once your documents have been recorded with the County. y Your Real Estate Professional can then make arrangements for the transfer of keys to the property and will contact you letting you know how you will receive them. y Your Escrow Officer can now close out the file and disburse all the proceeds to the appropriate parties. y A Final Closing Statement and HUD or Closing Disclosure (whichever is applicable) is prepared, showing how all funds were disbursed. A copy is mailed to both the buyer and the seller showing their side of the transaction. If you are receiving a refund check, this will be mailed to you with your Closing Statement unless you have made arrangements to pick it up at our office. y You can submit a change of address to the DMV and Registrar of Voters by downloading the form from the DMV or the Postal Service. y Any recorded documents to which you are entitled will be mailed to you after the close of escrow. y And finally, you will receive your Owner’s Title Policy from Premier Title reflecting you as the owner of the property and loan information, if you have borrowed money. This normally takes a period of time to receive and will be mailed to you.

P R E M I E R T I T L E AG E N C Y

MOVING

CHECKLIST 8 6

WEEKS BEFORE Contact movers for estimates or reserve moving van. Clean out your attic, basement, storage shed, and other big storage areas. Inventory and evaluate your possessions to determine if anything can be sold or donated. Plan a garage sale to sell unneeded items or arrange to donate them to charity. Start to use up things you can’t move, such as frozen foods and cleaning supplies.

WEEKS BEFORE If you’re moving at an employer’s request, verify what expenses may be reimbursed. Locate all auto licensing and registration documents. For out of town moves, contact the IRS or your accountant for information on what moving expenses may be tax-deductible. If some of your goods are to be stored, make the necessary arrangements. Contact schools, doctors, dentists, lawyers and accountants and obtain copies of your personal records or request forwarding. Ask doctor and dentist for referrals. Obtain birth records, medical records, etc. Notify your vet: “chipped pets” are often forgot about. Make sure your vet knows about your address change. Transfer memberships for clubs and civic organizations. Request letters of introduction. Begin collecting boxes and other moving supplies.

4 WEEKS BEFORE

Make change of address notifications: Post Office, credit card and other billing accounts, subscriptions, friends and relatives. Arrange special transportation for your pets and plants. Contact utility and related companies (gas, electric, water, telephone, cable TV, Internet, and trash collection) to establish service at your new home. Contact current vendors and request refunds for any deposits. Contact insurance companies (auto, homeowner’s or renter’s, medical, fire and life) to arrange for coverage in your new home. If you’re packing yourself, purchase packing boxes from your local mover. Pack items that you won’t be needing in the next month. Arrange for transportation of autos you will not drive yourself. Transfer all medical prescriptions to a pharmacy in your new location. Call newspaper courier, lawn services, etc. and set a date to cancel.

3 WEEKS BEFORE 2 1 WEEK BEFORE

WEEKS BEFORE

Make sure travel arrangements and reservations are in order. Arrange to close accounts at your local bank and open accounts in your new locale. Don’t forget automatic deposit and payment items.

If moving out of or into a building with elevators, contact the building management to schedule use of the elevators. Contact the moving company to review and confirm the arrangements for your move.

Withdraw the contents of your safety deposit box, pick up any dry cleaning, return library books and rented videos, etc. Verify service connection dates with new utility companies.

MOVING

CHECKLIST 2-3 DAYS BEFORE... Defrost your freezer and refrigerator. Disconnect major appliances and prepare for the move. You should request the gas company to disconnect your gas dryer, oven and any other gas appliance. Pack a box of personal items that will be needed immediately at your new home. Ask the movers to load this box last or transport it yourself. Set aside those things that you are transporting yourself so that they are not mistakenly loaded by your mover. Contact your mover to confirm arrival time of the moving van. Provide directions to your new home (Include your itinerary, emergency numbers, etc.). Unplug all television sets 24 hours in advance of moving day so that they will be at room temperature.

MOVING DAY... Record all utility meter readings (gas, electric, water). Read your bill of lading and inventory carefully before you sign them. Keep contracts, bills and other moving papers in a safe place until all charges have been paid and all claims have been settled. Carry jewelry and documents yourself or use registered mail. Carry enough cash or traveler’s checks to cover cost of moving services and expenses until you make banking connections in new city. Let a close friend or relative know the route and schedule you will travel, including overnight stops. Double check closets, drawers, shelves to be sure they are empty. Leave old keys needed by new tenant or owner with Real Estate Professional or neighbor.

AT YOUR NEW HOME...

PACKING TIPS...

Check on service of telephone, gas, electricity, and water. Check pilot light on stove, hot water heater, incinerator and furnace. Have appliances checked. Ask postal worker for mail held for your arrival. Have new address recorded on driver’s license. Register car within five days after arrival in state or face a potential penalty. Visit city offices, register for voting, obtain information from Chamber of Commerce. Register family in your new place of worship. Register children in school. Arrange for medical services: doctor, dentist, prescriptions, etc.

Finish packing and prepare an “essentials” box. Designate boxes and items to load last into the moving truck. Pack suitcases and valuables separately. Pack one room at a time and clearly label each box with a description of contents and the destination room (e.g. kitchen, office). Be as specific as possible when labeling boxes. It makes unpacking much easier. Keep the weight of boxes reasonable. If possible put heavy items in small boxes to make them easier to carry. Double box fragile items and use plenty of cushioning material Fill boxes completely, but don’t over-pack the box.

When everything is packed, make sure the items you need first at your new home are loaded last. Items you may need when you arrive should be packed and carried separately. For each person in your household, prepare a change of clothes, towel, prescriptions, toothbrush, sheets, and other personal items. Prepare a bag of plastic eating utensils, paper plates, cups, paper towels, toilet paper, trash bags, soap, first aid kit, snacks, beverages, and food for your pets.

P R E M I E R T I T L E AG E N C Y

GLOSSARY These definitions are to acquaint the homebuyer with terms commonly used in real estate transactions. The terms are intended to be general and brief and are not complete and wholly accurate when applied to all possible uses of the term. Please consult your Real Estate Professional for more information or questions regarding specific terms. Adjustable Rate Mortgage (ARM): A mortgage instrument with an interest rate that is periodically adjusted to follow a pre-selected published index. The interest rate is adjusted at certain intervals during the loan period.

Beneficiary: The person who is entitled to receive funds or property under the terms and provisions of a will, trust, insurance policy or security instrument. In the case of a mortgage loan, the beneficiary is the lender.

Adjustment Period: The length of time between interest rate changes on an ARM. For example, in the case of an ARM loan with a one-year adjustment period, the interest rate may change once each year.

Broker, Real Estate: One who is licensed by the state to carry on the business of dealing in real estate. A broker is employed on a fee or commission basis to bring together buyers and sellers, landlord and tenant, or parties to an exchange, and assist in negotiating contracts between them.

Agency: Any relationship in which one party (agent) acts for or represents another (principal) under the authority of the principal. Agency involving real property should be in writing, such as listing, trust, powers of attorney, etc. American Land Title Association (ALTA): A national association of title insurance companies, abstractors, and agents. The association adopts standard policy forms. Amortization: Repayment of a mortgage debt with periodic payments of both principal and interest, calculated to retire the obligation at the end of a fixed period of time. Annual Percentage Rate (APR): A term defined in section 106 of the Federal Truth in Lending Act (15 USC 1606), which expresses on an annualized basis the charges imposed on the borrower to obtain a loan (defined in the Act as “finance charges”), including interest, discounts and other costs.

Cap: The limit on how much an interest rate or monthly payment can change, either at each adjustment or over the life of the mortgage. Certificate of Reasonable Value (CRV): A document that establishes the maximum value and loan amount for a VA guaranteed loan. Closing Costs: The costs incurred to purchase real estate. These may include loan fees, title fees, appraisal fees, etc. Closing Disclosure: This form provides disclosures to help consumers understand all of the costs of the transaction. The Closing Disclosure must be provided to consumers three business days before they close on the loan. Closing Statement: The financial disclosure statement that accounts for all of the funds received and expected at the closing, including deposits for taxes, hazard insurance, and mortgage insurance.

Appraisal: An opinion or estimate of value. Also refers to the process by which a value estimate is obtained.

Commission: An agent’s compensation for negotiating a real estate or loan transaction, often expressed as a percentage of the selling price.

Assignment: The transfer of ownership, rights, or interests in property, as in a mortgage, lease, or deed of trust. Mortgages and other security instruments are regularly assigned from one investor to another and commitments by HUD/FHA to insure mortgages may be assigned by one originating lender to another before insurance.

Community Property: A form of ownership under which property acquired during a marriage is presumed to be owned jointly unless acquired as separate property of either spouse.

GLOSSARY Contingency Clause: A contract term that calls for a condition to be met or action to be performed as a prerequisite for the other obligations and rights under the contract to become binding (e.g. the sale of the purchaser’s home). A contingency becomes part of a binding sales contract when both parties (i.e., the seller and the buyer) agree to the terms and sign the contract. Deed: The document by which title to real property is transferred or conveyed from one party to another. Deed of Trust: Type of security instrument in which the borrower conveys title to real property to a third party (trustee) to be held in trust as security for the lender, with the provision that the trustee shall reconvey the title upon the payment of the debt, and, conversely, will sell the land and pay the debt in the event of a default by the borrower. Deposit: A sum of money given to (1) bind a sale of real estate, or (2) assure payment or an advance of funds in the processing of a loan. Also called Earnest Money. Discount Points: A negotiable fee paid to the lender to secure financing for the buyer. Discount points are up front interest charges to reduce the interest rate on the loan over the life, or a portion, of the loan’s term. One discount point equals one percent of the loan amount. Due on Sale Clause: An acceleration clause that requires full payment of a mortgage or deed of trust when the secured property changes ownership. Earnest Money: A deposit made to bind the conditions of a sale of real estate. Easement: A limited right of interest in land of another that entitles the holder of the right to some use, privilege or benefit over the land. Escrow: The process in which a neutral third party holds money and documents for delivery to the respective parties in a transaction on performance or established conditions.

Federal National Mortgage Association: Commonly known as Fannie Mae. A privately owned corporation created by Congress to support the secondary mortgage market. It purchases and sells residential mortgages insured by FHA or guaranteed by VA, as well as conventional home mortgages. Finance Charge: The total cost a borrower must pay, directly or indirectly, to obtain credit according to Regulation Z. Foreclosure: The legal process by which property is sold to satisfy an unpaid debt in the event of default on terms or payments of a mortgage. Good Faith Estimate (GFE): A document that tells borrowers the approximate costs they will pay at or before settlement, based on common practice in the locality. Under requirements of the Real Estate Settlement Procedures Act (RESPA), the mortgage banker or mortgage broker, if any, must deliver or mail the GFE to the applicant within three business days after the application is received. Graduated Payment Mortgage: A residential mortgage with monthly payments that start at a low level and increase at a predetermined rate. Grant Deed: One of many types of deeds used to transfer real property. Hazard Insurance: Real estate insurance protecting against loss caused by fire, some natural causes, vandalism, etc., depending upon the terms of the policy. Homeowner’s Association: (1) An association of people who own homes in a given area, formed for the purpose of improving or maintaining the quality of the area. (2) An association formed by the builder of condominiums or planned developments and required by statute in some states. Impound Account: An account held by a lender for the payment of taxes, insurance or other periodic debts against real property. Index: A measure of interest rate changes used to determine changes in an ARM’s interest rate over the term of the loan.

P R E M I E R T I T L E AG E N C Y

GLOSSARY Joint Tenancy: A means of ownership in which two or more persons own equal shares in real property. Upon the death of one tenant, his/her share passes to the remaining tenant(s) until title is vested in the last survivor. Land Title Association of Arizona (LTAA): An Arizona statewide association of title insurers and underwritten title companies. The association adopts standard title policy forms. Legal Description: A description by which real property can be definitely located by reference to surveys or recorded maps. Sometimes referred to simply as “the legal.” Lien: A legal hold or claim on property as security for a debt or charge. Loan Commitment: A written promise to make a loan for a specified amount on specific terms. Loan Estimate: This document provide disclosures to help consumers understand the key features, costs and risks of the mortgage loan. The Loan Estimate must be provided to consumers no later than three business days after they submit a loan application. Loan to Value Ratio: The relationship between the amount of the appraised value of the property and the loan, expressed as a percentage of the appraised value. Lock-in: A guarantee by the lender of a particular loan rate. The loan must fund before the lock expiration in order to receive the guaranteed or “locked” rate. Margin: The number of percentage points the lender adds to the index rate to calculate the ARM’s interest rate at each adjustment. Market Value: An appraisal term denoting the highest price that a buyer, willing but not compelled to buy, would pay, and the lowest a seller, willing but not compelled to sell, would accept. Mortgage Payment: A payment that is owed to the bank/lender each month toward repayment of the loan. The amount is determined by the terms of the loan: principal, interest rate, length of the loan, and periodic adjustments, if applicable.

Multiple Listing Service: An exclusive listing, submitted to all members of an association, so that each may have the opportunity to sell the property. Negative Amortization: Occurs when monthly payments fail to cover the interest cost. The interest that isn’t covered is added to the unpaid principal balance, which means that even after several payments you may owe more than you did at the beginning of the loan. Negative amortization can occur when an ARM has a payment cap that results in monthly payments that aren’t high enough to cover the interest. Note: A unilateral agreement containing an express and absolute promise of the signer to pay to a named person, order, or bearer a definite sum of money at a specified date or on demand. Usually provides for interest and, concerning real property, is secured by a mortgage or trust deed. Origination Fee: A fee made by a lender for making a real estate loan. Usually a percentage of the amount loaned, such as one percent. PITI (Principal, Interest, Taxes and Insurance): The four major components of a usual monthly mortgage payment. Point: An amount equal to 1% of the principal amount of the investment or note. The lender assesses loan discount points at closing to increase the yield on the mortgage to a position competitive with other types of investments. Power of Attorney: An authority by which one person (principal) enables another (attorney-in-fact) to act for him. (1) General power – authorizes sale, mortgaging, etc., of all property of the principal. Invalid in some jurisdictions. (2) Special power specifies property, buyers, price and terms.

GLOSSARY Prepayment Penalty: A penalty under a note, mortgage, or deed of trust imposed when the loan is paid before it is due. Pre-Qualification Letter: A letter that states a potential borrower’s financial status to determine the size and type of mortgage available to him/her. Principal: (1) The amount of debt, not including interest. (2) The person who is served by an agent or attorney. Private Mortgage Insurance (PMI): Insurance written by a private mortgage insurance company protecting the mortgage lender against loss occasioned by a mortgage default and foreclosure. The premium is paid by the borrower and is included in the mortgage payment. Typically required if down payment is less than 20% of purchase price. Processing (or Origination) Fees: Fees that cover the administrative cost of processing the loan. These charges vary from lender to lender. Promissory Note: A promise in writing and executed by the maker to pay a specified amount during a limited time, on demand or at sight to a named person, or on order to bearer. Proration: The method used in dividing charges into that portion which applies only to a party’s ownership up to a particular date. Quitclaim Deed: A deed operating as a release; intended to pass any title, interest, or claim which the grantor may have in the property, but not containing any warranty of a valid interest or title in the grantor. Reconveyance: The conveyance to the landowner of the title, held by a trustee under deed of trust, when the performance of the debt is satisfied.

Right of Survivorship: The right of a survivor of a deceased person to the property of said deceased. A distinguishing characteristic of a joint tenancy relationship. Statement of Information (SI): A confidential form filled out by buyer and seller to help a title company determine if any liens are recorded against either party. It is necessary to differentiate between parties with similar names. Also called a Statement of Identity. Tenancy in Common: An undivided ownership in real estate by two or more persons. The interests need not be equal. In the event of the death of one of the owners, no right of survivorship in the other owner exists. Title Commitment: A report which contains specific requirements and our commitment to insure provided all requirements are met prior to or at close. Title Insurance Policy: A policy that protects the purchasers, mortgagee or other parties against losses. Uniform Settlement Statement: The real estate closing form required by the Real Estate Settlement Procedures Act (RESPA) in order to account for all funds received, all disbursements made, and all expenses and all credits at close. The form is more commonly known as a HUD-1. VA Loan: A loan that is guaranteed by the Veteran’s Administration and made by a private lender. Vesting: Denotes the manner in which title is held. Examples of common vestings are: Community Property, Joint Tenancy, Tenancy in Common, and Community Property with Right of Survivorship.

Recordation: Involves filing for record in the office of the County Recorder for the purpose of giving constructive notice of title, claim or interest in real property.

P R E M I E R T I T L E AG E N C Y

DOCUMENT UPDATED: APRIL 2021

A Resource for Real Estate Consumers Provided by the Arizona Association of REALTORS® and the Arizona Department of Real Estate A real estate agent is vital to the purchase of real property and can provide a variety of services in locating a property, negotiating the sale, and advising the buyer. A real estate agent is generally not qualified to discover defects or evaluate the physical condition of property; however, a real estate agent can assist a buyer in finding qualified inspectors and provide the buyer with documents and other resources containing vital information about a prospective property. This Advisory is designed to make the purchase of real property as smooth as possible. Some of the more common issues that a buyer may decide to

investigate or verify concerning a property purchase are summarized in this Advisory. Included in this Advisory are: 1. Common documents a buyer should review; 2. Physical conditions in the property the buyer should investigate; and 3. Conditions affecting the surrounding area that the buyer should investigate.

In addition, a buyer must communicate to the real estate agents in the transaction any special concerns the buyer may have about the property or surrounding area, whether or not those issues are addressed in this Advisory.

Reminder:

This Advisory is supplemental to obtaining professional property inspections. Professional property inspections are absolutely essential: there is no practical substitute for a professional inspection as a measure to discover and investigate defects or shortcoming in a property.

Please Note:

The property may be subject to video and/or audio surveillance. Buyer should therefore exercise caution and not discuss features or pricing while in the home.

Page | 1 of 13 Lisa Larkin

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

Table of Contents SECTION 1

COMMON DOCUMENTS A BUYER SHOULD REVIEW 3 Purchase Contract 3 MLS Printout 3 The Subdivision Disclosure Report (Public Report) 3 Seller’s Property Disclosure Statement (SPDS) 3 Covenants, Conditions and Restrictions (CC&Rs)

4 Homeowner’s Association (HOA) Governing Documents 4 HOA Disclosures 4 Community Facilities District 4 Title Report or Title Commitment 4 Loan Information & Documents 4 Home Warranty Policy 5 Affidavit of Disclosure

5 5 5 5

Lead-Based Paint Disclosure Form Professional Inspection Report County Assessors/Tax Records Termites and Other Wood Destroying Insects and Organisms 5 Foreign Investment in Real Property Tax Act (FIRPTA)

SECTION 2

COMMON PHYSICAL CONDITIONS IN THE PROPERTY A BUYER SHOULD INVESTIGATE 6 Repairs, Remodeling and New Construction 6 Square Footage 6 Roof 6 Swimming Pools and Spas (Barriers) 6 Septic and Other On-Site Wastewater Treatment Facilities 7 Sewer

7 Water/Well Issues (Adjudications, CAGRDs) 7 Soil Problems 7 Previous Fire/Flood 7 Pests (Scorpions, Bed bugs, Roof Rats, Termites & Bark Beetles) 8 Endangered & Threatened Species 8 Deaths & Felonies on the Property

8 Indoor Environmental Concerns (Mold, Chinese Drywall, Radon Gas & Carbon Monoxide, Drug labs, Other) 8 Property Boundaries 9 Flood Insurance / Flood Plain Status 9 Insurance (Claims History) 9 Other Property Conditions (Plumbing, Cooling/Heating, Electrical systems)

SECTION 3

CONDITIONS AFFECTING THE AREA SURROUNDING THE PROPERTY THE BUYER SHOULD INVESTIGATE 9 Environmental Concerns (Environmentally Sensitive Land Ordinance) 10 Electromagnetic Fields 10 Superfund Sites

10 Freeway Construction & Traffic Conditions 10 Crime Statistics 10 Sex Offenders 10 Forested Areas

10 Military and Public Airports 11 Zoning/Planning/Neighborhood Services 11 Schools 11 City Profile Report

SECTION 4

OTHER METHODS TO GETTING INFORMATION ABOUT A PROPERTY 11 Talk to the Neighbors

11 Drive around the Neighborhood

11 Investigate your Surroundings

SECTION 5

RESOURCES

12 Additional Information 12 Information about Arizona Government, State Agencies and Arizona REALTORS®

12 Market Conditions Advisory 12 Fair Housing & Disability Laws 12 Wire Fraud

BUYER ACKNOWLEDGMENT 13

Page | 2 of 13 Lisa Larkin

Arizona Department of Real Estate

Buyer Advisory (April 2021)

RE/MAX Select

Tucson, AZ 85712

Section 1

COMMON DOCUMENTS A BUYER SHOULD REVIEW

The documents listed below may not be relevant in every transaction, nor is the list exhaustive. Unless otherwise stated, the real estate broker has not independently verified the information contained in these documents.

1 Purchase Contract Buyers should protect themselves by taking the time to read the real estate purchase contract and understand their legal rights and obligations before they submit an offer to buy a property. http://bit.ly/38XEynJ (AAR Sample Residential Resale Purchase Contract)

2 MLS Printout A listing is a contractual agreement between the seller and the listing broker and may authorize the broker to submit information to the Multiple Listing Service (MLS). The MLS printout is similar to an advertisement. Neither the listing agreement nor the printout is a part of the purchase contract between the buyer and seller. The information in the MLS printout was probably secured from the seller, the builder, or a governmental agency, and could be inaccurate, incomplete or an approximation. Therefore, the buyer should verify any important information contained in the MLS.

A Subdivision Disclosure Report (Public Report) is intended to point out material information about a subdivision. Subdividers (any person who offers for sale or lease six or more lots in a subdivision or who causes land to be divided into a subdivision) are required to give buyers a Public Report. Read the Public Report before signing any contract to purchase property in a subdivision. Although some of the information may become outdated, subsequent buyers can also benefit from reviewing the Public Report. Public Reports dating from January 1, 1997, are available on the Arizona Department of Real Estate (ADRE) website. http://services.azre.gov/publicdatabase/SearchDevelopments.aspx (ADRE Search Developments) http://www.azre.gov/PublicInfo/PropertyBuyerChecklist.aspx(ADRE Property Buyer’s Checklist)

Lisa Larkin

4 Seller’s Property Disclosure Statement (SPDS) Most sellers provide a SPDS. This document poses a variety of questions for the seller to answer about the property and its condition. The real estate broker is not responsible for verifying the accuracy of the items on the SPDS; therefore, a buyer should carefully review the SPDS and verify those statements of concern. A seller’s disclosure obligation remains even if the buyer and seller agree that no Seller’s Property Disclosure Statement will be provided. http://bit.ly/2knrN0A (AAR Sample SPDS) http://www.azre.gov/PublicInfo/PropertyBuyerChecklist.aspx (ADRE Property Buyer’s Checklist)

5 Covenants, Conditions and Restrictions (CC&Rs)

3 The Subdivision Disclosure Report (Public Report)

Page | 3 of 13

ADRE does not verify the information in the Public Report. Therefore, the Report could be inaccurate, so it should be verified by the buyer.

The CC&Rs are recorded against the property and generally empower a homeowner’s association to control certain aspects of property use within the development. By purchasing a property in such a development, the buyer agrees to be bound by the CC&Rs. The association, the property owners as a whole, and individual property owners can enforce the CC&Rs. It is essential that the buyer review and agree to these restrictions prior to purchasing a property. http://www.azre.gov/PublicInfo/PropertyBuyerChecklist.aspx

(ADRE Property Buyer’s Checklist)

ADRE ADVISES: “Read the deed restrictions, also called CC&Rs (covenants, conditions and restrictions). You might find some of the CC&Rs are very strict.” Buyers should consult legal counsel if uncertain of the application of particular provisions in the CC&Rs.

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

6 Homeowners Association (HOA) Governing Documents

9 Title Report or Title Commitment The title report or commitment contains important information and is provided to the buyer by the title/escrow company or agent. This report or commitment lists documents that are exceptions to the title insurance (Schedule B Exceptions). Schedule B Exceptions may include encumbrances, easements, and liens against the property, some of which may affect the use of the property, such as a future addition or swimming pool. Make sure you receive and review all of the listed documents. Questions about the title commitment and Schedule B documents may be answered by the title or escrow officer, legal counsel, or a surveyor.

In addition to CC&Rs, HOAs may be governed by Articles of Incorporation, Bylaws, Rules and Regulations, and often architectural control standards. Read and understand these documents. Also, be aware that some HOAs impose fees that must be paid when the property is sold, so ask if the purchase of the property will result in any fees. Condominium and planned community HOAs are regulated by Arizona statutes. They are not under the jurisdiction of the Department of Real Estate (ADRE). Nonetheless, the Arizona’s Homeowner's Association Dispute Process is administered by the ADRE. http://bit.ly/2ebBSLH and http://bit.ly/2e8jdM3 (Chapter 16 & 18 of the Arizona Revised Statutes-Title 33) http://bit.ly/1rCq9kd (ADRE HOA Information) https://azre.gov/consumers/hoa (Homeowners Association Dispute Process)

https://www.homeclosing101.org/ (American Land Title Association) https://insurance.az.gov/consumers/help-hometitlefloodinsurance (Arizona Department of Insurance)

7 HOA Disclosures If purchasing a resale home in a condominium or planned community, the seller (if fewer than 50 units in the community) or the HOA (if there are 50 or more units) must provide the buyer with a disclosure containing a variety of information. http://bit.ly/2ebBSLH (A.R.S. 33-1260); http://bit.ly/2e8jdM3 (A.R.S. §33-1806)

8 Community Facilities District Community Facilities Districts (CFDs) are special taxing districts that use bonds for the purpose of financing construction, acquisition, operation and maintenance of public infrastructure that benefits the real property owners comprising the CFD members. Roadways, public sewer, utility infrastructure and public parks are examples of the types of public infrastructure paid for by CFDs. CFDs have a Governing Board that may be the City Council acting as the board or a stand-alone board. Any member of a CFD may request disclosures from this board. Questions to ask include: the amount still owed and how many more payments are left in order to pay off the CFD for the property. It is important that you review the Detailed Property Tax Statement which will show the current amount due to the CFD. CFDs are most commonly found on the property’s detailed property tax statement from the County Tax Assessor. The local municipality or county can also be a source of CFD information. Page | 4 of 13

Lisa Larkin

10 Loan Information and Documents Unless a buyer is paying cash, the buyer must qualify for a loan in order to complete the purchase. A buyer should complete a loan application with a lender before making an offer on a property if at all possible and, if not, immediately after making an offer. It will be the buyer’s responsibility to deposit any down payment and ensure that the buyer’s lender deposits the remainderof the purchase price into escrow prior to the close of escrow date. Therefore, make sure you get all requested documentation to your lender as soon aspossible. https://www.consumerfinance.gov/owning-a-home/ (Buying a house: Tools & Resources for Homebuyers) https://www.hud.gov/topics/buying_a_home (HUD.gov)

11 Home Warranty Policy A home warranty [policy] is a service contract that typically covers the repair and/or replacement costs of home appliances and major systems such as heating, cooling, plumbing, and possibly other components of a home that fail due to normal usage and age. Coverage varies depending on the policy. Be aware that pre-existing property conditions are generally not covered. A home warranty may be part of the sale of the home. If so, buyers should thoroughly read the home warranty contract to understand coverage, limitations, exclusions, and costs associated with the policy.

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

12 Affidavit of Disclosure

13 Lead-Based Paint Disclosure Form

If the home was built prior to 1978, the seller must provide the buyer with a lead-based paint disclosure form. Buyer is further advised to use certified contractors to perform renovation, repair or painting projects that disturb lead-based paint in residential properties built before 1978 and to follow specific work practices to prevent lead contamination.

15 County Assessors/Tax Records The county assessor’s records contain a variety of valuable information, including the assessed value of the property for tax purposes and some of the physical aspects of the property, such as the reported square footage. The date-built information in the assessor’s records can be either the actual or effective/weighted age if the residence has been remodeled. All information on the site should be verified for accuracy.

Gila:

Graham:

http://bit.ly/2JGz2ZO

Greenlee: http://bit.ly/2SCTZu6

La Paz:

Maricopa:

http://bit.ly/2HzhhdR

https://mcassessor.maricopa.gov/

Mohave:

Navajo:

http://bit.ly/Yq6nAj

http://bit.ly/1pWxgVA

Pima:

Pinal:

http://www.asr.pima.gov/

Santa Cruz:

http://bit.ly/1yRYwXl

Yuma: https://bit.ly/3uO8BbW

http://bit.ly/2O4pL4A (EPA) http://bit.ly/2O69Lik (ADRE Lead Based Paint Information)

https://azashi.org/faq/ (FAQ’s – Home Inspections)

Coconino:

http://bit.ly/2F9PstM

http://bit.ly/2MGVSpr (AAR Sample Affidavit of Disclosure)

The importance of having a property inspected by a professional inspector cannot be over-emphasized. An inspection is a visual physical examination, performed for a fee, designed to identify material defects in the property. The inspector will generally provide the buyer with a report detailing information about the property’s condition. The buyer should carefully review this report with the inspector and ask the inspector about any item of concern. Pay attention to the scope of the inspection and any portions of the property excluded from the inspection.

Cochise:

http://bit.ly/1FKUhk8

If the buyer is purchasing five or fewer parcels of land (whether improved or vacant), other than subdivided land, in an unincorporated area of a county, the seller must furnish the buyer with an Affidavit of Disclosure.

14 Professional Inspection Report

Apache:

http://bit.ly/1oUS7ok http://bit.ly/Yq3bV9

http://www.pinalcountyaz.gov/ Assessor/Pages/home.aspx

Yavapai:

http://bit.ly/1AsANj5

16 Termites and Other Wood Destroying Insects and Organisms

Termites and other wood destroying insects are commonly found in some parts of Arizona. General guidance, inspection report information and the ability to search a property for past termite treatments may be found on the Arizona Department of Agriculture website. https://agriculture.az.gov/pestspest-control/termites (AZDA-Termite Information) http://bit.ly/2GiGlIR (AZDA-Wood Destroying Insect Inspection Reports) https://tarf.azda.gov/ (AZDA-Search for Termite Reports)

17 Foreign Investment in Real Property Tax Act (FIRPTA)

Foreign Investment in Real Property Tax Act (FIRPTA) may impact the purchase of property if the legal owner(s) of the property are foreign persons or nonresident aliens pursuant to FIRPTA. If so, consult a tax advisor as mandatory withholding4mayapply. https://www.irs.gov/individuals/international-taxpayers/definitions-ofterms-and-procedures-unique-to-firpta (I.R.S. FIRPTA Definitions) www.irs.gov/Individuals/International-Taxpayers/FIRPTA-Withholding (I.R.S. FIRPTA Information) https://www.irsvideos.gov/Individual/education/FIRPTA (I.R.S. FIRPTA Video)

Page | 5 of 13 Lisa Larkin

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

Section 2

COMMON PHYSICAL CONDITIONS IN THE PROPERTY A BUYER SHOULD INVESTIGATE Because every buyer and every property is different, the physical property conditions requiring investigation will vary.

1 Repairs, Remodeling and New Construction

4 Swimming Pools and Spas

The seller may have made repairs or added a room to the property. The buyer should feel comfortable that the work was properly done or have an expert evaluate the work. Request copies of permits, invoices or other documentation regarding the work performed. https://roc.az.gov/before-hire (Before You Hire a Contractor – Tips) www.greaterphoenixnari.org (National Association of Remodeling Industry – Greater Phoenix Chapter) https://www.nariofsouthernarizona.com/page-319328 (National Association of Remodeling Industry– Southern Arizona) https://apps-secure.phoenix.gov/PDD/Search/Permits (City of Phoenix – Building Permit Records) https://www.tucsonaz.gov/PRO/pdsd/

https://www.azleg.gov/ars/36/01681.htm (A.R.S. 36-1681 Swimming Pool Enclosures)

2 Square Footage Square footage on the MLS printout or as listed by the county assessor’s records is often only an estimate and generally should not be relied upon for the exact square footage in a property. An appraiser or architect can measure the property’s size to verify the square footage. If the square footage is important, you should have it confirmed by one of these experts during the inspection period in a resale transaction and prior to executing a contract in a new home transaction. https://dfi.az.gov/industry/RealEstateAppraisers (Licensed Real Estate Appraisers)

3 Roof If the roof is 10 years old or older, a roof inspection by a licensed roofing contractor is highly recommended.

5 Septic and Other On-Site Wastewater Treatment Facilities If the home is not connected to a public sewer, it is probably served by an on-site wastewater treatment facility (conventional septic or alternative system). A qualified inspector must inspect any such facility within six months prior to transfer of ownership. For information on current inspection and transfer of ownership requirements, contact the specific county environmental/health agency where the property is located or the Arizona Department Environmental Quality (ADEQ). http://bit.ly/2plVsZe

www.azroofing.org (Arizona Roofing Contractors Association) https://roc.az.gov/before-hire(Before You Hire a Contractor– Tips)

Lisa Larkin

The Arizona REALTORS® Residential Purchase Contract provides guidance for the buyer to investigate all applicable state, county, and municipal Swimming Pool Barrier regulations and acknowledge receipt of the Arizona Department of Health Services approved private pool safety notice. The state requirements contained in the notice may be superseded by local swimming pool barrier ordinances that are equal to or more restrictive than the state requirements. https://www.aaronline.com/2010/10/pool-barrier-law-contactinformation/ (AAR-Pool Barrier Laws & Information-Updated August 2020)

(City of Tucson – Building Permit Records)

Page | 6 of 13

If the property has a pool or a spa, the home inspector may exclude the pool or spa from the general inspection so an inspection by a pool or spa company may be necessary.

(ADEQ – AZ Statewide Inspection Program) http://az.gov/app/own/home.xhtml (File a Notice of Transfer Online)

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

6 SEWER

Even if the listing or SPDS indicates that the property is connected to the city sewer, a plumber, home inspector, or other professional should verify it. Some counties and cities can perform this test as well.

Water/Well Issues

The property may receive water from a municipal system, a private water company, or a well. You should investigate the availability and quality of the water to the property, as well as the water provider. A list of Arizona’s water companies is available at the Arizona Corporation Commission. https://www.azcc.gov/utilities/water (Arizona Corporation Commission - Utilities-Water) https://new.azwater.gov/aaws/statutes-rules (Assured and Adequate Water Supply)

Adjudications: Arizona is undertaking several Stream Adjudications, which are court proceedings to determine the extent and priority of water rights in an entire river system. For information regarding water uses and watersheds affected by these adjudications, and the forms upon sale of the property, visit the Department of Water Resources online. https://new.azwater.gov/adjudications (Department of Water Resources – Adjudications)

Additionally, the Verde Valley Water Users assists members in matters pertaining to the Gila River System Adjudication. www.verdevalleywaterusers.org(VerdeValley Water Users Association)

CAGRDs: The Central Arizona Groundwater Replenishment District (CAGRD) functions to replenish groundwater used by its members, individual subdivisions and service areas of member water providers. Homeowners in a CAGRD pay an annual assessment fee which is collected through the county property tax process based on the amount of groundwater served to member homes. www.cagrd.com (Central Arizona Ground Water Replenishment District)

8 Soil Problems The soil in some areas of Arizona has “clay-like” tendencies, sometimes referred to as “expansive soil.” Other areas are subject to fissure, subsidence and other soil conditions. Properties built on such soils Page | 7 of 13 Lisa Larkin

may experience significant movement causing a major problem. If it has been disclosed that the property is subject to any such soil conditions or if the buyer has any concerns about the soil condition or observes evidence of cracking, the buyer should secure an independent assessment of the property and its structural integrity by a licensed, bonded, and insured professional engineer. https://azre.gov/PublicInfo/Fissures

(ADRE – Overview of Arizona Soils) http://bit.ly/2sXBHHw (Problem Soils)

http://bit.ly/2MpcKNU

(Shrink/Swell Potential & FAQs)

http://bit.ly/2yfzVHR

(Information on Land Subsidence & Earth Fissures)

www.btr.state.az.us (State Certified Engineers & Firms)

9 Previous Fire/Flood If it is disclosed there has been a fire or flood on the property, a qualified inspector should be hired to advise you regarding any possible future problems as a result of the fire or flood damage and/or any subsequent repairs. For example, if the property was not properly cleaned after a flood, mold issues may result. Your insurance agent may be able to assist you in obtaining information regarding fire, flood, or other past damage to the property.

10 Pests Cockroaches, rattlesnakes, black widow spiders, scorpions, termites and other pests are common in parts of Arizona. Fortunately, most pests can be controlled with pesticides. Scorpions: Scorpions, on the other hand, may be difficult to eliminate. If the buyer has any concerns or if the SPDS indicates the seller has seen scorpions or other pests on the property, seek the advice of a pest control company. Bed bugs: Infestations are on the rise in Arizona and nationally. Roof Rats: Roof Rats have been reported in some areas by Maricopa County Environmental Services. Termites: Consumer Information is available from the Arizona Department of Agriculture. Bark Beetles: Bark beetles have been reported in some forested areas.

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

http://bit.ly/32y89l6 (Information on Scorpions) http://bit.ly/1PFP9Y2 (Information on Bed Bugs) http://www2.epa.gov/bedbugs(BedBugs: Get Them Out and Keep Them Out) http://www.maricopa.gov/FAQ.aspx?TID=104 (Maricopa County – Roof Rats) https://agriculture.az.gov/pestspest-control/termites (Termite Information https://agriculture.az.gov/pests-pest-control/agriculturepests/bark-beetles (Bark Beetle Information)

11 Endangered & Threatened Species

Certain areas in the state may have issues related to federally listed endangered or threatened species that may affect land uses. Further information may be obtained on the U.S. Fish and Wildlife website or by contacting the appropriate planning/development service department. https://www.fws.gov/southwest/es/Arizona/ (Arizona Ecological Services) https://www.fws.gov/endangered/map/state/AZ.html (Arizona Endangered Species)

12 Death and Felonies on the Properties

Arizona law states that sellers and real estate licensees have no liability for failure to disclose to a buyer that the property was ever the site of a natural death, suicide, murder or felony. This information is often difficult to uncover; however, the local law enforcement agency may be able to identify incidents related to a property address. http://bit.ly/2lo53MZ (A.R.S. § 32-2156)

Attention has been given to the possible health effects of mold in homes, apartments and commercial buildings. Certain types of mold may cause health problems in some people while triggering only common allergic responses in others. Mold is often not detectable by a visual inspection. To determine if the premises you are purchasing, or leasing contains mold or airborne health hazards, you may retain an environmental expert to perform an indoor air quality test. This is particularly important if any of the inspection reports or disclosure documents indicate the existence of past or present moisture, standing water, visible water stains, or water intrusion in the Premises. The Arizona Department of Health Services, Office of Environmental Health, states:

“If you can see mold, or if there is an earthy or musty odor, you can assume you have a mold problem.”

Lisa Larkin

Imported Drywall: There have been reports of

problematic drywall, produced in China, used in Arizona homes. Residents in homes with problem drywall report health issues such as respiratory irritation, and other problems such as copper corrosion and sulfur odors. Visit the Consumer Product Safety Commission website for more information. Radon Gas and Carbon Monoxide: Radon gas and carbon monoxide poisoning are two of the more common and potentially serious indoor air quality (IAQ) concerns. Both of these concerns can be addressed by the home inspector, usually for an additional fee. For information on radon levels in the state, visit Arizona Radiation Regulatory Agency online. Drug labs: Residual contamination arising from the illicit manufacture of methamphetamine and other drugs carried out in clandestine drug laboratories presents a serious risk of harm to human and environmental health.

Other: For information on other indoor environmental concerns, the EPA has a host of resource materials and pamphlets online.

bit.ly2kRk7jm (Drywall Information Center) http://bit.ly/2GclWpM (About Radon)

http://bit.ly/2t1CAPq (Carbon Monoxide Infographic)

13 Indoor Environmental Concerns

Page | 8 of 13

https://www.epa.gov/indoor-air-quality-iaq (EPA-Indoor Air Quality) https://www.epa.gov/mold (EPA-Mold) https://www.cdc.gov/mold/ (CDC-Mold Information)

http://www2.epa.gov/asbestos (Asbestos Information) bit.ly/2gUZcSt (Voluntary Guidelines for Methamphetamine) https://www.epa.gov/formaldehyde (EPA Formaldehyde)

14 Property Boundaries

If the property boundaries are of concern, a survey may be warranted. For example, a survey may be advisable if there is an obvious use of property by others, i.e., a well-worn path across a property and/or parked cars on the property or fences or structures of adjacent property owners that appear to be built on the property. For more information, visit the Arizona Professional Land Surveyors online. A search for surveyors may be found online at the Board of Technical Registration. https://btr.az.gov/arizona-professional-land-surveyors-apls (AZ BTR Land Surveyors) http://www.azpls.org/ (Professional Land Surveyors)

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

Flood Insurance/Flood Plain Status Your mortgage lender may require you to purchase flood insurance in connection with your purchase of the property. The National Flood Insurance Program provides for the availability of flood insurance and established flood insurance policy premiums based on the risk of flooding in the area where properties are located. Changes to the federal law (The BiggertWaters Flood Insurance Reform Act of 2012 and the Homeowner Flood Insurance Affordability Act of 2014, in particular) will result in changes to flood insurance premiums that are likely to be higher, and in the future, may be substantially higher, than premiums paid for flood insurance prior to or at the time of sale of the property. As a result, purchasers of property should not rely on the premiums paid for flood insurance on the property previously as an indication of the premiums that will apply after completion of the purchase. In considering purchase of the property you should consult with one or more carriers of flood insurance for a better understanding of flood insurance coverage, current and anticipated future flood insurance premiums, whether the prior owner’s policy may be assumed by a subsequent purchase of the property, and other matters related to the purchase of flood insurance for the property. If community floodplain information is not available for a specific property, and in order to obtain flood insurance, it may be necessary to have an elevation survey and obtain an elevation certificate. This is necessary to determine a properties insurability and premium rate. You may also wish to contact the Federal Emergency Management Agency (FEMA) for

more information about flood insurance as it relates to the property. National Flood Insurance Program (FEMA)

https://www.realtor.com/flood-risk/ (Flood Risk Information) https://www.floodsmart.gov/flood-map-zone/elevationcertificate (Elevation Certificates: Who Needs Them and Why - fact sheet) http://azgs.arizona.edu/center-natural-hazards/floods (Flooding

in Arizona)

https://www.fcd.maricopa.gov/5308/Flood-Control-District (Maricopa County Flood Control District-Services)

Other Arizona Counties: Consult County Websites.

16 Insurance (Claims History) Many factors affect the availability and cost of homeowner’s insurance. Property owners may request a five-year claims history from their insurance company, an insurance support organization or consumer reporting agency. https://content.naic.org/consumer.htm (Helping You Navigate Insurance and Make Better Informed Decisions)

17 Other Property Conditions Plumbing: Check functionality. Cooling/Heating: Make sure the cooling and heating systems are adequate. If it is important to you, hire a qualified heating/cooling inspector. https://www.epa.gov/ods-phaseout

Electrical Systems: Check for functionality and safety.

Section 3

CONDITIONS AFFECTING THE AREA SURROUNDING THE PROPERTY THE BUYER SHOULD INVESTIGATE Every property is unique; therefore, important conditions vary.

Environmental Concerns

It is often very difficult to identify environmental hazards. The Arizona Department of Environmental Quality (ADEQ) website contains environmental information regarding the locations of open and

Page | 9 of 13 Lisa Larkin

closed landfills (Solid Waste Facilities), wildfire information, as well as, air and water quality information (and more). http://www.azdeq.gov/ (ADEQ) http://legacy.azdeq.gov/environ/waste/solid/plan.html (ADEQ-Solid Waste Facilities) https://azdeq.gov/WildfireSupport (Wildfire Information)

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

1 Environmentally Sensitive Land Ordinance: Approximately two-thirds of the City

of Scottsdale is affected by the Environmentally Sensitive Land Ordinance (ESLO), which requires some areas on private property be retained in their natural state and designated as National Area Open Space (NAOS). http://www.scottsdaleaz.gov/codes/eslo (Environmentally Sensitive Lands Overlay – ESL) http://www.scottsdaleaz.gov/codes/eslo (Natural Area Open Space)

For information on electromagnetic fields, and whether they pose a health risk to you or your family, visit the National Institute of Environmental Health Sciences website. www.niehs.nih.gov/health/topics/agents/emf/(National Institute of Environmental Health Sciences)

3 Superfund Sites There are numerous sites in Arizona where the soil and groundwater have been contaminated by improper disposal of contaminants. Maps may be viewed on ADEQ’s website to see if a property is in an area designated by the ADEQ as requiring cleanup. http://www.azdeq.gov/emaps (ADEQ-Maps) www.epa.gov/superfund/(EPA),http://espanol.epa.gov/(Spanish)

4 Freeway Construction and Traffic Conditions Although the existence of a freeway near the property may provide highly desirable access, sometimes it contributes to undesirable noise. To search for roadway construction and planning, visit the Arizona Department of Transportation(ADOT)website. https://azdot.gov/(ADOT) https://azdot.gov/projects (ADOT Statewide Projects) https://az511.com/(ADOTRoadConditions)

5 Crime Statistics Crime statistics, an imperfect measurement at best, provide some indication of the level of criminal activity in an area.

Lisa Larkin

(Crime Statistics - All Arizona Cities)

6 Sex Offenders Since June 1996, Arizona has maintained a registry and community notification program for convicted sex offenders. Prior to June 1996, registration was not required, and only the higher-risk sex offenders are on the website. The presence of a sex offender in the vicinity of the property is not a fact that the seller or real estate broker is required to disclose. www.azdps.gov/Services/Sex_Offender/(RegisteredSexOffenders and Community Notification)

2 Electromagnetic Fields

Page | 10 of 13

https://communitycrimemap.com/

http://www.nsopw.gov/en (National Sex Offender Public Site)

7 Forested Areas Life in a forested area has unique benefits and concerns. Contact county/city fire authority for more information on issues particular to a community. https://dffm.az.gov/fire/prevention/firewise (Arizona Fire Wise Communities) https://www.nfpa.org/Public-Education/By-topic/Wildfire/Firewise-USA (Public Education/Fire Wise USA)

8 Military and Public Airports The legislature has mandated the identification of areas in the immediate vicinity of military and public airports that are susceptible to a certain level of noise from aircraft. The boundaries of these areas have been plotted on maps that are useful in determining if a property falls within one of these areas. The maps for military and public airports may be accessed on the Arizona Department of Real Estate (ADRE) website. Additionally, the boundaries of military and public airports in Maricopa County may be viewed on the county website. These maps are intended to show the area subject to a preponderance of airport-related noise from a given airport. Periodic over-flights that may contribute to noise cannot usually be determined from these maps. Vacant land or lots may be for sale within areas of high noise or accident potential zones. Because the zoning of these lots may conflict with the buyer’s ability to develop the property, the buyer should verify whether development is prohibited.

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

Zoning regulations for these areas, may be found at A.R.S.§28-8481.

Visit the Arizona Department of Education website for more information. http://www.azed.gov/ (Arizona Department of Education)

https://azre.gov/military-airports

(ADRE - Maps of Military Airports & Boundaries) http://azre.gov/public-airports

ADRE ADVISES:

Information may be found on community websites.

“Call the school district serving the subdivision to determine whether nearby schools are accepting new students. Some schooldistricts, especially in the northwest part of the greater Phoenixarea, have placed a cap on enrolment. You may find that your children cannot attend the school nearest you and may evenbe transported to another community.”

http://phoenix.gov/business/zoning(Phoenix)

www.azre.gov/PublicInfo/PropertyBuyerChecklist.aspx (ADRE)

(ADRE - Maps of Public Airports & Boundaries) https://www.skyharbor.com/FlightPaths (Phoenix Skyharbor Airport - General Information)

9 Zoning/Planning/Neighborhood Services

http://www.tucsonaz.gov/pdsd/planning-zoning (Tucson)

10 Schools Although there is no substitute for an on-site visit to the school to talk with principals and teachers, there is a significant amount of information about Arizona’s schools on the Internet.

11 City Profile Report Information on demographics, finances and other factors are drawn from an array of sources, such as U.S. Census Bureau, Bureau of Labor, Internal Revenue Service, Federal Bureau of Investigation, and the National Oceanic and Atmospheric Administration and may be viewed on Homefair’s Website. https://www.moving.com/real-estate/compare-cities/ (City Profile Report)

Section 4

OTHER METHODS OF GETTING INFORMATION ABOUT A PROPERTY Talk to the Neighbors Neighbors can provide a wealth of information. Buyers should always talk to the surrounding residents about the neighborhood and the history of the property the buyer is considering for purchase.

Drive around the Neighborhood

different times of the day and evening, to investigate the surrounding area.

Investigate your Surroundings Google Earth is an additional method to investigate the surrounding area: https://www.google.com/earth/

Buyers should always drive around the neighborhood, preferably on different days at several

Page | 11 of 13 Lisa Larkin

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

Section 5

RESOURCES Market Conditions Advisory The real estate market is cyclical and real estate values go up and down. The financial market also changes, affecting the terms on which a lender will agree to loan money on real property. It is impossible to accurately predict what the real estate or financial market conditions will be at any given time. The ultimate decision on the price a buyer is willing to pay and the price a seller is willing to accept for a specific property rests solely with the individual buyer or seller. The parties to a real estate transaction must decide on what price and terms they are willing to buy or sell considering market conditions, their own financial resources and their own unique circumstances. The parties must, upon careful deliberation, decide how much risk they are willing to assume in a transaction. Any waiver of contingencies, rights or warranties in the Contract may have adverse consequences. Buyer and seller acknowledge that they understand these risks. Buyer and Seller assume all responsibility should the return on investment, tax consequences, credit effects, or financing terms not meet their expectations. The parties understand and agree that the Broker(s) do not provide advice on property as an investment. Broker(s) are not qualified to provide financial, legal, or tax advice regarding a real estate transaction. Therefore, Broker(s) make no representation regarding the above items. Buyer and seller are advised to obtain professional tax and legal advice regarding the advisability of entering into this transaction. Market Conditions Advisory (AAR - Sample Forms)

Fair Housing and Disability Laws The Fair Housing Act prohibits discrimination in the sale, rental, and financing of dwellings based on race, color, national origin, religion, sex,

familial status (including children under the age of 18 living with people securing custody of children under the age of 18), and disability. Fair Housing Rights and Obligations (HUD.gov) http://www.ada.gov/pubs/ada.htm (Americans with Disabilities Act)

Wire Fraud Beware of wiring instructions sent via email. Cyber criminals may hack email accounts and send emails with fake wiring instructions. You should independently confirm wiring instructions in person or via a telephone call to a trusted and verified phone number prior to wiring any money. http://bit.ly/2gQNWms (FTC & NAR - Protect your mortgage closing from scammers http://bit.ly/2vDDvFk (CFPB- Buying a home? Watch out for mortgage closing scams

Additional Information NATIONAL ASSOCIATION OF REALTORS® (NAR) https://www.nar.realtor/

Ten Step Guide to Buying a Home (Realtor.com) http://bit.ly/3pQqXX7

Home Closing 101

www.homeclosing101.org

Information about Arizona Government, State Agencies and Arizona REALTORS® Arizona Department of Real Estate Consumer Information www.azre.gov/InfoFor/Consumers.aspx

Arizona Association of REALTORS® www.aaronline.com

Page | 12 of 13 Lisa Larkin

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

BUYER ACKNOWLEDGMENT Buyer acknowledges receipt of all 13 pages of this Advisory. Buyer further acknowledges that there may be other disclosure issues of concern not listed in this Advisory. Buyer is responsible for making all necessary inquiries and consulting the appropriate persons or entities prior to the purchase of any property. The information in this Advisory is provided with the understanding that it is not intended as legal or other professional services or advice. These materials have been prepared for general informational purposes only. The information and links contained herein may not be updated or revised for accuracy. If you have any additional questions or need advice, please contact your own lawyer or other professional representative.

^ BUYER SIGNATURE

DATE

^ BUYER SIGNATURE

DATE

Page | 13 of 13 Lisa Larkin

Arizona Department of Real Estate RE/MAX Select

Buyer Advisory (April 2021) Tucson, AZ 85712

Document Updated: October 2019

BUYER PRE-CLOSING WALKTHROUGH The pre-printed portion of this form has been drafted by the Arizona Association of REALTORS®. Any change in the pre-printed language of this form must be made in a prominent manner. No representations are made as to the legal validity, adequacy and/or effects of any provision, including tax consequences thereof. If you desire legal, tax or other professional advice, please consult your attorney, tax advisor or professional consultant.

Buyer: Seller: Premises/Property Address: Upon advice of Broker, and in accordance with the provisions of the Contract relating to Walkthrough(s), Buyer or . Buyer’s Inspector(s) completed a pre-closing walkthrough of the Premises/Property on MO/DA/YR

BUYER MUST COMPLETE ONE OF THE THREE SECTIONS BELOW 1. Buyer finds that the Premises/Property are in substantially the same condition as of the date of Contract acceptance, any corrections or repairs agreed to by Seller have been completed. ^ BUYER'S SIGNATURE

MO/DA/YR

^ BUYER'S SIGNATURE

MO/DA/YR

2. Buyer finds that the Premises/Property are in substantially the same condition as of the date of Contract acceptance, any corrections or repairs agreed to by Seller have been completed, with the following exceptions:

CURE PERIOD NOTICE: Pursuant to the Remedies Section of the Contract, delivery of this form to Seller shall constitute notice of non-compliance with the Contract as specified herein. If Seller fails to cure the non-compliance within three (3) days after delivery of this notice (“Cure Period”), the failure to comply shall become a breach of Contract. ^ BUYER'S SIGNATURE

MO/DA/YR

^ BUYER'S SIGNATURE

MO/DA/YR

3. Buyer waives the right to a pre-closing walkthrough of the Premises/Property. Buyer acknowledges that Buyer has the right to, and was advised to, conduct a pre-closing walkthrough as described in the Contract, and Buyer declined. By acting against Broker’s advice by not conducting a pre-closing walkthrough, Buyer accepts responsibility and hereby releases, indemnifies and holds harmless Seller and Broker(s) from liability for any defects that could have been discovered.

^ BUYER'S SIGNATURE

MO/DA/YR

^ BUYER'S SIGNATURE

Phone:

Fax: Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

MO/DA/YR

Page 1 of 2

BUYER-BROKER EXCLUSIVE EMPLOYMENT AGREEMENT

Buyer/Tenant:

Firm:

Document updated: February 2021

(“Buyer”) Agent:

(“Broker”)

(FIRM NAME)

(AGENT’S NAME)

Term: This Agreement shall commence on

Employment: Broker agrees to:

and expire at 11:59 p.m. on

a. locate Property meeting the following general description:

n Residential n Land n Commercial n Other:

7. 8. 9.

within the following geographical area(s): ; b. negotiate at Buyer’s direction to obtain acceptable terms and conditions for the purchase, exchange, option or lease of the Property; c. assist Buyer during the transaction within the scope of Broker’s expertise and licensing.

10. 11. 12.

(“Property”)

Agency Relationship: The agency relationship between Buyer and Broker shall be:

n as set forth in the Real Estate Agency Disclosure and Election form. n Other:

13. 14. 15.

Retainer Fee: Buyer agrees to pay Broker a non-refundable fee in the amount of $ , which is earned when paid, for initial consultation and research. This fee n shall n shall not be credited against any other compensation owed by Buyer to Broker as pursuant to Lines 28 – 32.

16. 17. 18. 19.

Property Viewings: Buyer agrees to work exclusively with Broker and be accompanied by Broker on Buyer’s first visit to any Property. If Broker does not accompany Buyer on the first visit to any Property, including a model home, new home/lot or “open house” held by a builder, seller or other real estate broker, Buyer acknowledges that the builder, seller or seller’s broker may refuse to compensate Broker, which will eliminate any credit against the compensation owed by Buyer to Broker.

20. 21.

Due Diligence: Once an acceptable Property is located, Buyer agrees to act in good faith to acquire the Property and conduct any inspections/investigations of the Property that Buyer deems material and/or important.

22. 23. 24. 25.

Note: Buyer acknowledges that pursuant to Arizona law, Sellers, Lessors and Brokers are not obligated to disclose that a Property is or has been: (1) the site of a natural death, suicide, homicide, or any crime classified as a felony; (2) owned or occupied by a person exposed to HIV, or diagnosed as having AIDS or any other disease not known to be transmitted through common occupancy of real estate; or (3) located in the vicinity of a sex offender.

26. 27. 28.

Buyer agrees to consult the Arizona Department of Real Estate Buyer Advisory at: www.aaronline.com/manage-risk/buyeradvisory-3/ to assist in Buyer’s inspections and investigations. Compensation: Buyer agrees to compensate Broker as follows:

29. 30. 31. 32.

The amount of compensation shall be: or the compensation Broker receives from seller or seller’s broker, whichever is greater. In either event, Buyer authorizes Broker to accept compensation from seller or seller’s broker, which shall be credited against any compensation owed by Buyer to Broker pursuant to this Agreement. Broker’s compensation shall be paid at the time of and as a condition of closing or as otherwise agreed upon in writing.

33. 34. 35. 36.

Buyer agrees to pay such compensation if within calendar days after the termination of this Agreement, Buyer enters into an agreement to purchase, exchange, option or lease any Property shown to Buyer or negotiated by Broker on behalf of Buyer during the term of this Agreement, unless Buyer has entered into a subsequent buyer-broker exclusive employment agreement with another broker.

37. If completion of any transaction is prevented by Buyer’s breach or with the consent of Buyer other than as provided in the purchase 38. contract, the total compensation shall be due and payable by Buyer. 39. 40.

COMMISSIONS PAYABLE ARE NOT SET BY ANY BOARD OR ASSOCIATION OF REALTORS® OR MULTIPLE LISTING SERVICE OR IN ANY MANNER OTHER THAN AS NEGOTIATED BETWEEN BROKER AND BUYER.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 2 of 2

Buyer-Broker Exclusive Employment Agreement 41.

Additional Terms:

42. 43. 44. 45. 46. 47. 48. 49. 50. 51.

Equal Housing Opportunity: Broker’s policy is to abide by all local, state, and federal laws prohibiting discrimination against any individual or group of individuals. Broker has no duty to disclose the racial, ethnic, or religious composition of any neighborhood, community, or building, nor whether persons with disabilities are housed in any home or facility, except that Broker may identify housing facilities meeting the needs of a disabled buyer.

52. 53.

Other Potential Buyers: Buyer consents and acknowledges that other potential buyers represented by Broker may consider, make offers on, or acquire an interest in the same or similar properties as Buyer is seeking.

54. 55. 56. 57. 58. 59. 60. 61.

Alternative Dispute Resolution (“ADR”): Buyer and Broker agree to mediate any dispute or claim arising out of or relating to this Agreement in accordance with the mediation procedures of the applicable state or local REALTOR® association or as otherwise agreed. All mediation costs shall be paid equally by the parties. In the event that mediation does not resolve all disputes or claims, the unresolved disputes or claims shall be submitted for binding arbitration. In such event, the parties shall agree upon an arbitrator and cooperate in the scheduling of an arbitration hearing. If the parties are unable to agree on an arbitrator, the dispute shall be submitted to the American Arbitration Association (“AAA”) in accordance with the AAA Arbitration Rules for the Real Estate Industry. The decision of the arbitrator shall be final and nonappealable. Judgment on the award rendered by the arbitrator may be entered in any court of competent jurisdiction.

62. 63.

Attorney Fees and Costs: In any non-REALTOR® association proceeding to enforce the compensation due to Broker pursuant to this Agreement, the prevailing party shall be awarded their reasonable attorney fees and arbitration costs.

64.

Arizona Law: This Agreement shall be governed by Arizona law and jurisdiction is exclusively conferred on the State of Arizona.

65. 66.

Copies and Counterparts: This Agreement may be executed by facsimile or other electronic means and in any number of counterparts. A fully executed facsimile or electronic copy of the Agreement shall be treated as an original Agreement.

67. 68. 69.

Entire Agreement: This Agreement, and any addenda and attachments, shall constitute the entire agreement between Buyer and Broker, shall supersede any other written or oral agreements between Buyer and Broker and can be modified only by a writing signed by Buyer and Broker.

70. 71.

Capacity: Buyer warrants that Buyer has the legal capacity, full power and authority to enter into this Agreement and consummate the transaction contemplated hereby on Buyer’s own behalf or on behalf of the party Buyer represents, as appropriate.

72.

Acceptance: Buyer hereby agrees to all of the terms and conditions herein and acknowledges receipt of a copy of this Agreement.

73. ^ BUYER’S SIGNATURE

MO/DA/YR

^ BUYER’S SIGNATURE

MO/DA/YR

74. ^ BUYER’S NAME PRINTED

75.

STREET

^ BUYER’S NAME PRINTED

CITY

STATE

ZIP CODE

76. TELEPHONE

EMAIL ADDRESS

FAX

77. FIRM NAME

^ AGENT SIGNATURE

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

MO/DA/YR

Arizona Association of REALTORS

CONSENT TO LIMITED REPRESENTATION ("CONSENT") BROKER REPRESENTS BOTH SELLER AND BUYER OR BOTH LANDLORD AND TENANT

REAL SOLUTIONS. REALTOR® SUCCESS

Document updated: December 2002

The pre-printed portion of this form has been drafted by the Arizona Association of REALTORS®. Any change in the pre-printed language of this form must be made in a prominent manner. No representations are made as to the legal validity, adequacy and/or effects of any provision, including tax consequences thereof. If you desire legal, tax or other professional advice, please consult your attorney, tax advisor or professional consultant.

Buyer/Tenant ("Buyer"):

Seller/Landlord ("Seller"):

Subject Property:

Firm Name ("Broker"):

Consent: Buyer and Seller consent that Broker, acting through the Licensee(s) named below, will represent both parties in the transaction.

One Licensee:

Two Licensees:

(NAME)

, who, through the Broker, has been representing the Buyer; (NAME)

and

, who, through the Broker, has been representing the Seller. (NAME)

9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25.

Duties and Limitations: The Broker now represents both Buyer and Seller and both parties understand that neither Broker nor Broker's Licensee(s) can represent the interests of one party to the exclusion or detriment of the other party. The parties understand and further consent to the following: a) The Licensee or each Licensee represents both the Buyer and the Seller with limitations of the duties owed to the Buyer and the Seller, such as: 1) The Licensee(s) will not, without written authorization, disclose to the other party that the Seller will accept a price or terms other than stated in the listing or that the Buyer will accept a price or terms other than offered; 2) There will be conflicts in the duties of loyalty, obedience, disclosure and confidentiality. Disclosure of confidential information may be made only with written authorization. This does not relieve each Licensee of any legal obligation to disclose all known facts which materially and adversely affect the consideration to be paid by any party to the transaction. 3) Pursuant to A.R.S. §32-2156, Sellers, Lessors and Broker/Licensee(s) are not obligated to disclose that the Subject Property is or has been: (1) the site of a natural death, suicide, homicide, or any crime classified as a felony; (2) owned or occupied by a person exposed to HIV, or diagnosed as having AIDS or any other disease not known to be transmitted through common occupancy of real estate; or (3) located in the vicinity of a sex offender. b) The Licensee(s) shall exercise reasonable skill and care in the performance of their duties. c) The Licensee(s) shall be obligated at all times to deal honestly with all parties. d) The duties of the Licensee(s) in this transaction do not relieve the Seller or the Buyer from the responsibility to protect their own interests.

26.

Compensation: Compensation to the Broker shall be paid pursuant to separate agreement(s).

27. 28. 29.

Prior Agreements: Seller and Buyer understand this Consent does not replace prior agreements entered into with Broker and such agreements shall remain in effect. However, to the extent that the terms of this Consent contradict or conflict with the terms of prior agreements, this Consent shall supersede.

30. 31. 32.

Termination: If the Seller and Buyer do not enter into a contract relating to the Subject Property or if the transaction between the Seller and the Buyer fails to close, the parties agree that this Consent is terminated, and the parties shall have no further rights or obligations pursuant to this Consent.

33. 34. 35.

Indemnification: Seller and Buyer agree to indemnify and hold Broker harmless against any and all claims, damages, losses, expenses or liabilities including attorneys' fees and costs incurred by Broker in any defense thereof arising from Broker's role of limited representation.

36. 37.

THE UNDERSIGNED PARTIES ACKNOWLEDGE THAT THEY HAVE THOROUGHLY READ, UNDERSTOOD AND APPROVED THIS CONSENT AND ACKNOWLEDGE RECEIPT OF A COPY.

38. ^ BUYER'S SIGNATURE

MO/DA/YR

^ BUYER'S SIGNATURE

MO/DA/YR

^ SELLER'S SIGNATURE

MO/DA/YR

^ SELLER'S SIGNATURE

MO/DA/YR

39.

Arizona Association of REALTORS 255 E. Osborn Rd. Phoenix, AZ 85012 Nick Catanesi Phone: (480)304-8931 Fax: Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Untitled www.zipLogix.com

COUNTER OFFER

This is a Counter Offer originated by:

This is a Counter Offer to the

Document updated: June 2021

Offer

Seller

Buyer

Landlord

Counter Offer dated

Tenant

MO/DA/YR

Seller/Landlord:

Buyer/Tenant:

Premises Address:

Acceptance of the above Offer and/or Counter Offer is contingent upon agreement to the following:

between the following Parties:

7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20.

Terms of Acceptance: Unless acceptance of this Counter Offer is signed by all parties and a signed copy delivered in person, by mail, facsimile or electronically, and received by the originating party’s Broker named in the Contract Section 8q or 9a as applicable

21. 22. 23. 24. 25.

by at n a.m. n p.m., Mountain Standard Time, this Counter Offer shall be considered withdrawn. Except as modified by this Counter Offer, all other terms and conditions of the above referenced Offer/Counter Offer(s) shall remain unchanged and deemed accepted. Until this Counter Offer has been accepted in the manner described above, the Parties understand that the Party originating this Counter Offer may withdraw the offer to buy, sell, or lease the Premises. The undersigned acknowledges receipt of a copy hereof.

26. 27.

Seller

Buyer

Landlord

Tenant

28. 29.

Seller

Buyer

Landlord

Tenant

30.

31. 32.

An additional Counter Offer is attached, and is incorporated by reference. If there is a conflict between this Counter Offer and the additional Counter Offer, the provisions of the additional Counter Offer shall be controlling.

33. 34.

Seller

Buyer

Landlord

Tenant

35. 36.

Seller

Buyer

Landlord

Tenant

37.

38.

The undersigned agrees to the terms and conditions of this Counter Offer and acknowledges receipt of a copy hereof.

39. 40.

Seller

Buyer

Landlord

Tenant

41. 42.

Seller

Buyer

Landlord

Tenant

Date:

Time:

Date:

Time:

RESPONSE

Date:

Time:

Date:

Time:

ACCEPTANCE Date:

Time:

Date:

Time:

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Arizona Association of REALTORS

DISCLOSURE OF INFORMATION ON LEAD-BASED PAINT AND LEAD-BASED PAINT HAZARDS (SALES)

REAL SOLUTIONS. REALTOR® SUCCESS

Document updated:

1. Premises Address: 2. 3. 4. 5. 6. 7. 8.

Lead Warning Statement: Every buyer of any interest in residential real property on which a residential dwelling was built prior to 1978 is notified that such property may present exposure to lead from lead-based paint, which may place young children at risk of developing lead poisoning. Lead poisoning in young children may produce permanent neurological damage, including learning disabilities, reduced intelligence quotient, behavioral problems, and impaired memory. Lead poisoning also poses a particular risk to pregnant women. The seller of any interest in residential real property is required to provide the buyer with any information on lead-based paint hazards from risk assessments or inspections in the seller’s possession and to notify the buyer of any known lead-based paint hazards. A risk assessment or inspection for possible lead-based paint or lead-based paint hazards is recommended prior to purchase.

1. SELLER’S DISCLOSURE (Seller must complete and initial sections a, b and c below) 9. (a) Lead-based paint and/or lead-based paint hazards (check either 1 or 2 below): 10. 1. Seller is aware that lead-based paint and/or lead-based paint hazards are present in the residence(s) and/or building(s) included 11. in this sale. (Explain) 12. 2. Seller has no knowledge of any lead-based paint and/or lead-based paint hazards in the residence(s) and building(s) included 13. in this sale. 14. (SELLER’S INITIALS REQUIRED) SELLER

SELLER

15. (b) Records and reports available to the seller (check either 1 or 2 below): 16. 1. Seller has provided the buyer with all available records and reports relating to lead-based paint and/or lead-based paint hazards in 17. the residence(s) and building(s) included in the sale. (List documents) 18. 2. Seller has no reports or records relating to lead-based paint and/or lead-based paint hazards in the residence(s) and building(s) 19. included in this sale. (SELLER’S INITIALS REQUIRED) 20. SELLER

21. 22. 23. 24. 25.

SELLER

(c) Seller acknowledges Seller’s obligation to disclose to any real estate agent(s) to whom the seller directly or indirectly is to pay compensation with regard to the transaction contemplated by this disclosure any known lead-based paint or lead-based paint hazards in the premises to be sold, as well as the existence of any reports or records relating to lead-based paint or lead-based paint hazards in the premises to be sold.Seller further acknowledges that this disclosure accurately reflects the entirety of the information provided by the seller to the agent(s) with regard to lead-based paint, lead-based paint hazards, and lead-based paint risk-assessment or inspection reports and records.

26.

(SELLER’S INITIALS REQUIRED) SELLER

SELLER

2. BUYER’S ACKNOWLEDGMENT (Buyer must complete and initial sections a, b and c below) 27. (a) Buyer has read the information set forth above, and has received copies of the reports, records, or other materials listed above, if any. 28.

(BUYER’S INITIALS REQUIRED) BUYER

29. (b) Buyer has received the pamphlet Protect Your Family From Lead in Your Home . 30.

BUYER

(BUYER’S INITIALS REQUIRED)

BUYER BUYER 31. (c) Buyer has (check one): 32. Received a 10-day opportunity (or mutually agreed upon period) to conduct a risk assessment or inspection for the 33. presence of lead-based paint and/or lead-based paint hazards; or 34. Waived the opportunity to conduct a risk assessment or inspection for the presence of lead-based paint and/or 35. lead-based paint hazards. 36. (BUYER’S INITIALS REQUIRED) BUYER

BUYER

3. AGENT’S ACKNOWLEDGMENT (Any real estate agent who is to receive compensation from the seller or the listing agent with regard to the transaction contemplated in this disclosure must initial below.)

37. The agent(s) whose initials appear below has (have) ensured the seller’s compliance under the Residential Resale Lead-Based Paint Hazard 38. Reduction Act of 1992 by the seller’s use and completion of this disclosure form. 39. (AGENT’S INITIALS REQUIRED) LISTING AGENT

COOPERATING AGENT

40. Certification of Accuracy: By signing below, each signatory acknowledges that he or she has reviewed the above information, and 41. certifies that, to the best of his or her knowledge, the information provided by the signatory is true and accurate. 42. ^ SELLER'S SIGNATURE

MO/DA/YR

^ BUYER'S SIGNATURE

MO/DA/YR

^ SELLER'S SIGNATURE

MO/DA/YR

^ BUYER'S SIGNATURE

MO/DA/YR

^ LISTING AGENT'S SIGNATURE

MO/DA/YR

43.

44. COOPERATING AGENT'S SIGNATURE

Disclosure of Information on Lead-Based Paint and Lead-Based Paint Hazards (Sales) • Updated: January 2009 • Copyright © 2009 Arizona Association of REALTORS®. All rights reserved. Arizona Association of REALTORS 255 E. Osborn Rd. Phoenix, AZ 85012 Phone: (480)304-8931 Fax: Nick Catanesi Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zipLogix.com

Untitled

H.O.A. CONDOMINIUM / PLANNED COMMUNITY ADDENDUM

Page 1 of 3 Document updated: June 2020

SELLER’S NOTICE OF H.O.A. INFORMATION 1. 2.

Seller: Premises Address:

Date:

4. 5. 6.

INSTRUCTIONS: (1) Homeowner’s association (“H.O.A.”) information on page 1 to be completed by Seller at the time of listing the Premises for sale. (2) Upon completion, this Addendum shall be uploaded to the multiple listing service, if available, or delivered to prospective buyers upon request prior to prospective buyer’s submission of a Residential Resale Real Estate Purchase Contract to Seller.

ASSOCIATION(S) GOVERNING THE PREMISES

8. 9. 10. 11.

H.O.A.: Management Company (if any): 0.00 How often? Amount of Dues: $ Amount of special assessments (if any): $

Master Association (if any): Management Company (if any): 0.00 How often? Amount of Dues: $ Amount of special assessments (if any): $

16. 17.

Other: Amount of Dues: $

Start Date:

MO/DA/YR

End Date:

MO/DA/YR

Contact Info: Contact Info: 0.00 How often?

18. 20. 21. 22.

0.00 How often?

12. 13. 14. 15.

19.

Contact Info: Contact Info:

Start Date:

MO/DA/YR

End Date:

MO/DA/YR

Contact Info:

How often?

FEES PAYABLE UPON CLOSE OF ESCROW Transfer Fees: Association(s) fees related to the transfer of title: H.O.A.: $

0.00 Master Association: $

0.00.

Capital Improvement Fees, including but not limited to those fees labeled as community reserve, asset preservation, capital reserve, 0.00 Master Association: $ 0.00. working capital, community enhancement, future improvement fees, or payments: H.O.A.: $

23.

Prepaid Association(s) Fees: Dues, assessments, and any other association(s) fees paid in advance of their due date: 0.00 Master Association: $ 0.00. H.O.A.: $

24. 25. 26. 27. 28. 29. 30.

Disclosure Fees: Association(s)/Management Company(ies) costs incurred in the preparation of a statement or other documents furnished by the association(s) pursuant to the resale of the Premises for purposes of resale disclosure, lien estoppels and any other services related to the transfer or use of the property. Pursuant to Arizona law, Disclosure Fees cannot be more than an aggregate of $400.00 per association. As part of the Disclosure Fees, each association may charge a statement or other documents update fee of no more than $50.00 if thirty (30) days or more have passed since the date of the original disclosure statement or the date the documents were delivered. Additionally, each association may charge a rush fee of no more than $100.00 if rush services are required to be 0.00 Master Association: $ 0.00. performed within seventy-two (72) hours after the request. H.O.A.: $

32. 33.

SELLER CERTIFICATION: By signing below, Seller certifies that the information contained above is true and complete to the best of Seller’s actual knowledge as of the date signed. Broker(s) did not verify any of the information contained herein.

34. 35.

^ SELLER’S SIGNATURE

31.

Other Fees: $

0.00 Explain:

MO/DA/YR

^ SELLER’S SIGNATURE

MO/DA/YR

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 2 of 3

H.O.A. Condominium / Planned Community Addendum

ADDITIONAL OBLIGATIONS 36. 37.

If the homeowner’s association has less than 50 units, no later than ten (10) days after Contract acceptance, the Seller shall provide in writing to Buyer the information described below as required by Arizona law.

38. 39. 40. 41.

If the homeowners association has 50 or more units, Seller shall furnish notice of pending sale that contains the name and address of the Buyer to the homeowner’s association within five (5) days after Contract acceptance and pursuant to Section 3d of the Contract. Escrow Company is instructed to provide such notice on Seller’s behalf. The association is obligated by Arizona law to provide information described below to Buyer within ten (10) days after receipt of Seller’s notice.

42. 43.

BUYER IS ALLOWED FIVE (5) DAYS AFTER RECEIPT OF THE INFORMATION FROM THE SELLER(S) OR HOMEOWNER’S ASSOCIATION TO PROVIDE WRITTEN NOTICE TO SELLER OF ANY ITEMS DISAPPROVED.

44.

INFORMATION REQUIRED BY LAW TO BE PROVIDED TO BUYER:

45.

1. A copy of the bylaws and the rules of the association.

46.

2. A copy of the declaration of Covenants, Conditions and Restrictions (“CC&Rs”).

47.

3. A dated statement containing:

48. 49.

(a) The telephone number and address of a principal contact for the association, which may be an association manager, an association management company, an officer of the association or any other person designated by the board of directors.

50. 51.

(b) The amount of the common expense assessment and the unpaid common expense assessment, special assessment or other assessment, fee or charge currently due and payable from the Seller.

52.

53.

(d) The total amount of money held by the association as reserves.

54. 55. 56. 57. 58.

(e)

If the statement is being furnished by the association, a statement as to whether the records of the association reflect any alterations or improvements to the unit that violate the declaration. The association is not obligated to provide information regarding alterations or improvements that occurred more than six years before the proposed sale. Seller remains obligated to disclose alterations or improvements to the Premises that violate the declaration. The association may take action against the Buyer for violations apparent at the time of purchase that are not reflected in the association’s records.

59. 60.

(f) If the statement is being furnished by the Seller, a statement as to whether the Seller has any knowledge of any alterations or improvements to the unit that violate the declaration.

61. 62.

(g) A statement of case names and case numbers for pending litigation with respect to the Premises or the association, including the amount of any money claimed.

63.

4. A copy of the current operating budget of the association.

64. 65.

5. A copy of the most recent annual financial report of the association. If the report is more than ten pages, the association may provide a summary of the report in lieu of the entire report.

66.

6. A copy of the most recent reserve study of the association, if any.

67.

7. Any other information required by law.

68.

8. A statement for Buyer acknowledgment and signature are required by Arizona law.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 3 of 3

H.O.A. Condominium / Planned Community Addendum

BUYER’S ACKNOWLEDGMENT AND TERMS 69.

Buyer:

70.

Seller:

71.

Premises Address:

72.

NOTE: LINES 75-81 TO ONLY BE COMPLETED BY BUYER, AND NOT SELLER!

73. 74.

The following additional terms and conditions are hereby included as a part of the Contract between Seller and Buyer for the above referenced Premises.

75.

Transfer Fees shall be paid by:

n Buyer n Seller n Other

76.

Capital Improvement Fees shall be paid by:

n Buyer n Seller n Other

77.

Buyer shall pay all Prepaid Association Fees.

78.

Seller shall pay all Disclosure Fees as required by Arizona law.

79.

In a financed purchase, Buyer shall be responsible for all lender fees charged to obtain Association(s)/Management Company(ies) documents.

80.

Other Fees:

81. 82. 83.

BUYER VERIFICATION: Buyer may contact the Association(s)/Management Company(ies) for verbal verification of association FEES PAYABLE UPON CLOSE OF ESCROW.

84. 85.

ASSESSMENTS: Any current homeowner’s association assessment which is a lien as of Close of Escrow shall be paid in full by Seller. Any assessment that becomes a lien after Close of Escrow is Buyer’s responsibility.

86.

ADDITIONAL TERMS AND CONDITIONS

87. 88. 89. 90. 91. 92. 93. 94. 95.

BUYER ACKNOWLEDGEMENT: By signing below, Buyer acknowledges receipt of all three (3) pages of this addendum and acknowledges that, although Seller has used best efforts to identify the amount of the fees stated herein, the precise amount of the fees may not be known until written disclosure documents are furnished by the Association(s)/Management Company(ies) per Arizona law (A.R.S. § 33-1260 and §33-1806). Buyer further acknowledges that Broker(s) did not verify any of the information contained herein. Buyer therefore agrees to hold Seller and Broker(s) harmless should the FEES PAYABLE UPON CLOSE OF ESCROW prove incorrect or incomplete.

96.

The undersigned agrees to the additional terms and conditions set forth above and acknowledges receipt of a copy hereof.

97. 98. 99. 100. 101.

^ BUYER’S SIGNATURE

MO/DA/YR

^ BUYER’S SIGNATURE

MO/DA/YR

^ SELLER’S SIGNATURE

MO/DA/YR

SELLER’S ACCEPTANCE:

^ SELLER’S SIGNATURE

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

MARKET CONDITIONS ADVISORY

Document updated: February 2021

The real estate market is cyclical and real estate values go up and down. The financial market also changes, affecting the terms on which a lender will agree to loan money on real property. It is impossible to accurately predict what the real estate or financial market conditions will be at any given time. The ultimate decision on the price a Buyer is willing to pay and the price a Seller is willing to accept for a specific property rests solely with the individual Buyer and Seller. The parties to a real estate transaction must decide on what price and terms they are willing to buy or sell in light of market conditions, their own financial resources and their own unique circumstances. The parties must, upon careful deliberation, decide how much risk they are willing to assume in a transaction. Any waiver of contingencies, rights or warranties in the Contract may have adverse consequences. Buyer and Seller acknowledge that they understand these risks. Buyer and Seller assume all responsibility should the return on investment, tax consequences, credit effects, or financing terms not meet their expectations. The parties understand and agree that the Broker(s) do not provide advice on property as an investment. Broker(s) are not qualified to provide financial, legal, or tax advice regarding a real estate transaction. Therefore, Broker(s) make no representation regarding the above items. Buyer and Seller are advised to obtain professional tax and legal advice regarding the advisability of entering into this transaction. THE UNDERSIGNED ACCEPT AND UNDERSTAND THE FOREGOING AND ACKNOWLEDGE RECEIPT OF A COPY OF THIS ADVISORY.

SIGNATURE MO/DA/YR

NAME

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Document updated: February 2017

MULTIPLE COUNTER OFFER The pre-printed portion of this form has been drafted by the Arizona Association of REALTORS®. Any change in the pre-printed language of this form must be made in a prominent manner. No representations are made as to the legal validity, adequacy and/or effects of any provision, including tax consequences thereof. If you desire legal, tax or other professional advice, please consult your attorney, tax advisor or professional consultant.

1. This is a Multiple Counter Offer originated by Seller to the: 2.

Offer

Counter Offer dated

between the following Parties:

3. Seller: 4. Buyer: 5. Premises Address: 6. Acceptance of the above Offer and/or Counter Offer is contingent upon agreement to the following: 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19.

Seller is making one or more counter offer(s) to other prospective buyers on terms that may or may not be the same as contained herein. Acceptance of this Multiple Counter Offer by Buyer shall not be binding unless and until it is subsequently finally accepted by Seller and the final acceptance is delivered per Section 8m of the Contract to Buyer’s Broker within the time specified (“Final Acceptance”). Until Final Acceptance, the parties understand that the Premises can be sold to someone else and/or either party may withdraw any offer/counter offer to buy or sell the Premises.

Unless acceptance of this Multiple Counter Offer is signed by Buyer and a signed copy delivered pursuant to Section 8m of the a.m. Contract and received by Broker named in Contract Section 9a by at p.m., Mountain Standard Time, this Multiple Counter Offer shall be considered withdrawn. Seller acknowledges receipt of a copy hereof.

20. Seller:

Date:

Time:

21. Seller:

Date:

Time:

BUYER RESPONSE 22. 23. 24. 25.

An additional counter/multiple counter offer is attached and is incorporated by reference. Buyer should sign both this Multiple Counter Offer and the additional counter/multiple counter offer. If there is a conflict between this Multiple Counter Offer and the additional counter/multiple counter offer, the provisions of the additional counter/multiple counter offer shall be controlling.

26. Buyer:

Date:

Time:

27. Buyer:

Date:

Time:

BUYER ACCEPTANCE 28. 29. 30. 31.

Buyer agrees to the terms and conditions of this Multiple Counter Offer and acknowledges receipt of a copy hereof. Unless final acceptance of this Multiple Counter Offer is signed by Seller and a signed copy delivered pursuant to Section 8m of the at a.m. / p.m., Mountain Contract and received by Broker named in Contract Section 8q by Standard Time, Buyer's acceptance shall be considered withdrawn.

32. Buyer:

Date:

Time:

33. Buyer:

Date:

Time:

PAGE 1 of 2 Phone: Produced with zipForm® by zipLogix, 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

Fax: www.zipLogix.com

Tucson, AZ 85712

Page 2 of 2

Multiple Counter Offer >>

SELLER RESPONSE 34. 35. 36. 37.

An additional counter/multiple counter offer is attached and is incorporated by reference. Seller should sign both this Multiple Counter Offer and the additional counter/multiple counter offer. If there is a conflict between this Multiple Counter Offer and the additional counter/multiple counter offer, the provisions of the additional counter/multiple counter offer shall be controlling.

38. Seller:

Date:

Time:

39. Seller:

Date:

Time:

SELLER FINAL ACCEPTANCE 40. Signature by Seller below and delivery to Buyer or Buyer’s Broker as indicated above creates a binding agreement. Seller 41. revokes all other counter offers by separate notice and agrees to sell the Premises to Buyer subject to the terms and 42. conditions contained herein. 43. Seller:

Date:

Time:

44. Seller:

Date:

Time:

For Broker Use Only: Brokerage File/Log No.

Manager's Initials

Broker's Initials

Date MO/DA/YR

PAGE 2 of 2 Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

Document updated: February 2017

MULTIPLE OFFER/COUNTER OFFER The pre-printed portion of this form has been drafted by the Arizona Association of REALTORS®. Any change in the pre-printed language of this form must be made in a prominent manner. No representations are made as to the legal validity, adequacy and/or effects of any provision, including tax consequences thereof. If you desire legal, tax or other professional advice, please consult your attorney, tax advisor or professional consultant.

1. This is a Multiple Counter Offer originated by Buyer to the: Offer 2. Offer Counter Offer dated between the following Parties: 3. Seller: 4. Buyer: 5. Premises Address: 6. 7. 8. 9. 10. 11.

Acceptance of the above Offer/Counter Offer is contingent upon agreement to the following: Buyer is making one or more offer(s) to other prospective sellers on terms that may or may not be the same as contained herein. Acceptance of this Offer/Counter Offer by Seller shall not be binding unless and until it is subsequently finally accepted by Buyer and the final acceptance copy is delivered per Section 8m of the Contract to Seller’s Broker within the time specified (“Final Acceptance”). Until Final Acceptance, the parties understand that the Premises can be sold to someone else and/or either party may withdraw any offer/counter offer to buy or sell the Premises.

12. 13. 14. 15. 16. Unless acceptance of this Multiple Offer/Counter Offer is signed by Seller and a signed copy delivered pursuant to Section 8m of at a.m. p.m., Mountain 17. the Contract and received by Broker named in Contract Section 8q by 18. Standard Time, this Multiple Offer/Counter Offer shall be considered withdrawn. Buyer acknowledges receipt of a copy hereof. 19. Buyer:

Date:

Time:

20. Buyer:

Date:

Time:

SELLER RESPONSE 21. An additional counter offer is attached and is incorporated by reference. Seller should sign both this Multiple Offer/Counter Offer 22. and the additional counter offer. If there is a conflict between this Multiple Offer/Counter Offer and the additional counter offer, the 23. provisions of the additional counter offer shall be controlling. 24. Seller:

Date:

Time:

25. Seller:

Date:

Time:

SELLER ACCEPTANCE 26. 27. 28. 29.

Seller agrees to the terms and conditions of this Multiple Offer/Counter Offer and acknowledges receipt of a copy hereof. Unless final acceptance of this Multiple Offer/Counter Offer is signed by Buyer and a signed copy delivered pursuant to Section 8m of the Contract and received by Broker named in Contract Section 9a by at a.m. p.m., Mountain Standard Time, Seller's acceptance shall be considered withdrawn.

30. Seller:

Date:

Time:

31. Seller:

Date:

Time: >>

PAGE 1 of 2 Phone:

Fax: Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

Page 2 of 2

Multiple Offer/Counter Offer >>

BUYER RESPONSE TO SELLER ADDITIONAL COUNTER OFFER 32. An additional counter offer/multiple counter offer is attached and incorporated by reference. 33. If there is a conflict between this Multiple Offer/Counter Offer and the additional counter/multiple counter offer, the provisions of 34. the additional counter or multiple counter offer shall be controlling. 35. Buyer:

Date:

Time:

36. Buyer:

Date:

Time:

BUYER FINAL ACCEPTANCE 37. Signature by Buyer below and delivery to Seller or Seller’s Broker as indicated above creates a binding agreement. Buyer revokes 38. all other offers by separate notice and agrees to purchase the Premises subject to the terms and conditions contained herein. 39. Buyer:

Date:

Time:

40. Buyer:

Date:

Time:

For Broker Use Only: Brokerage File/Log No.

Manager's Initials

Broker's Initials

Date MO/DA/YR

PAGE 2 of 2

Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

Document updated: February 2017

PRE-QUALIFICATION FORM The pre-printed portion of this form has been drafted by the Arizona Association of REALTORS®. Any change in the pre-printed language of this form must be made in a prominent manner. No representations are made as to the legal validity, adequacy and/or effects of any provision, including tax consequences thereof. If you desire legal, tax or other professional advice, please consult your attorney, tax advisor or professional consultant.

Your actual rate, payment, and costs could be higher. Get an official Loan Estimate before choosing a loan. PRE-QUALIFICATION INFORMATION 1. Purpose: This Pre-Qualification Form is to be used in conjunction with an AAR Residential Resale Real Estate Purchase Contract or 2. Vacant Land/Lot Purchase Contract (“Contract”). 3. Buyer HAS NOT consulted with a lender. (If Buyer marks the box on line 3, Buyer is to complete only lines 4 and 5.) 4. PRINT BUYER’S NAME

PRINT BUYER’S NAME

5. ^ BUYER’S SIGNATURE

6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16.

^ BUYER’S SIGNATURE

MO/DA/YR

Lender indicated on lines 36 and 37 has consulted with (“Buyer”) and submits the following: Buyer is: Married Unmarried Legally Separated is is not relying on the sale or lease of a property to qualify for this loan. Buyer: Buyer: is not relying on Seller Concessions for Buyer’s loan costs, impounds, Title/Escrow Company costs, is

recording fees, and, if applicable, VA loan costs not permitted to be paid by Buyer. (Note: The amount Seller agrees to contribute, if any, shall be established in the Contract.) is is not relying on down payment assistance to qualify for this loan. USDA Other: Conventional FHA VA Non-Owner Occupied Primary Secondary Planned Unit Development Single Family Residence Condominium Other: Vacant Land/Lot Mobile Home

Buyer: Type of Loan: Occupancy Type: Property Type: YES NO

N/A

Manufactured Home

Lender provided Buyer with the HUD form “For Your Protection: Get a Home Inspection” (FHA loans only). Lender completed a verbal discussion with Buyer including a discussion of income, assets and debts. Lender obtained a Tri-Merged Residential Credit Report.

17. 18. 19. 20. 21. 22. 23. 24.

MO/DA/YR

Based on the information provided, Buyer can pre-qualify for a loan amount of: $ , assuming a monthly principal , provided that the total monthly payment (which includes principal, interest, mortgage and interest loan payment of $ insurance, property taxes, insurance, HOA fees, and flood insurance, if applicable) does not exceed: $ Fixed Interest Rate Adjustable Interest Rate Pre-Payment Penalty Interest rate not to exceed: %, Initial Documentation Received: Lender received the following information from Buyer (additional documentation may be requested): YES NO

N/A

YES NO

25. 26. 27. 28.

N/A

Paystubs W-2s Personal Tax Returns Corporate Tax Returns

Down Payment/Reserves Documentation Gift Documentation Credit/Liability Documentation Other:

29. Additional comments: 30. Buyer has instructed, and Lender agrees to provide loan status updates on the AAR Loan Status Update form to Seller and Broker(s) 31. within ten (10) days of Contract acceptance pursuant to Section 2e of the Contract and upon request thereafter.

LENDER INFORMATION 32. 33. 34. 35.

The lender identified below has prepared the information listed above with Buyer(s) and has completed the above action points noted. This information does not constitute loan approval. All information provided must be approved by an underwriter, and any material change change in Buyer’s credit or financial profile will render this pre-qualification null and void. . The above pre-qualification expires on: DATE

36. Lender: COMPANY

ARIZONA LICENSE #

NMLS #

LOAN OFFICER

ARIZONA LICENSE #

NMLS #

37. 38. ADDRESS

CITY

STATE

PHONE

FAX

ZIP

39. 40. ^ LOAN OFFICER’S SIGNATURE

MO/DA/YR

41. Buyer acknowledges receipt of a copy hereof and grants permission to Broker to submit this Pre-Qualification Form with Contract. 42. ^ BUYER’S SIGNATURE

MO/DA/YR

^ BUYER’S SIGNATURE

MO/DA/YR

Lisa Larkin

Phone: Fax: Produced withRE/MAX zipForm® bySelect zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zipLogix.com Tucson, AZ 85712

Arizona Association of REALTORS

REAL ESTATE AGENCY DISCLOSURE AND ELECTION

REAL SOLUTIONS. REALTOR® SUCCESS

Document updated: January 2009

1. Firm Name (“Broker”) 2. acting through

hereby makes the following disclosure. LICENSEE’S NAME

DISCLOSURE 3. Before a Seller or Landlord (hereinafter referred to as “Seller”) or a Buyer or Tenant (hereinafter referred to as “Buyer”) enters into 4. a discussion with a real estate broker or licensee affiliated with a broker, the Seller and the Buyer should understand what type of agency 5. relationship or representation they will have with the broker in the transaction. 6. 7. 8. 9. 10. 11.

Buyer’s Broker: A broker other than the Seller’s broker can agree with the Buyer to act as the broker for the Buyer. In these situations, the Buyer’s broker is not representing the Seller, even if the Buyer’s broker is receiving compensation for services rendered, either in full or in part, from the Seller or through the Seller’s broker: a) A Buyer’s broker has the fiduciary duties of loyalty, obedience, disclosure, confidentiality, and accounting in dealings with the Buyer. b) Other potential Buyers represented by broker may consider, make offers on, or acquire an interest in the same or similar properties as Buyer is seeking.

12. 13. 14.

II. Seller’s Broker: A broker under a listing agreement with the Seller acts as the broker for the Seller only: a) A Seller’s broker has the fiduciary duties of loyalty, obedience, disclosure, confidentiality, and accounting in dealings with the Seller. b) Other potential Sellers represented by broker may list properties that are similar to the property that Seller is selling.

15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29.

III. Broker Representing both Seller and Buyer (Limited Representation): A broker, either acting directly or through one or more licensees within the same brokerage firm, can legally represent both the Seller and the Buyer in a transaction, but only with the knowledge and informed consent of both the Seller and the Buyer. In these situations, the Broker, acting through its licensee(s), represents both the Buyer and the Seller, with limitations of the duties owed to the Buyer and the Seller: a) The broker will not, without written authorization, disclose to the other party that the Seller will accept a price or terms other than stated in the listing or that the Buyer will accept a price or terms other than offered. b) There will be conflicts in the duties of loyalty, obedience, disclosure and confidentiality. Disclosure of confidential information may be made only with written authorization. Regardless of who the Broker represents in the transaction, the Broker shall exercise reasonable skill and care in the performance of the Broker’s duties and shall be truthful and honest to both the Buyer and Seller and shall disclose all known facts which materially and adversely affect the consideration to be paid by any party. Pursuant to A.R.S. §32-2156, Sellers, Lessors and Brokers are not obligated to disclose that a property is or has been: (1) the site of a natural death, suicide, homicide, or any crime classified as a felony; (2) owned or occupied by a person exposed to HIV, or diagnosed as having AIDS or any other disease not known to be transmitted through common occupancy of real estate; or (3) located in the vicinity of a sex offender. Sellers or Sellers’ representatives may not treat the existence, terms, or conditions of offers as confidential unless there is a confidentiality agreement between the parties.

30. THE DUTIES OF THE BROKER IN A REAL ESTATE TRANSACTION DO NOT RELIEVE THE SELLER OR THE BUYER FROM THE 31. RESPONSIBILITY TO PROTECT THEIR OWN INTERESTS. THE SELLER AND THE BUYER SHOULD CAREFULLY READ ALL 32. AGREEMENTS TO INSURE THAT THE DOCUMENTS ADEQUATELY EXPRESS THEIR UNDERSTANDING OF THE TRANSACTION.

ELECTION 33. Buyer or Tenant Election (Complete this section only if you are the Buyer.) The undersigned elects to have the Broker (check any that apply): 34. represent the Buyer as Buyer’s Broker. 35. represent the Seller as Seller’s Broker. 36. show Buyer properties listed with Broker’s firm and Buyer agrees that Broker shall act as agent for both Buyer and Seller provided that 37. the Seller consents to limited representation. In the event of a purchase, Buyer’s and Seller’s informed consent should be 38. acknowledged in a separate writing other than the purchase contract. 39. Seller or Landlord Election (Complete this section only if you are the Seller.) The undersigned elects to have the Broker (check any that apply): 40. represent the Buyer as Buyer’s Broker. represent the Seller as Seller’s Broker. 41. 42. show Seller’s property to Buyers represented by Broker’s firm and Seller agrees that Broker shall act as agent for both Seller and 43. Buyer provided that Buyer consents to the limited representation. In the event of a purchase, Buyer’s and Seller’s informed consent 44. should be acknowledged in a separate writing other than the purchase contract. 45. The undersigned

Buyer(s) or

Seller(s) acknowledge that this document is a disclosure of duties. This document is not an employment agreement.

46. I/WE ACKNOWLEDGE RECEIPT OF A COPY OF THIS DISCLOSURE. 47. ^

PRINT NAME

SIGNED

PRINT NAME

48. MO/DA/YR ^

SIGNED

Real Estate Agency Disclosure and Election • Updated: January 2009 • Copyright © 2009 Arizona Association of REALTORS®. All rights reserved. Arizona Association of REALTORS 255 E. Osborn Rd. Phoenix, AZ 85012 Phone: (480)304-8931 Fax: Nick Catanesi Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zipLogix.com

MO/DA/YR

Untitled

RESIDENTIAL BUYER’S INSPECTION NOTICE AND SELLER’S RESPONSE (BINSR)

1. Contract dated:

MONTH

DAY

Page 1 of 3

Document updated: June 2020

, 20

YEAR

2. Seller:

3. Buyer:

4. Premises Address:

BUYER INSPECTIONS AND INVESTIGATIONS COMPLETED

(See Section 6j) Buyer has completed all desired Inspection Period items, such as: (a) physical, environmental, and other inspections and investigations; (b) inquiries and consultations with government agencies, lenders, insurance agents, architects, and other persons and entities; (c) investigations of applicable building, zoning, fire, health, and safety codes; (d) inquiries regarding sex offenders; and the occurrence of a disease, natural death, suicide, homicide or other crime on the Premises or in the vicinity (e) inspections and investigations pertaining to square footage, wood-destroying organisms or insects, sewer, flood hazard, swimming pool barriers, and insurance; and (f) inspections and investigations of any other items important to Buyer. Buyer has verified all information deemed important including: (a) MLS or listing information; and (b) all other information obtained regarding the Premises. Buyer acknowledges that: (a) All desired Inspection Period inspections and investigations must be completed prior to delivering this notice to Seller; (b) All Inspection Period items disapproved must be provided in this notice; (c) Buyer’s election is limited to the options specified below; and (d) Buyer is not entitled to change or modify Buyer’s election after this notice is delivered to Seller. Buyer elects as follows: n Premises Accepted – No corrections requested. Buyer accepts the Premises in its present condition and no corrections or repairs are requested.

n n

Premises Rejected – Buyer disapproves of the items listed below and elects to immediately cancel the Contract.

Items disapproved:

Buyer elects to provide Seller an opportunity to correct the disapproved items listed below.

PAGE 1 of 3

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Residential Buyer’s Inspection Notice and Seller’s Response

Page 2 of 3

Buyer acknowledges that Broker(s): (1) make no representations concerning the competency of any inspectors, contractors and/or repair persons and assume no responsibility for any deficiencies or errors made; and (2) neither Seller nor Broker(s) are experts at detecting or repairing physical defects in the Premises. The undersigned agrees to the modified or additional terms and conditions, if any, and acknowledges receipt of a copy hereof. ^ BUYER’S SIGNATURE

MO/DA/YR

^ BUYER’S SIGNATURE

MO/DA/YR

BUYER’S WAIVER OF INSPECTIONS BUYER ACKNOWLEDGES THAT BUYER WAS ADVISED TO OBTAIN INSPECTIONS OF THE PREMISES BY QUALIFIED INSPECTOR(S) AND BUYER DECLINED. By acting against Broker’s advice, Buyer accepts responsibility and hereby releases, indemnifies and holds harmless Brokers from any and all liability for all matters that professional inspections could have revealed. ^ BUYER’S SIGNATURE

MO/DA/YR

^ BUYER’S SIGNATURE

MO/DA/YR

PAGE 2 of 3

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Residential Buyer’s Inspection Notice and Seller’s Response

Page 3 of 3

SELLER’S RESPONSE TO BE COMPLETED ONLY IF BUYER PROVIDES SELLER AN OPPORTUNITY TO CORRECT ITEMS DISAPPROVED ON PAGES 1-2. (See Section 6j) If Buyer provides Seller an opportunity to correct items disapproved, Seller shall respond within five (5) days or otherwise specified days after delivery of this notice. Seller responds as follows: n Seller agrees to correct the items disapproved by Buyer pursuant to terms set forth herein and Section 6j of the Contract. n Seller is unwilling or unable to correct any of the items disapproved by Buyer. n Seller’s response to Buyer’s Notice is as follows:

The undersigned agrees to the modified or additional terms and conditions, if any, and acknowledges receipt of a copy hereof. ^ SELLER’S SIGNATURE

MO/DA/YR

^ SELLER’S SIGNATURE

MO/DA/YR

BUYER’S ELECTION TO BE COMPLETED ONLY IF SELLER HAS NOT AGREED TO CORRECT ALL ITEMS DISAPPROVED (See Section 6j)

n n

Buyer elects to cancel this Contract Buyer accepts Seller’s response to Buyer’s Notice and agrees to close escrow without correction of those items Seller has not agreed in writing to correct.

The undersigned agrees to the modified or additional terms and conditions, if any, and acknowledges receipt of a copy hereof. ^ BUYER’S SIGNATURE

MO/DA/YR

^ BUYER’S SIGNATURE

MO/DA/YR

PAGE 3 of 3

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

BUYER ATTACHMENT

Document updated: February 2020

This attachment should be given to the Buyer prior to the submission of any offer and is not part of the Residential Resale Real Estate Purchase Contract’s terms.

ATTENTION BUYER! You are entering into a legally binding agreement. 1. Read the entire contract before you sign it. 2. Review the Residential Seller’s Property Disclosure Statement (See Section 4a).

• This information comes directly from the Seller. • Investigate any blank spaces, unclear answers or any other information that is important to you.

3. Review the Inspection Paragraph (see Section 6a). If important to you, hire a qualified: • General home inspector • Heating/cooling inspector • Mold inspector • Pest inspector • Pool inspector • Roof inspector Verify square footage (see Section 6b) Verify the property is on sewer or septic (see Section 6f)

4. Confirm your ability to obtain insurance and insurability of the property during the inspection period with your insurance agent (see Sections 6a and 6e). 5. Apply for your home loan now, if you have not done so already, and provide your lender with all requested information (see Section 2f).

It is your responsibility to make sure that you and your lender follow the timeline requirements in Section 2, and that you and your lender deliver the necessary funds to escrow in sufficient time to allow escrow to close on the agreed upon date. Otherwise, the Seller may cancel the contract and you may be liable for damages.

6. Read the title commitment within five (5) days of receipt (see Section 3c). 7. Read the CC&R’s and all other governing documents within five (5) days of receipt (see Section 3c), especially if the home is in a homeowner’s association. 8. Conduct a thorough pre-closing walkthrough (see Section 6l). If the property is unacceptable, speak up. After the closing may be too late. You can obtain information through the Buyer’s Advisory at www.aaronline.com/manage-risk/buyer-advisory-3/. Remember, you are urged to consult with an attorney, inspectors, and experts of your choice in any area of interest or concern in the transaction. Be cautious about verbal representations, advertising claims, and information contained in a listing.Verify anything important to you.

WARNING: *WIRE TRANSFER FRAUD*

Beware of wiring instructions sent via email. Cyber criminals may hack email accounts and send emails with fake wiring instructions. Always independently confirm wiring instructions prior to wiring any money. Do not email or transmit documents that show bank account numbers or personal identification information.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 1 of 10

RESIDENTIAL RESALE REAL ESTATE

PURCHASE CONTRACT

Document updated: February 2020

1. PROPERTY 1a.

1. BUYER: 2. SELLER:

BUYER’S NAME(S)

SELLER’S NAME(S)

as identified in section 9c.

3. Buyer agrees to buy and Seller agrees to sell the real property with all improvements, fixtures, and appurtenances thereon 4. or incidental thereto, plus the personal property described herein (collectively the “Premises”). 1b.

5. Premises Address:

Assessor’s #:

6. City:

County:

AZ, Zip Code:

7. Legal Description: 8. 9. 1c.

10. $

Full Purchase Price, paid as outlined below

11. $

Earnest Money

12. $ 13. $ 14. 15. 16. 17. Earnest Money is in the form of: Personal Check Wire Transfer Other 18. Upon acceptance of this offer, the Earnest Money, if any, will be deposited with:

Escrow Company

Broker’s Trust Account.

19. IF THIS IS AN ALL CASH SALE: A Letter of Credit or a source of funds from a financial institution documenting the availability of 20. funds to close escrow is attached hereto. 1d.

1. Close of Escrow: Close of Escrow (“COE”) shall occur when the deed is recorded at the appropriate county recorder’s office. 2 22. Buyer and Seller shall comply with all terms and conditions of this Contract, execute and deliver to Escrow Company all closing 23. documents, and perform all other acts necessary in sufficient time to allow COE to occur on , 20 (“COE Date”). If Escrow Company or recorder’s office is closed on the COE Date, 24. MONTH

DAY

YEAR

25. COE shall occur on the next day that both are open for business. 26. Buyer shall deliver to Escrow Company a cashier’s check, wired funds or other immediately available funds to pay any down 27. payment, additional deposits or Buyer’s closing costs, and instruct the lender, if applicable, to deliver immediately available funds to 28. Escrow Company, in a sufficient amount and in sufficient time to allow COE to occur on the COE Date. 29. Buyer acknowledges that failure to pay the required closing funds by the scheduled COE, if not cured after a cure notice is delivered 30. pursuant to Section 7a, shall be construed as a material breach of this Contract and the Earnest Money shall be subject to forfeiture. 31. All funds are to be in U.S. currency. 1e.

32. 33. 34. 35.

1f.

36. Addenda Incorporated: Additional Clause Buyer Contingency Domestic Water Well H.O.A. 37. Lead-Based Paint Disclosure Loan Assumption On-site Wastewater Treatment Facility Seller Financing 38. Solar Lease / Solar Loan Assumption Addendum Other:

Possession: Seller shall deliver possession, occupancy, existing keys and/or means to operate all locks, mailbox, security system/alarms, and all common area facilities to Buyer at COE or . Broker(s) recommend that the parties seek independent counsel from insurance, legal, tax, and accounting professionals regarding the risks of pre-possession or post-possession of the Premises.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Short Sale

Page 2 of 10

Residential Resale Real Estate Purchase Contract 1g.

39. Fixtures and Personal Property: For purposes of this Contract, fixtures shall mean property attached/affixed to the Premises. 40. Seller agrees that all existing: fixtures on the Premises, personal property specified herein, and means to operate fixtures and 41. property (i.e., remote controls) shall convey in this sale. Including the following: • built-in appliances, ceiling fans and remotes • media antennas/satellite dishes (affixed) • storage sheds 42. • storm windows and doors • central vacuum, hose, and attachments • outdoor fountains and lighting 43. • stoves: gas-log, pellet, wood-burning • outdoor landscaping (i.e., shrubbery, • draperies and other window coverings 44. • timers (affixed) trees and unpotted plants) • fireplace equipment (affixed) 45. • towel, curtain and drapery rods • shutters and awnings • floor coverings (affixed) 46. • wall mounted TV brackets and hardware • smart home devices, access to which • free-standing range/oven 47. (excluding TVs) shall be transferred (i.e., video doorbell, • garage door openers and remotes 48. • water-misting systems automated thermostat) • light fixtures 49. • window and door screens, sun shades • speakers (flush-mounted) • mailbox 50. 51. If owned by Seller, the following items also are included in this sale: 52. • affixed alternate power systems serving • in-ground pool and spa/hot tub equipment • security and/or fire systems and/or alarms the Premises (i.e., solar) and covers (including any mechanical or • water purification systems 53. • water softeners other cleaning systems) 54. 55. Additional existing personal property included in this sale (if checked): 56. refrigerator (description): 57. washer (description): 58. dryer (description): 59. above-ground spa/hot tub including equipment, covers, and any mechanical or other cleaning systems (description): 60. 61. 62.

other personal property not otherwise addressed (description): other personal property not otherwise addressed (description):

63. Additional existing personal property included shall not be considered part of the Premises and shall be transferred with no 64. monetary value, and free and clear of all liens or encumbrances. 65. Leased items shall NOT be included in this sale. Seller shall deliver notice of all leased items within three (3) days after Contract 66. acceptance. Buyer shall provide notice of any leased items disapproved within the Inspection Period or five (5) days after receipt of 67. the notice, whichever is later. 68. IF THIS IS AN ALL CASH SALE: Section 2 does not apply - go to Section 3.

2. FINANCING 2a.

69. Pre-Qualification: An AAR Pre-Qualification Form is attached hereto and incorporated herein by reference.

2b.

70. 71. 72. 73. 74. 75.

Loan Contingency: Buyer’s obligation to complete this sale is contingent upon Buyer obtaining loan approval without Prior to Document (“PTD”) conditions no later than three (3) days prior to the COE Date for the loan described in the AAR Loan Status Update (“LSU”) form or the AAR Pre-Qualification Form, whichever is delivered later. No later than three (3) days prior to the COE Date, Buyer shall either: (i) sign all loan documents; or (ii) deliver to Seller or Escrow Company notice of loan approval without PTD conditions AND date(s) of receipt of Closing Disclosure(s) from Lender; or (iii) deliver to Seller or Escrow Company notice of inability to obtain loan approval without PTD conditions.

2c.

76. 77. 78. 79. 80. 81. 82.

Unfulfilled Loan Contingency: This Contract shall be cancelled and Buyer shall be entitled to a return of the Earnest Money if after diligent and good faith effort, Buyer is unable to obtain loan approval without PTD conditions and delivers notice of inability to obtain loan approval no later than three (3) days prior to the COE Date. If Buyer fails to deliver such notice, Seller may issue a cure notice to Buyer as required by Section 7a and, in the event of Buyer’s breach, Seller shall be entitled to the Earnest Money pursuant to Section 7b. If, prior to expiration of any Cure Period, Buyer delivers notice of inability to obtain loan approval, Buyer shall be entitled to a return of the Earnest Money. Buyer acknowledges that prepaid items paid separately from the Earnest Money are not refundable.

2d.

83. 84. 85. 86.

Interest Rate / Necessary Funds: Buyer agrees that (i) the inability to obtain loan approval due to the failure to lock the interest rate and “points” by separate written agreement with the lender; or (ii) the failure to have the down payment or other funds due from Buyer necessary to obtain the loan approval without conditions and close this transaction is not an unfulfilled loan contingency.

2e.

87. Loan Status Update: Buyer shall deliver to Seller the LSU, with at a minimum lines 1-40 completed, describing the current status 8. of the Buyer’s proposed loan within ten (10) days after Contract acceptance and instruct lender to provide an updated LSU to 8 89. Broker(s) and Seller upon request.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 3 of 10

Residential Resale Real Estate Purchase Contract

2f.

90. Loan Application: Unless previously completed, within three (3) days after Contract acceptance Buyer shall (i) provide lender 91. with Buyer’s name, income, social security number, Premises address, estimate of value of the Premises, and mortgage loan 92. amount sought; and (ii) grant lender permission to access Buyer’s Trimerged Residential Credit Report.

2g.

93. 94. 95. 96.

2h.

97. Type of Financing: Conventional FHA VA USDA Assumption 98. (If financing is to be other than new financing, see attached addendum.)

2i.

Loan Processing During Escrow: Within ten (10) days after receipt of the Loan Estimate Buyer shall (i) provide lender with notice of intent to proceed with the loan transaction in a manner satisfactory to lender; and (ii) provide to lender all requested signed disclosures and the documentation listed in the LSU at lines 32-35. Buyer agrees to diligently work to obtain the loan and will promptly provide the lender with all additional documentation requested. Seller Carryback

99. Loan Costs: All costs of obtaining the loan shall be paid by Buyer, unless otherwise provided for herein.

% 2j. 100. Seller Concessions (if any): In addition to the other costs Seller has agreed to pay herein, Seller will credit Buyer 101. of the Purchase Price OR $ (Seller Concessions). The Seller Concessions may be used for any Buyer fee, cost, 102. charge, or expenditure to the extent allowed by Buyer’s lender. 2k. 103. 104. 105. 106.

Changes: Buyer shall immediately notify Seller of any changes in the loan program, financing terms, or lender described in the Pre-Qualification Form attached hereto or LSU provided within ten (10) days after Contract acceptance and shall only make any such changes without the prior written consent of Seller if such changes do not adversely affect Buyer’s ability to obtain loan approval without PTD conditions, increase Seller’s closing costs, or delay COE.

2l. 107. 108. 109. 110.

Appraisal Contingency: Buyer’s obligation to complete this sale is contingent upon an appraisal of the Premises acceptable to lender for at least the purchase price. If the Premises fail to appraise for the purchase price in any appraisal required by lender, Buyer has five (5) days after notice of the appraised value to cancel this Contract and receive a return of the Earnest Money or the appraisal contingency shall be waived, unless otherwise prohibited by federal law.

2m. 111. 112. 113. 114.

Appraisal Cost(s): Initial appraisal fee shall be paid by Buyer Seller Other at the time payment is required by lender and is non-refundable. If Seller is paying the initial appraisal fee, the fee will will not be applied against Seller’s Concessions at COE, if applicable. If Buyer’s lender requires an updated appraisal prior to COE, it will be performed at Buyer’s expense. Any appraiser/lender required inspection cost(s) shall be paid for by Buyer.

3. TITLE AND ESCROW 3a. 115. Escrow: This Contract shall be used as escrow instructions. The Escrow Company employed by the parties to carry out the 116. terms of this Contract shall be: 117.

ESCROW/TITLE COMPANY

118.

ADDRESS

CITY

STATE

ZIP

119.

EMAIL PHONE FAX

3b. 120. Title and Vesting: Buyer will take title as determined before COE. If Buyer is married and intends to take title as his/her sole 121. and separate property, a disclaimer deed may be required. Taking title may have significant legal, estate planning and tax 122. consequences. Buyer should obtain independent legal and tax advice. 3c. 123. 124. 125. 126. 127. 128. 129. 130. 131. 132.

Title Commitment and Title Insurance: Escrow Company is hereby instructed to obtain and deliver to Buyer and Seller directly, addressed pursuant to 8s and 9c or as otherwise provided, a Commitment for Title Insurance together with complete and legible copies of all documents that will remain as exceptions to Buyer’s policy of Title Insurance (“Title Commitment”), including but not limited to Conditions, Covenants and Restrictions (“CC&Rs”); deed restrictions; and easements. Buyer shall have five (5) days after receipt of the Title Commitment and after receipt of notice of any subsequent exceptions to provide notice to Seller of any items disapproved. Seller shall convey title by warranty deed, subject to existing taxes, assessments, covenants, conditions, restrictions, rights of way, easements and all other matters of record. Buyer shall be provided at Seller’s expense an American Land Title Association (“ALTA”) Homeowner’s Title Insurance Policy or, if not available, a Standard Owner’s Title Insurance Policy, showing title vested in Buyer. Buyer may acquire extended coverage at Buyer’s own additional expense. If applicable, Buyer shall pay the cost of obtaining the ALTA Lender Title Insurance Policy.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 4 of 10

Residential Resale Real Estate Purchase Contract 3d. 133. 134. 135. 136. 137. 138. 139. 140. 141. 142.

Additional Instructions: (i) Escrow Company shall promptly furnish notice of pending sale that contains the name and address of Buyer to any homeowner’s association(s) in which the Premises are located. (ii) If Escrow Company is also acting as the title agency but is not the title insurer issuing the title insurance policy, Escrow Company shall deliver to Buyer and Seller, upon deposit of funds, a closing protection letter from the title insurer indemnifying Buyer and Seller for any losses due to fraudulent acts or breach of escrow instructions by Escrow Company. (iii) All documents necessary to close this transaction shall be executed promptly by Seller and Buyer in the standard form used by Escrow Company. Escrow Company shall modify such documents to the extent necessary to be consistent with this Contract. (iv) Escrow Company fees, unless otherwise stated herein, shall be allocated equally between Seller and Buyer. (v) Escrow Company shall send to all parties and Broker(s) copies of all notices and communications directed to Seller, Buyer and Broker(s). (vi) Escrow Company shall provide Broker(s) access to escrowed materials and information regarding the escrow. (vii) If an Affidavit of Disclosure is provided, Escrow Company shall record the Affidavit at COE.

3e. 143. Tax Prorations: Real property taxes payable by Seller shall be prorated to COE based upon the latest tax information available. 3f. 144. 145. 146. 147. 148.

Release of Earnest Money: In the event of a dispute between Buyer and Seller regarding any Earnest Money deposited with Escrow Company, Buyer and Seller authorize Escrow Company to release the Earnest Money pursuant to the terms and conditions of this Contract in its sole and absolute discretion. Buyer and Seller agree to hold harmless and indemnify Escrow Company against any claim, action or lawsuit of any kind, and from any loss, judgment, or expense, including costs and attorney fees, arising from or relating in any way to the release of the Earnest Money.

3g. 149. Prorations of Assessments and Fees: All assessments and fees that are not a lien as of COE, including homeowner’s 150. association fees, rents, irrigation fees, and, if assumed, insurance premiums, interest on assessments, interest on encumbrances, 151. and service contracts, shall be prorated as of COE or Other: 3h. 152. Assessment Liens: The amount of any assessment lien or bond including those charged by a special taxing district, such as a 153. Community Facilities District, shall be prorated as of COE.

4. DISCLOSURE 4a. 154. Seller’s Property Disclosure Statement (“SPDS”): Seller shall deliver a completed AAR Residential SPDS form to Buyer 155. within three (3) days after Contract acceptance. Buyer shall provide notice of any SPDS items disapproved within the Inspection 156. Period or five (5) days after receipt of the SPDS, whichever is later. 4b. 157. 158. 159. 160. 161.

Insurance Claims History: Seller shall deliver to Buyer a written five (5) year insurance claims history regarding the Premises (or a claims history for the length of time Seller has owned the Premises if less than five (5) years) from Seller’s insurance company or an insurance support organization or consumer reporting agency, or if unavailable from these sources, from Seller, within five (5) days after Contract acceptance. Buyer shall provide notice of any items disapproved within the Inspection Period or five (5) days after receipt of the claims history, whichever is later.

4c. 162. 163. 164. 165. 166.

Foreign Sellers: The Foreign Investment in Real Property Tax Act (“FIRPTA”) is applicable if Seller is a non-resident alien individual, foreign corporation, foreign partnership, foreign trust, or foreign estate (“Foreign Person”). Seller agrees to complete, sign, and deliver to Escrow Company a certificate indicating whether Seller is a Foreign Person. FIRPTA requires that a foreign seller may have federal income taxes up to 15% of the purchase price withheld, unless an exception applies. Seller is responsible for obtaining independent legal and tax advice.

4d. 167. 168. 169. 170. 171. 172.

Lead-Based Paint Disclosure: If the Premises were built prior to 1978, Seller shall: (i) notify Buyer of any known lead-based paint (“LBP”) or LBP hazards in the Premises; (ii) provide Buyer with any LBP risk assessments or inspections of the Premises in Seller’s possession; (iii) provide Buyer with the Disclosure of Information on Lead-Based Paint and Lead-Based Paint Hazards, and any report, records, pamphlets, and/or other materials referenced therein, including the pamphlet “Protect Your Family from Lead in Your Home” (collectively “LBP Information”). Buyer shall return a signed copy of the Disclosure of Information on Lead-Based Paint and Lead-Based Paint Hazards to Seller prior to COE.

173. LBP Information was provided prior to Contract acceptance and Buyer acknowledges the opportunity to conduct LBP risk 174. assessments or inspections during Inspection Period. 175. Seller shall provide LBP Information within five (5) days after Contract acceptance. Buyer may within ten (10) days 176. or days after receipt of the LBP Information conduct or obtain a risk assessment or inspection of the Premises for the 177. presence of LBP or LBP hazards (“Assessment Period”). Buyer may within five (5) days after receipt of the LBP Information or five 178. (5) days after expiration of the Assessment Period cancel this Contract. 179. Buyer is further advised to use certified contractors to perform renovation, repair or painting projects that disturb lead-based paint in 180. residential properties built before 1978 and to follow specific work practices to prevent lead contamination. 181. 182.

If Premises were constructed prior to 1978, (BUYER’S INITIALS REQUIRED)

If Premises were constructed in 1978 or later, (BUYER’S INITIALS REQUIRED)

BUYER

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 5 of 10

Residential Resale Real Estate Purchase Contract

4e. 183. 184. 185. 186.

Affidavit of Disclosure: If the Premises are located in an unincorporated area of the county, and five (5) or fewer parcels of property other than subdivided property are being transferred, Seller shall deliver a completed Affidavit of Disclosure in the form required by law to Buyer within five (5) days after Contract acceptance. Buyer shall provide notice of any Affidavit of Disclosure items disapproved within the Inspection Period or five (5) days after receipt of the Affidavit of Disclosure, whichever is later.

4f. 187. 188. 189. 190.

Changes During Escrow: Seller shall immediately notify Buyer of any changes in the Premises or disclosures made herein, in the SPDS, or otherwise. Such notice shall be considered an update of the SPDS. Unless Seller is already obligated by this Contract or any amendments hereto, to correct or repair the changed item disclosed, Buyer shall be allowed five (5) days after delivery of such notice to provide notice of disapproval to Seller.

5. WARRANTIES 5a. 191. 192. 193. 194. 195. 196. 197. 198. 199.

Condition of Premises: BUYER AND SELLER AGREE THE PREMISES ARE BEING SOLD IN ITS PRESENT PHYSICAL CONDITION AS OF THE DATE OF CONTRACT ACCEPTANCE. Seller makes no warranty to Buyer, either express or implied, as to the condition, zoning, or fitness for any particular use or purpose of the Premises. However, Seller shall maintain and repair the Premises so that at the earlier of possession or COE: (i) the Premises, including all personal property included in the sale, will be in substantially the same condition as on the date of Contract acceptance; and (ii) all personal property not included in the sale and debris will be removed from the Premises. Buyer is advised to conduct independent inspections and investigations regarding the Premises within the Inspection Period as specified in Section 6a. Buyer and Seller acknowledge and understand they may, but are not obligated to, engage in negotiations for repairs/improvements to the Premises. Any/all agreed upon repairs/improvements will be addressed pursuant to Section 6j.

5b. 200. 201. 202. 203. 204. 205. 206.

Warranties that Survive Closing: Seller warrants that Seller has disclosed to Buyer and Broker(s) all material latent defects and any information concerning the Premises known to Seller, excluding opinions of value, which materially and adversely affect the consideration to be paid by Buyer. Prior to COE, Seller warrants that payment in full will have been made for all labor, professional services, materials, machinery, fixtures, or tools furnished within the 150 days immediately preceding COE in connection with the construction, alteration, or repair of any structure on or improvement to the Premises. Seller warrants that the information regarding connection to a sewer system or on-site wastewater treatment facility (conventional septic or alternative) is correct to the best of Seller’s knowledge.

5c. 207. 208. 209. 210.

Buyer Warranties: Buyer warrants that Buyer has disclosed to Seller any information that may materially and adversely affect Buyer’s ability to close escrow or complete the obligations of this Contract. At the earlier of possession of the Premises or COE, Buyer warrants to Seller that Buyer has conducted all desired independent inspections and investigations and accepts the Premises. Buyer warrants that Buyer is not relying on any verbal representations concerning the Premises except disclosed as follows:

211. 212.

6. DUE DILIGENCE 6a. 213. 214. 215. 216. 217. 218. 219. 220. 221. 222. 223. 224.

Inspection Period: Buyer’s Inspection Period shall be ten (10) days or days after Contract acceptance. During the Inspection Period Buyer, at Buyer’s expense, shall: (i) conduct all desired physical, environmental, and other types of inspections and investigations to determine the value and condition of the Premises; (ii) make inquiries and consult government agencies, lenders, insurance agents, architects, and other appropriate persons and entities concerning the suitability of the Premises and the surrounding area; (iii) investigate applicable building, zoning, fire, health, and safety codes to determine any potential hazards, violations or defects in the Premises; and (iv) verify any material multiple listing service (“MLS”) information. If the presence of sex offenders in the vicinity or the occurrence of a disease, natural death, suicide, homicide or other crime on or in the vicinity is a material matter to Buyer, it must be investigated by Buyer during the Inspection Period. Buyer shall keep the Premises free and clear of liens, shall indemnify and hold Seller harmless from all liability, claims, demands, damages, and costs, and shall repair all damages arising from the inspections. Buyer shall provide Seller and Broker(s) upon receipt, at no cost, copies of all inspection reports concerning the Premises obtained by Buyer. Buyer is advised to consult the Arizona Department of Real Estate Buyer Advisory to assist in Buyer’s due diligence inspections and investigations.

6b. 225. Square Footage: BUYER IS AWARE THAT ANY REFERENCE TO THE SQUARE FOOTAGE OF THE PREMISES, BOTH THE 226. REAL PROPERTY (LAND) AND IMPROVEMENTS THEREON, IS APPROXIMATE. IF SQUARE FOOTAGE IS A MATERIAL 227. MATTER TO BUYER, IT MUST BE INVESTIGATED DURING THE INSPECTION PERIOD. 6c. 228. 229. 230. 231. 232.

Wood-Destroying Organism or Insect Inspection: IF CURRENT OR PAST WOOD-DESTROYING ORGANISMS OR INSECTS (SUCH AS TERMITES) ARE A MATERIAL MATTER TO BUYER, THESE ISSUES MUST BE INVESTIGATED DURING THE INSPECTION PERIOD. Buyer shall order and pay for all wood-destroying organism or insect inspections performed during the Inspection Period. If the lender requires an updated Wood-Destroying Organism or Insect Inspection Report prior to COE, it will be performed at Buyer’s expense.

6d. 233. 234. 235. 236.

Flood Hazard: FLOOD HAZARD DESIGNATIONS OR THE COST OF FLOOD HAZARD INSURANCE SHALL BE DETERMINED BY BUYER DURING THE INSPECTION PERIOD. If the Premises are situated in an area identified as having any special flood hazards by any governmental entity, THE LENDER MAY REQUIRE THE PURCHASE OF FLOOD HAZARD INSURANCE. Special flood hazards may also affect the ability to encumber or improve the Premises.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 6 of 10

Residential Resale Real Estate Purchase Contract 6e. 237. 238. 239. 240.

Insurance: IF HOMEOWNER’S INSURANCE IS A MATERIAL MATTER TO BUYER, BUYER SHALL APPLY FOR AND OBTAIN WRITTEN CONFIRMATION OF THE AVAILABILITY AND COST OF HOMEOWNER’S INSURANCE FOR THE PREMISES FROM BUYER’S INSURANCE COMPANY DURING THE INSPECTION PERIOD. Buyer understands that any homeowner’s, fire, casualty, flood or other insurance desired by Buyer or required by lender should be in place at COE.

6f. 241. Sewer or On-site Wastewater Treatment System: The Premises are connected to a: sewer system conventional septic system alternative system 242. 243. IF A SEWER CONNECTION IS A MATERIAL MATTER TO BUYER, IT MUST BE INVESTIGATED DURING THE INSPECTION 244. PERIOD. If the Premises are served by a conventional septic or alternative system, the AAR On-site Wastewater Treatment Facility 245. Addendum is incorporated herein by reference. 246. 6g. 247. 248. 249. 250. 251. 6h. 252. 253. 254. 255. 256. 257. 258. 259. 6i. 260. 261. 262. 263.

(BUYER’S INITIALS REQUIRED)

BUYER

Swimming Pool Barrier Regulations: During the Inspection Period, Buyer agrees to investigate all applicable state, county, and municipal Swimming Pool barrier regulations and agrees to comply with and pay all costs of compliance with said regulations prior to occupying the Premises, unless otherwise agreed in writing. If the Premises contains a Swimming Pool, Buyer acknowledges receipt of the Arizona Department of Health Services approved private pool safety notice. (BUYER’S INITIALS REQUIRED)

BUYER

BUYER ACKNOWLEDGMENT: BUYER RECOGNIZES, ACKNOWLEDGES, AND AGREES THAT BROKER(S) ARE NOT QUALIFIED, NOR LICENSED, TO CONDUCT DUE DILIGENCE WITH RESPECT TO THE PREMISES OR THE SURROUNDING AREA. BUYER IS INSTRUCTED TO CONSULT WITH QUALIFIED LICENSED PROFESSIONALS TO ASSIST IN BUYER’S DUE DILIGENCE EFFORTS. BECAUSE CONDUCTING DUE DILIGENCE WITH RESPECT TO THE PREMISES AND THE SURROUNDING AREA IS BEYOND THE SCOPE OF BROKER’S EXPERTISE AND LICENSING, BUYER EXPRESSLY RELEASES AND HOLDS HARMLESS BROKER(S) FROM LIABILITY FOR ANY DEFECTS OR CONDITIONS THAT COULD HAVE BEEN DISCOVERED BY INSPECTION OR INVESTIGATION. (BUYER’S INITIALS REQUIRED)

BUYER

Inspection Period Notice: Prior to expiration of the Inspection Period, Buyer shall deliver to Seller a signed notice of any items disapproved. AAR’s Buyer’s Inspection Notice and Seller’s Response form is available for this purpose. Buyer shall conduct all desired inspections and investigations prior to delivering such notice to Seller and all Inspection Period items disapproved shall be provided in a single notice.

6j. 264. Buyer Disapproval: If Buyer, in Buyer’s sole discretion, disapproves of items as allowed herein, Buyer shall deliver to Seller a 265. signed notice of the items disapproved and state in the notice that Buyer elects to either: 266. (1) Immediately cancel this Contract, in which case: 267.

(a) If Buyer’s notice specifies disapproval of items as allowed herein, the Earnest Money shall be released to Buyer.

268. 269. 270. 271. 272.

(b) If Buyer’s notice fails to specify items disapproved as allowed herein, the cancellation will remain in effect but Buyer has failed to comply with a provision of this Contract and Seller may deliver to Buyer a cure notice as required by Section 7a. If Buyer fails to cure their non-compliance within three (3) days after delivery of such notice, Buyer shall be in breach and Seller shall be entitled to the Earnest Money. If, prior to expiration of the Cure Period, Buyer delivers notice specifying items disapproved as allowed herein, Buyer shall be entitled to a return of the Earnest Money.

275. 276. 277.

(a) Seller shall respond in writing within five (5) days or days after delivery to Seller of Buyer’s notice of items disapproved. Seller’s failure to respond to Buyer in writing within the specified time period shall conclusively be deemed Seller’s refusal to correct any of the items disapproved.

278. 279. 280.

(b) If Seller agrees in writing to correct items disapproved, Seller shall correct the items, complete any repairs in a workmanlike manner and deliver any paid receipts evidencing the corrections and repairs to Buyer three (3) days or days prior to the COE Date.

281. 282. 283. 284.

(c) If Seller is unwilling or unable to correct any of the items disapproved, Buyer may cancel this Contract within five (5) days after delivery of Seller’s response or after expiration of the time for Seller’s response, whichever occurs first, and the Earnest Money shall be released to Buyer. If Buyer does not cancel this Contract within the five (5) days as provided, Buyer shall close escrow without correction of those items that Seller has not agreed in writing to correct.

273. OR 274. (2) Provide Seller an opportunity to correct the items disapproved, in which case:

285. VERBAL DISCUSSIONS WILL NOT EXTEND THESE TIME PERIODS. Only a written agreement signed by both parties will extend 286. response times or cancellation rights. 287. BUYER’S FAILURE TO GIVE NOTICE OF DISAPPROVAL OF ITEMS OR CANCELLATION OF THIS CONTRACT WITHIN 288. THE SPECIFIED TIME PERIOD SHALL CONCLUSIVELY BE DEEMED BUYER’S ELECTION TO PROCEED WITH THE 289. TRANSACTION WITHOUT CORRECTION OF ANY DISAPPROVED ITEMS. Residential Resale Real Estate Purchase Contract • Updated: February 2020 Copyright © 2020 Arizona Association of REALTORS®. All rights reserved. Page 6 of 10

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 7 of 10

Residential Resale Real Estate Purchase Contract

6k. 290. Home Warranty Plan: Buyer and Seller are advised to investigate the various home warranty plans available for purchase. The 291. parties acknowledge that different home warranty plans have different coverage options, exclusions, limitations, service fees and 292. most plans exclude pre-existing conditions. 293.

A Home Warranty Plan will be ordered by Buyer or Seller with the following optional coverage , to be issued by at a cost 294. , to be paid for by 295. not to exceed $ Buyer Seller Split evenly between Buyer and Seller 296. Buyer declines the purchase of a Home Warranty Plan. 297. 6l. 298. 299. 300. 301.

(BUYER’S INITIALS REQUIRED)

BUYER

Walkthrough(s): Seller grants Buyer and Buyer’s inspector(s) reasonable access to conduct walkthrough(s) of the Premises for the purpose of satisfying Buyer that any corrections or repairs agreed to by Seller have been completed, and the Premises are in substantially the same condition as of the date of Contract acceptance. If Buyer does not conduct such walkthrough(s), Buyer releases Seller and Broker(s) from liability for any defects that could have been discovered.

6m. 302. Seller’s Responsibility Regarding Inspections and Walkthrough(s): Seller shall make the Premises available for all inspections 303. and walkthrough(s) upon reasonable notice by Buyer. Seller shall, at Seller’s expense, have all utilities on, including any propane, 304. until COE to enable Buyer to conduct these inspections and walkthrough(s). 6n. 305. 306. 307. 308. 309.

IRS and FIRPTA Reporting: The Foreign Investment in Real Property Tax Act (“FIRPTA”) provides that, if a seller is a Foreign Person, a buyer of residential real property must withhold federal income taxes up to 15% of the purchase price, unless an exception applies. If FIRPTA is applicable and Buyer fails to withhold, Buyer may be held liable for the tax. Buyer agrees to perform any acts reasonable or necessary to comply with FIRPTA and IRS reporting requirements and Buyer is responsible for obtaining independent legal and tax advice.

7. REMEDIES 7a. 310. 311. 312. 313. 314.

Cure Period: A party shall have an opportunity to cure a potential breach of this Contract. If a party fails to comply with any provision of this Contract, the other party shall deliver a notice to the non-complying party specifying the non-compliance. If the non-compliance is not cured within three (3) days after delivery of such notice (“Cure Period”), the failure to comply shall become a breach of Contract. If Escrow Company or recorder’s office is closed on the last day of the Cure Period, and COE must occur to cure a potential breach, COE shall occur on the next day that both are open for business.

7b. 315. 316. 317. 318. 319. 320. 321. 322. 323. 324.

Breach: In the event of a breach of Contract, the non-breaching party may cancel this Contract and/or proceed against the breaching party in any claim or remedy that the non-breaching party may have in law or equity, subject to the Alternative Dispute Resolution obligations set forth herein. In the case of Seller, because it would be difficult to fix actual damages in the event of Buyer’s breach, the Earnest Money may be deemed a reasonable estimate of damages and Seller may, at Seller’s option, accept the Earnest Money as Seller’s sole right to damages; and in the event of Buyer’s breach arising from Buyer’s failure to deliver the notice required by Section 2b, or Buyer’s inability to obtain loan approval due to the waiver of the appraisal contingency pursuant to Section 2l, Seller shall exercise this option and accept the Earnest Money as Seller’s sole right to damages. An unfulfilled contingency is not a breach of Contract. The parties expressly agree that the failure of any party to comply with the terms and conditions of Section 1d to allow COE to occur on the COE Date, if not cured after a cure notice is delivered pursuant to Section 7a, will constitute a material breach of this Contract, rendering the Contract subject to cancellation.

7c. 325. 326. 327. 328. 329. 330. 331. 332. 333.

Alternative Dispute Resolution (“ADR”): Buyer and Seller agree to mediate any dispute or claim arising out of or relating to this Contract in accordance with the REALTORS® Dispute Resolution System, or as otherwise agreed. All mediation costs shall be paid equally by the parties. In the event that mediation does not resolve all disputes or claims, the unresolved disputes or claims shall be submitted for binding arbitration. In such event, the parties shall agree upon an arbitrator and cooperate in the scheduling of an arbitration hearing. If the parties are unable to agree on an arbitrator, the dispute shall be submitted to the American Arbitration Association (“AAA”) in accordance with the AAA Arbitration Rules for the Real Estate Industry. The decision of the arbitrator shall be final and nonappealable. Judgment on the award rendered by the arbitrator may be entered in any court of competent jurisdiction. Notwithstanding the foregoing, either party may opt out of binding arbitration within thirty (30) days after the conclusion of the mediation conference by notice to the other and, in such event, either party shall have the right to resort to court action.

7d. 334. 335. 336. 337. 338. 339. 340.

Exclusions from ADR: The following matters are excluded from the requirement for ADR hereunder: (i) any action brought in the Small Claims Division of an Arizona Justice Court (up to $3,500) so long as the matter is not thereafter transferred or removed from the small claims division; (ii) judicial or nonjudicial foreclosure or other action or proceeding to enforce a deed of trust, mortgage, or agreement for sale; (iii) an unlawful entry or detainer action; (iv) the filing or enforcement of a mechanic’s lien; or (v) any matter that is within the jurisdiction of a probate court. Further, the filing of a judicial action to enable the recording of a notice of pending action (“lis pendens”), or order of attachment, receivership, injunction, or other provisional remedies shall not constitute a waiver of the obligation to submit the claim to ADR, nor shall such action constitute a breach of the duty to mediate or arbitrate.

7e. 341. Attorney Fees and Costs: The prevailing party in any dispute or claim between Buyer and Seller arising out of or relating to this 342. Contract shall be awarded their reasonable attorney fees and costs. Costs shall include, without limitation, attorney fees, expert 343. witness fees, fees paid to investigators, and arbitration costs.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 8 of 10

Residential Resale Real Estate Purchase Contract

8. ADDITIONAL TERMS AND CONDITIONS 8a. 344. 345. 346. 347. 348. 349. 350. 351. 352. 353. 354. 355. 356. 357. 358. 359. 360. 361. 362. 363. 364. 365. 366. 367. 368. 369. 370. 371. 372. 373. 374. 375. 376. 377. 378. 379. 380. 381. 382. 383. 384. 385. 386. 387. 388. 389.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 9 of 10

Residential Resale Real Estate Purchase Contract 8b. 390. 391. 392. 393.

Risk of Loss: If there is any loss or damage to the Premises between the date of Contract acceptance and COE or possession, whichever is earlier, by reason of fire, vandalism, flood, earthquake, or act of God, the risk of loss shall be on Seller, provided, however, that if the cost of repairing such loss or damage would exceed ten percent (10%) of the purchase price, either Seller or Buyer may elect to cancel the Contract.

8c. 394. Permission: Buyer and Seller grant Broker(s) permission to advise the public of this Contract. 8d. 395. Arizona Law: This Contract shall be governed by Arizona law and jurisdiction is exclusively conferred on the State of Arizona. 8e. 396. Time is of the Essence: The parties acknowledge that time is of the essence in the performance of the obligations described 397. herein. 8f. 398. 399. 400. 401. 402. 403.

Compensation: Seller and Buyer acknowledge that Broker(s) shall be compensated for services rendered as previously agreed by separate written agreement(s), which shall be delivered by Broker(s) to Escrow Company for payment at COE, if not previously paid. If Seller is obligated to pay Broker(s), this Contract shall constitute an irrevocable assignment of Seller’s proceeds at COE. If Buyer is obligated to pay Broker(s), payment shall be collected from Buyer as a condition of COE. COMMISSIONS PAYABLE FOR THE SALE, LEASING, OR MANAGEMENT OF PROPERTY ARE NOT SET BY ANY BOARD OR ASSOCIATION OF REALTORS®, OR MULTIPLE LISTING SERVICE, OR IN ANY MANNER OTHER THAN BETWEEN BROKER AND CLIENT.

8g. 404. 405. 406. 407. 408.

Copies and Counterparts: A fully executed facsimile or electronic copy of the Contract shall be treated as an original Contract. This Contract and any other documents required by this Contract may be executed by facsimile or other electronic means and in any number of counterparts, which shall become effective upon delivery as provided for herein, except that the Disclosure of Information on Lead-Based Paint and Lead-Based Paint Hazards may not be signed in counterpart. All counterparts shall be deemed to constitute one instrument, and each counterpart shall be deemed an original.

8h. 409. Days: All references to days in this Contract shall be construed as calendar days and a day shall begin at 12:00 a.m. and 410. end at 11:59 p.m. 8i. 411. 412. 413. 414. 415.

Calculating Time Periods: In computing any time period prescribed or allowed by this Contract, the day of the act or event from which the time period begins to run is not included and the last day of the time period is included. Contract acceptance occurs on the date that the signed Contract (and any incorporated counter offer) is delivered to and received by the appropriate Broker. Acts that must be performed three (3) days prior to the COE Date must be performed three (3) full days prior (i.e. – if the COE Date is Friday the act must be performed by 11:59 p.m. on Monday).

8j. 416. Entire Agreement: This Contract, and any addenda and attachments, shall constitute the entire agreement between Seller and 417. Buyer, shall supersede any other written or oral agreements between Seller and Buyer and can be modified only by a writing signed 418. by Seller and Buyer. The failure to initial any page of this Contract shall not affect the validity or terms of this Contract. 8k. 419. Subsequent Offers: Buyer acknowledges that Seller has the right to accept subsequent offers until COE. Seller understands that 420. any subsequent offer accepted by Seller must be a backup offer contingent on the cancellation of this Contract. 8l. 421. Cancellation: A party who wishes to exercise the right of cancellation as allowed herein may cancel this Contract by delivering 422. notice stating the reason for cancellation to the other party or to Escrow Company. Cancellation shall become effective immediately 423. upon delivery of the cancellation notice. 8m. 424. 425. 426. 427.

Notice: Unless otherwise provided, delivery of all notices and documentation required or permitted hereunder shall be in writing and deemed delivered and received when: (i) hand-delivered; (ii) sent via facsimile transmission; (iii) sent via electronic mail, if email addresses are provided herein; or (iv) sent by recognized overnight courier service, and addressed to Buyer as indicated in Section 8q, to Seller as indicated in Section 9a and to Escrow Company indicated in Section 3a.

8n. 428. 429. 430. 431. 432. 433.

Release of Broker(s): Seller and Buyer hereby expressly release, hold harmless and indemnify Broker(s) in this transaction from any and all liability and responsibility regarding financing, the condition, square footage, lot lines, boundaries, value, rent rolls, environmental problems, sanitation systems, roof, wood infestation, building codes, governmental regulations, insurance, price and terms of sale, return on investment or any other matter relating to the value or condition of the Premises. The parties understand and agree that Broker(s) do not provide advice on property as an investment and are not qualified to provide financial, legal, or tax advice regarding this real estate transaction.

434. (SELLER’S INITIALS REQUIRED)

8o. 435. 436. 437. 438. 439.

SELLER

(BUYER’S INITIALS REQUIRED)

BUYER

Terms of Acceptance: This offer will become a binding Contract when acceptance is signed by Seller and a signed copy delivered in person, by mail, facsimile or electronically, and received by Broker named in Section 8q by , at a.m./p.m., Mountain Standard Time. Buyer may withdraw this offer at any time prior to receipt of Seller’s signed acceptance. If no signed acceptance is received by this date and time, this offer shall be deemed withdrawn and Buyer’s Earnest Money shall be returned.

8p. 440. THIS CONTRACT CONTAINS TEN (10) PAGES EXCLUSIVE OF ANY ADDENDA AND ATTACHMENTS. PLEASE ENSURE 441. THAT YOU HAVE RECEIVED AND READ ALL TEN (10) PAGES OF THIS OFFER AS WELL AS ANY ADDENDA AND 442. ATTACHMENTS.

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Page 10 of 10

Residential Resale Real Estate Purchase Contract

8q. 443. Broker on behalf of Buyer: 444. 445. 446. 447. 448.

PRINT AGENT’S NAME

AGENT MLS CODE

AGENT STATE LICENSE NO.

PRINT AGENT’S NAME

AGENT MLS CODE

AGENT STATE LICENSE NO.

PRINT FIRM NAME

FIRM MLS CODE

FIRM ADDRESS

PREFERRED TELEPHONE

STATE

FAX

ZIP CODE

FIRM STATE LICENSE NO.

8r. 449. Agency Confirmation: Broker named in Section 8q above is the agent of (check one): 450. Buyer; Seller; or both Buyer and Seller 8s. 451. The undersigned agree to purchase the Premises on the terms and conditions herein stated and acknowledge receipt of 452. a copy hereof including the Buyer Attachment. 453. 454. 455. 456.

^ BUYER’S SIGNATURE

MO/DA/YR

^ BUYER’S NAME PRINTED

^ BUYER’S SIGNATURE

ADDRESS

MO/DA/YR

^ BUYER’S NAME PRINTED

ADDRESS

CITY, STATE, ZIP CODE

9. SELLER ACCEPTANCE 9a. 457. Broker on behalf of Seller: 458. 459. 460. 461. 462.

PRINT AGENT’S NAME

AGENT MLS CODE

AGENT STATE LICENSE NO.

PRINT AGENT’S NAME

AGENT MLS CODE

AGENT STATE LICENSE NO.

PRINT FIRM NAME

FIRM MLS CODE

FIRM ADDRESS

PREFERRED TELEPHONE

STATE

ZIP CODE

FAX

FIRM STATE LICENSE NO.

9b. 463. Agency Confirmation: Broker named in Section 9a above is the agent of (check one): 464. Seller; or both Buyer and Seller 9c. 465. The undersigned agree to sell the Premises on the terms and conditions herein stated, acknowledge receipt of a 466. copy hereof and grant permission to Broker named in Section 9a to deliver a copy to Buyer. 467. 468. 469. 470. 471. 472. 473.

Counter Offer is attached, and is incorporated herein by reference. Seller must sign and deliver both this offer and the Counter Offer. If there is a conflict between this offer and the Counter Offer, the provisions of the Counter Offer shall be controlling. ^ SELLER’S SIGNATURE

MO/DA/YR

^ SELLER’S SIGNATURE

^ SELLER’S NAME PRINTED

MO/DA/YR

^ SELLER’S NAME PRINTED

ADDRESS

CITY, STATE, ZIP CODE

ADDRESS

CITY, STATE, ZIP CODE

OFFER REJECTED BY SELLER:

MONTH

DAY

, 20

YEAR

(SELLER’S INITIALS)

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

RESIDENTIAL SELLER DISCLOSURE ADVISORY

Document updated: October 2017

WHEN IN DOUBT – DISCLOSE! Arizona law requires the seller to disclose material (important) facts about the property, even if you are not asked by the buyer or a real estate agent. These disclosure obligations remain even if you and the buyer agree that no Seller’s Property Disclosure Statement (“SPDS”) will be provided. The SPDS is designed to assist you, the seller, in making these legally required disclosures and to avoid inadvertent nondisclosures of material facts. To satisfy your disclosure obligations and protect yourself against alleged nondisclosure, you should complete the SPDS by answering all questions as truthfully and as thoroughly as possible. Attach copies of any available invoices, warranties, and leases, to insure that you are disclosing accurate information. Use the blank lines to explain your answers. If you do not have the personal knowledge to answer a questions, it is important not to guess – use the blank lines to explain the situation. If the buyer asks you about an aspect of the property, you have a duty to disclose the information, even if you do not consider the information material.* You also have a legal duty to disclose facts when disclosure is necessary to prevent a previous statement from being misleading or misrepresented: for example, if something changes. If you do not make the legally required disclosures, you may be subject to civil liability. Under certain circumstances, nondisclosure of a fact is the same as saying that the fact does not exist. Therefore, nondisclosure may be given the same legal effect as fraud. If you are using the Arizona Association of REALTORS® (“AAR”) Residential Resale Real Estate Purchase Contract, the seller is required to deliver “a completed AAR Residential SPDS form to the Buyer within three (3) days after Contract acceptance.” If the Seller does not provide the SPDS as the Contract requires, the Seller is potentially in breach of the Contract, thereby enabling the Buyer to cancel the transaction and receive the earnest money deposit.

* By law, sellers are not obligated to disclose that the property is or has been: (1) a site of a natural death, suicide, homicide, or any other crime classified as a felony; (2) owned or occupied by a person exposed to HIV, or diagnosed as having AIDS or any other disease not known to be transmitted through common occupancy of real estate; or (3) located in the vicinity of a sex offender. However, the law does not protect a seller who makes an intentional misrepresentation. For example, if you are asked whether there has been a death on the property and you know that there was such a death, you should not answer “no” or “I don’t know.” Instead you should either answer truthfully or respond that you are not legally required to answer the question.

Phone:

Fax: Produced with zipForm® by zipLogix, 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

RESIDENTIAL SELLER’S PROPERTY

DISCLOSURE STATEMENT (SPDS) (To be completed by Seller)

Document updated: October 2017

MESSAGE TO THE SELLER: Sellers are obligated by law to disclose all known material (important) facts about the Property to the Buyer. The SPDS is designed to assist you in making these disclosures. If you know something important about the Property that is not addressed on the SPDS, add that information to the form. Prospective Buyers may rely on the information you provide. INSTRUCTIONS: (1) Complete this form yourself. (2) Answer all questions truthfully and as fully as possible. (3) Attach all available supporting documentation. (4) Use explanation lines as necessary. (5) If you do not have the personal knowledge to answer a question, use the explanation lines to explain. By signing on page 7, you acknowledge that the failure to disclose known material information about the Property may result in liability. MESSAGE TO THE BUYER: Although Sellers are obligated to disclose all known material (important) facts about the Property, there are likely facts about the Property that the Sellers do not know. Therefore, it is important that you take an active role in obtaining information about the Property. INSTRUCTIONS: (1) Review this form and any attachments carefully. (2) Verify all important information. (3) Ask about any incomplete or inadequate responses. (4) Inquire about any concerns not addressed on the SPDS. (5) Review all other applicable documents, such as CC&R’s, association bylaws, surveys, rules, and the title report or commitment. (6) Obtain professional inspections of the Property. (7) Investigate the surrounding area. THE FOLLOWING ARE REPRESENTATIONS OF THE SELLER(S) AND ARE NOT VERIFIED BY THE BROKER(S) OR AGENT(S). PROPERTY AND OWNERSHIP 1. As used herein, “Property” shall mean the real property and all fixtures and improvements thereon and appurtenances incidental thereto, 2. plus fixtures and personal property described in the Contract. 3. PROPERTY ADDRESS: (STREET ADDRESS)

4. 5. 6. 7.

(CITY)

(STATE)

(ZIP)

Does the property include any leased land? Yes No Explain: Is the Property located in an unincorporated area of the county? Yes No If yes, and five or fewer parcels of land other than subdivided land are being transferred, the Seller must furnish the Buyer with a written Affidavit of Disclosure in the form required by law.

8. LEGAL OWNER(S) OF PROPERTY:

Date Purchased:

9. The Property is currently: Owner-occupied Leased Estate Foreclosure Vacant If vacant, how long? 10. If a rental property, how long? Expiration date of current lease: (Attach a copy of the lease if available.) 11. If any refundable deposits or prepaid rents are being held, by whom and how much? Explain: 12. 13. Is the legal owner(s) of the Property a foreign person pursuant to the Foreign Investment in Real Property Tax Act (FIRPTA)? 14. Yes No If yes, consult a tax advisor; mandatory withholding may apply. 15. Is the Property located in a community defined by the fair housing laws as housing for older persons? Yes No 16. Explain: 17. Approximate year built: . If Property was built prior to 1978, Seller must furnish the Buyer with a lead-based paint disclosure form. 18. 19. 20.

NOTICE TO BUYER: If the Property is in a subdivision, a subdivision public report, which contains a variety of information about the subdivision at the time the subdivision was approved, may be available by contacting the Arizona Department of Real Estate or the homebuilder. The public report information may be outdated. www.azre.gov.

Initials> BUYER

Page 1 of 7

Phone:

Fax: Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

BUYER

Residential Seller’s Property Disclosure Statement (SPDS) YES

21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 58.

Have you entered into any agreement to transfer your interest in the Property in any way, including rental renewals or options to purchase? Explain: Are you aware if there are any association(s) governing the Property? If yes, provide contact(s) information: Name: Phone #: Name: Phone #: If yes, are there any fees? How much? $ How often? How much? $ How often? Are you aware of any association fees payable upon transfer of the Property? Explain: Are you aware of any proposed or existing association assessment(s)? Explain: Are you aware of any pending or anticipated disputes or litigation regarding the Property or the association(s)? Explain: Are you aware of any of the following recorded against the Property? (Check all that apply): Judgment liens Tax liens Other non-consensual liens Explain: Are you aware of any assessments affecting this Property? (Check all that apply): Paving Sewer Water Electric Other Explain: Are you aware of any title issues affecting this Property? (Check all that apply): Recorded easements Use restrictions Lot line disputes Encroachments Unrecorded easements Use permits Other Explain: Are you aware if the Property is located within the boundaries of a Community Facilities District (CFD)? If yes, provide the name of the CFD: Are you aware of any public or private use paths or roadways on or across the Property? Explain: Are you aware of any problems with legal or physical access to the Property? Explain: The road/street access to the Property is maintained by the County City Homeowners’ Association Privately If privately maintained, is there a recorded road maintenance agreement? Explain: Are you aware of any violation(s) of any of the following? (Check all that apply): Zoning Building Codes Utility Service Sanitary health regulations Covenants, Conditions, Restrictions (CC&R’s) Other (Attach a copy of notice(s) of violation if available.) Explain: Are you aware of any homeowner’s insurance claims having been filed against the Property? Explain:

59. 60. 61.

NOTICE TO BUYER: Your claims history, your credit report, the Property’s claims history and other factors may affect the insurability of the Property and at what cost. Under Arizona law, your insurance company may cancel your homeowner’s insurance within 60 days after the effective date. Contact your insurance company. BUILDING AND SAFETY INFORMATION

62. YES 63.

ROOF / STRUCTURAL: NOTICE TO BUYER: Contact a professional to verify the condition of the roof.

64. 65. 66. 67.

Are you aware of any past or present roof leaks? Explain: Are you aware of any other past or present roof problems? Explain: >> Residential Seller’s Property Disclosure Statement (SPDS) Updated: October 2017 • Copyright © 2017 Arizona Association of REALTORS®. All rights reserved.

Initials> BUYER

Page 2 of 7 Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

BUYER

Residential Seller’s Property Disclosure Statement (SPDS) >> YES NO 68. Are you aware of any roof repairs? Explain: 69. Is there a roof warranty? (Attach a copy of warranty if available.) 70. 71. If yes, is the roof warranty transferable? Cost to transfer 72. Are you aware of any interior wall/ceiling/door/window/floor problems? Explain: 73. 74. Are you aware of any cracks or settling involving the foundation, exterior walls or slab? Explain: 75. 76. Are you aware of any chimney or fireplace problems, if applicable? Explain: 77. Are you aware of any damage to any structure on the Property by any of the following? (Check all that apply): 78. Fire Wind Expansive soil(s) Water Hail Other Flood 79. Explain: 80. 81. 82. 83. 84. 85. 86. 87. 88. 89. 90. 91. 92.

WOOD INFESTATION: Are you aware of any of the following: Past presence of termites or other wood destroying organisms on the Property? Current presence of termites or other wood destroying organisms on the Property? Past or present damage to the Property by termites or other wood destroying organisms? Explain: Are you aware of past or present treatment(s) of the Property for termites or other wood destroying organisms? If yes, date last treatment was performed: Name of treatment provider(s): Is there a treatment warranty? (Attach a copy of warranty if available.) If yes, is the treatment warranty transferable?

93. 94.

NOTICE TO BUYER: Contact Office of Pest Management for past termite reports or treatment history.

95. 96. 97. 98. 99. 100. 101.

HEATING & COOLING: Heating: Type(s) Approximate Age(s) Cooling: Type(s) Approximate Age(s) Are you aware of any past or present problems with the heating or cooling system(s)? Explain:

102. 103. 104. 105. 106. 107. 108. 109. 110. 111. 112. 113. 114. 115. 116. 117. 118.

PLUMBING: Are you aware of the type of water pipes, such as galvanized, copper, PVC, CPVC or polybutylene? If yes, identify: Are you aware of any past or present plumbing problems? Explain: Are you aware of any water pressure problems? Explain: Type of water heater(s): Gas Electric Solar Approx. age(s): Are you aware of any past or present water heater problems? Explain: Is there a landscape watering system? If yes, type: automatic timer manual If yes, are you aware of any past or present problems with the landscape watering system? Explain: Are there any water treatment systems? (Check all that apply): water filtration reverse osmosis water softener Other Is water treatment system(s) owned leased (Attach a copy of lease if available.) Are you aware of any past or present problems with the water treatment system(s)? Explain:

both

Initials> BUYER

Page 3 of 7 Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

BUYER

Residential Seller’s Property Disclosure Statement (SPDS) YES

119. 120. 121. 122. 123. 124.

SWIMMING POOL/SPA/HOT TUB/SAUNA/WATER FEATURE: Does the Property contain any of the following? (Check all that apply): Swimming pool Spa Hot tub Sauna Water feature If yes, are either of the following heated? Swimming pool Spa If yes, type of heat: Are you aware of any past or present problems relating to the swimming pool, spa, hot tub, sauna or water feature? Explain:

125. 126. 127. 128. 129. 130. 131. 132. 133. 134. 135.

ELECTRICAL AND OTHER RELATED SYSTEMS: Are you aware of any past or present problems with the electrical system? Explain:

136. 137. 138. 139. 140. 141. 142. 143. 144. 145. 146. 147. 148. 149. 150. 151. 152. 153. 154. 155. 156. 157. 158. 159. 160. 161.

MISCELLANEOUS: Are you aware of any animals/pets that have resided in the Property? If yes, what kind:

Is there a security system? If yes, is it (Check all that apply): Leased (Attach copy of lease if available.) Owned Monitored Are you aware of any past or present problems with the security system? Explain:

Other

Does the Property contain any of the following systems or detectors?(Check all that apply): Smoke/fire detection Fire suppression (sprinklers) Carbon monoxide detector If yes, are you aware of any past or present problems with the above systems? Explain:

Are you aware of or have you observed any of the following on the Property? (Check all that apply): Bed Bugs Scorpions Rabid animals Bee swarms Rodents Reptiles Other: Explain: Has the Property been serviced or treated for pests, reptiles, insects, birds or animals? If yes, how often: Name of service provider(s): Date of last service: Are you aware of any work done on the Property, such as building, plumbing, electrical or other improvements or alterations or room conversions? (If no, skip to line 156.) Explain:

Were permits for the work required? Explain: If yes, were permits for the work obtained? Explain: Was the work performed by a person licensed to perform the work? Explain: Was approval for the work required by any association governing the property? Explain: If yes, was approval granted by the association? Explain: Was the work completed? Explain: Are there any security bars or other obstructions to door or window openings? Explain: Are you aware of any past or present problems with any built-in appliances? Explain: Are there any leased propane tanks, equipment or other systems on the Property? (Attach a copy of lease if available.) Explain:

Initials> BUYER

Page 4 of 7 Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

BUYER

Residential Seller’s Property Disclosure Statement (SPDS)

UTILITIES 162.

DOES THE PROPERTY CURRENTLY RECEIVE THE FOLLOWING SERVICES? YES NO

163. 164. 165. 166. 167. 168. 169. 170. 171. 172. 173. 174.

PROVIDER

Electricity: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Fuel: Natural gas Propane Oil . . . . . . . . . . . . . Cable / Satellite: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Internet: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Telephone: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Garbage Collection: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Fire: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Irrigation: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Water Source: Public Private water co. Hauled water . . . . . . . Private well Shared well If water source is a private or shared well, complete and attach Domestic Water Well/Water Use Addendum.

175. 176. 177.

NOTICE TO BUYER: If the Property is served by a well, private water company or a municipal water provider, the Arizona Department of Water Resources may not have made a water supply determination. For more information about water supply, or any of the above services, contact the provider. Are you aware of any past or present drinking water problems? Explain:

178. 179. 180. 181. 182. 183. 184. 185. 186. 187. 188. 189.

U.S. Postal Service delivery is available at: Property Cluster Mailbox Post Office Are there any alternate power systems serving the Property? (If no, skip to line 190.) If yes, indicate type (Check all that apply): Solar Wind Generator Other Are you aware of any past or present problems with the alternate power system(s)? Explain:

Other

Are any alternate power systems serving the Property leased? Explain: If yes, provide name and phone number of the leasing company (Attach copy of lease if available):

190. 191.

NOTICE TO BUYER: If the Property is served by a solar system, Buyer is advised to read all pertinent documents and review the cost, insurability, operation, and value of the system, among other items. ENVIRONMENTAL INFORMATION YES

192. 193. 194. 195. 196. 197. 198.

Are you aware of any past or present issues or problems with any of the following on the Property? (Check all that apply): Soil settlement/expansion Drainage/grade Erosion Fissures Dampness/moisture Other Explain: Are you aware of any past or present issues or problems in close proximity to the Property related to any of the following? (Check all that apply): Soil settlement/expansion Drainage/grade Erosion Fissures Other Explain:

199. 200. 201. 202. 203. 204. 205. 206.

NOTICE TO BUYER: The Arizona Department of Real Estate provides earth fissure maps to any member of the public in printed or electronic format upon request and on its website at www.azre.gov. Are you aware if the Property is subject to any present or proposed effects of any of the following? (Check all that apply): Airport noise Traffic noise Rail line noise Neighborhood noise Landfill Toxic waste disposal Odors Nuisances Sand/gravel operations Other Explain: Are you aware if any portion of the Property has ever been used as a "Clandestine drug laboratory" (manufacture of, or storage of, chemicals or equipment used in manufacturing methamphetamine, ecstasy or LSD)? >> Residential Seller’s Property Disclosure Statement (SPDS) Updated: October 2017 All rights reserved.

•

Initials> BUYER

Page 5 of 7 Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

BUYER

Residential Seller’s Property Disclosure Statement (SPDS) YES

207. 208.

Are you aware if the Property is located in the vicinity of a public or private airport? Explain:

209. 210. 211. 212. 213.

NOTICE TO SELLER AND BUYER: Pursuant to Arizona law a Seller shall provide a written disclosure to the Buyer if the Property is located in territory in the vicinity of a military airport or ancillary military facility as delineated on a map prepared by the State Land Department. The Department of Real Estate also is obligated to record a document at the County Recorder’s Office disclosing if the Property is under restricted air space and to maintain the State Land Department Military Airport Map on its website at www.azre.gov.

214. 215. 216. 217. 218. 219. 220. 221. 222. 223. 224.

Is the Property located in the vicinity of a military airport or ancillary military facility? Explain: Are you aware of the presence of any of the following on the Property, past or present? (Check all that apply): Asbestos Radon gas Lead-based paint Pesticides Underground storage tanks Fuel/chemical storage Explain: Are you aware if the Property is located within or subject to any of the following ordinances? (Check all that apply): Superfund / WQARF / CERCLA Wetlands area Natural Area Open Spaces Are you aware of any open mine shafts/tunnels or abandoned wells on the Property? If yes, describe location: Are you aware if any portion of the Property is in a flood plain/way? Explain:

225. 226. 227. 228. 229. 230. 231. 232. 233. 234. 235. 236. 237. 238.

NOTICE TO BUYER: Your mortgage lender [may] [will] require you to purchase flood insurance in connection with your purchase of this property. The National Flood Insurance Program provides for the availability of flood insurance and establishes flood insurance policy premiums based on the risk of flooding in the area where properties are located. Recent changes to federal law (The Biggert-Waters Flood Insurance Reform Act of 2012 and the Homeowner Flood Insurance Affordability Act of 2014, in particular) will result in changes to flood insurance premiums that are likely to be higher, and in the future may be substantially higher, than premiums paid for flood insurance prior to or at the time of sale of the property. As a result, purchasers of property should not rely on the premiums paid for flood insurance on this property previously as an indication of the premiums that will apply after completion of the purchase. In considering purchase of this property you should consult with one or more carriers of flood insurance for a better understanding of flood insurance coverage, current and anticipated future flood insurance premiums, whether the prior owner’s policy may be assumed by a subsequent purchaser of the property, and other matters related to the purchase of flood insurance for the property. You may also wish to contact the Federal Emergency Management Agency (FEMA) for more information about flood insurance as it relates to this property. Are you aware of any portion of the Property ever having been flooded? Explain:

239. 240. 241. 242. 243. 244.

Are you aware of any water damage or water leaks of any kind on the Property? Explain: Are you aware of any past or present mold growth on the Property? If yes, explain:

SEWER/WASTEWATER TREATMENT YES NO 245. Is the entire Property connected to a sewer? 246. If no, is a portion of the Property connected to a sewer? Explain: 247. 248. If the entire Property or a portion of the Property is connected to a sewer, has a professional verified the sewer connection? If yes, how and when: 249. 250.

NOTICE TO BUYER: Contact a professional to conduct a sewer verification test.

251. 252.

Type of sewer: Public Name of Provider:

Private

Planned and approved sewer system, but not connected >>

Initials> BUYER

Page 6 of 7 Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

BUYER

Residential Seller’s Property Disclosure Statement (SPDS) YES

253. 254. 255. 256. 257. 258. 259. 260. 261. 262. 263. 264.

Are you aware of any past or present problems with the sewer? Explain: Is the Property served by an On-Site Wastewater Treatment Facility? (If no, skip to line 267.) If yes, the Facility is: Conventional septic system Alternative system; type: If the Facility is an alternative system, is it currently being serviced under a maintenance contract? If yes, name of contractor: Phone #: Approximate year Facility installed: (Attach copy of permit if available.) Are you aware of any repairs or alterations made to this Facility since original installation? Explain: Approximate date of last Facility inspection and/or pumping of septic tank: Are you aware of any past or present problems with the Facility? Explain:

265. 266.

NOTICE TO SELLER AND BUYER: The Arizona Department of Environmental Quality requires a Pre-Transfer Inspection of On-Site Wastewater Treatment Facilities on re-sale properties.

OTHER CONDITIONS AND FACTORS 267. What other material (important) information are you aware of concerning the Property that might affect the buyer’s decision-making 268. process, the value of the Property, or its use? Explain: 269. ADDITIONAL EXPLANATIONS 270. 271. 272. 273. 274. 275. 276. 277. 278. 279. 280. 281. 282. 283. 284.

SELLER CERTIFICATION: Seller certifies that the information contained herein is true and complete to the best of Seller’s knowledge as of the date signed. Seller agrees that any changes in the information contained herein will be disclosed in writing by Seller to Buyer prior to Close of Escrow, including any information that may be revealed by subsequent inspections. Seller acknowledges receipt of Residential Seller Disclosure Advisory titled When in Doubt — Disclose. SELLER’S SIGNATURE

285. Reviewed and updated: 286. 287. 288. 289.

MO/DA/YR

Initials:

SELLER

SELLER’S SIGNATURE

MO/DA/YR

BUYER’S ACKNOWLEDGMENT: Buyer acknowledges that the information contained herein is based only on the Seller’s actual knowledge and is not a warranty of any kind. Buyer acknowledges Buyer’s obligation to investigate any material (important) facts in regard to the Property. Buyer is encouraged to obtain Property inspections by professional independent third parties and to consider obtaining a home warranty protection plan.

290. NOTICE: Buyer acknowledges that by law, Sellers, Lessors and Brokers are not obligated to disclose that the Property is or has been: (1) the site 291. of a natural death, suicide, homicide, or any other crime classified as a felony; (2) owned or occupied by a person exposed to HIV, diagnosed as 292. having AIDS or any other disease not known to be transmitted through common occupancy of real estate; or (3) located in the vicinity of a sex offender. 293. By signing below, Buyer acknowledges receipt only of this SPDS. If Buyer disapproves of any items provided herein, Buyer 294. shall deliver to Seller written notice of the items disapproved as provided in the Contract. 295.

BUYER’S SIGNATURE

MO/DA/YR

BUYER’S SIGNATURE

MO/DA/YR

Initials> BUYER

Page 7 of 7 Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

www.zipLogix.com

Tucson, AZ 85712

BUYER

WIRE FRAUD ADVISORY Criminals are targeting social media and email to steal information. This is particularly common in real estate transactions because sensitive data, including social security numbers, bank account numbers, and wire instructions are often sent by electronic means. We do not want you to be the next victim of wire fraud. Money wired to a fraudulent account is stolen money that typically cannot be recovered. Additionally, there is generally no insurance for this loss. You may never get the money back.

PROTECT YOURSELF

DO NOT TRUST EMAILS CONTAINING WIRE INSTRUCTIONS • If you receive an email containing wire transfer instructions, immediately call your escrow officer to ensure the validity of the instructions. DO NOT TRUST EMAILS SEEKING PERSONAL/FINANCIAL INFORMATION • If you receive an email requesting personal/financial information or asking you to download, click on a link, send, and/or do anything that may seem unusual to you, call your escrow officer immediately prior to acting on the suspicious email to verify the validity of the email. TRUST YOUR SOURCE OF INFORMATION • Never direct, accept or allow anyone in the transaction to consent to receiving transfer instructions without a direct personal telephone call to the individual allegedly providing the instructions. • It is imperative that this call be made to a number obtained in person from the individual or through other reliable means, not from a number provided in the email or the wiring instructions.

ONLINE RESOURCES: There are many online sources that can provide useful information regarding similar topics including, but not limited to, the following sites: The Federal Bureau of Investigation @ https://www.fbi.gov/scams-and-safety The Internet Crime Complaint Center @ www.ic3.gov The National White Collar Crime Center @ https://www.nw3c.org/services/research/cyber-crime-links On Guard Online @ www.onguardonline.gov Consumer Financial Protection Bureau (CFPB) @ https://www.consumerfinance.gov/ about-us/blog/mortgage-closing-scams-how-protect-yourself-and-your-closing-funds/

VERIFY AND NOTIFY

Before you wire funds to any party (including your lawyer, title agent, mortgage broker, or real estate agent) personally meet them or call a verified telephone number (not the telephone number in the email) to confirm before you act! Immediately notify your banking institution and Settlement/Title Company if you are a victim of wire fraud.

The undersigned acknowledges receipt of this Wire Fraud Advisory.

Name

Signature

Name

Date

Signature

Phone: Produced with zipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026

Lisa Larkin

RE/MAX Select

Date Fax: www.zipLogix.com

Tucson, AZ 85712

ADDITIONAL CLAUSE ADDENDUM

Document updated: June 2021

1. Buyer: 2. Seller: 3. Premises Address: 4. Date:

6. 7. 8.

The following additional terms and conditions are hereby included as a part of the Contract between Seller and Buyer for the above referenced Premises if marked by an “X” and initialed by Buyer and Seller. All terms and conditions of the Contract are hereby included herein and delivery of all notices and documentation shall be deemed delivered and received when sent as required by Section 8m of the Contract.

10. 11. 12. 13. 14. 15. 16.

(BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________

17. 18. 19. 20.

BACK-UP CONTRACT — CONTINGENT UPON CANCELLATION OF PRIOR CONTRACT: Buyer acknowledges that Seller is currently obligated by a prior contract to sell the Premises to another buyer. This is a backup Contract contingent upon cancellation of the prior contract. Seller retains the right to amend, extend, or modify the prior contract. Upon cancellation of the prior contract, Seller shall promptly deliver written notice to Buyer. Upon Buyer’s receipt of written notice of cancellation of the prior contract, Buyer shall open escrow and Buyer shall deposit any required earnest money. The date of Seller’s written notice to Buyer shall be deemed the date of Contract acceptance for purposes of all applicable Contract time periods. Buyer may cancel this backup Contract any time prior to receipt of Seller’s notice of cancellation of prior contract. BUYER

SELLER

SIGNATURE OF ABSENT BUYER SPOUSE OR CO-BUYER: Signing Buyer shall within five (5) days or ________ days of acceptance of this Contract obtain the signature of the absent buyer spouse or co-buyer on this Contract or deliver a disclaimer deed to Escrow Company that eliminates the need for the absent signature. BUYER

BUYER

SELLER

CORPORATE RELOCATION APPROVAL: Seller is in the process of a corporate relocation and this Contract is contingent upon corporate approval. Buyer agrees to cooperate with Seller in providing additional disclosures or executing additional addenda required by corporation, provided that Buyer incurs no additional costs or liability. (BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________

25.

BUYER

26. 27. 28.

SELLER

(BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________

21. 22. 23. 24.

BUYER

29. 30. 31.

BUYER

SELLER

NON-REFUNDABLE EARNEST MONEY: Buyer’s earnest money shall be non-refundable unless Buyer elects to cancel pursuant to the Due Diligence section of the Contract, the Contract is cancelled pursuant to the Risk of Loss provision or escrow fails to close due to Seller’s breach of contract. Buyer acknowledges that Buyer’s earnest money shall be non-refundable even if the Premises fail to appraise for the sales price or the loan contingency is unfulfilled, unless prohibited by Federal Law. (BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________ BUYER

BUYER

SELLER

Page 1 of 3

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

Additional Clause Addendum 32. n 33. 34. 35.

WAIVER OF APPRAISAL: Buyer agrees to waive the appraisal contingency pursuant to the Financing section of the Contract. In the event that the Premises fail to appraise for at least the sales price, Buyer agrees that Buyer’s down payment shall be increased in an amount equal to the difference between the appraised value and the purchase price. (BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________

36.

BUYER

SELLER

42. 43.

APPRAISAL SHORTFALL: In the event the Premises fail to appraise for at least the purchase price in any appraisal required by lender, Buyer agrees that Buyer shall submit additional funds via U.S. currency or financing in an amount equal to the difference between the appraised value and the purchase price, provided that the difference does not exceed $ . Buyer and Seller agree that if the difference between the appraised value and the purchase price exceeds the amount of money set forth on line 40, Seller is not obligated to lower the purchase price and Buyer has five (5) days after notice of the appraised value to cancel this Contract and receive a return of the Earnest Money or the appraisal contingency shall be waived, unless otherwise prohibited by federal law.

44.

(BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________

37. n 38. 39. 40. 41.

BUYER

SELLER

45. 46. 47. 48. 49.

n 50.

ALL CASH SALE APPRAISAL CONTINGENCY: Buyer’s obligation to complete this all cash sale is contingent upon an appraisal of the Premises for at least the purchase price. If the Premises fail to appraise for the purchase price, Buyer has five (5) days after notice of the appraised value, or twenty (20) days after Contract acceptance, whichever occurs first, to cancel this Contract and receive a return of the Earnest Money or the appraisal contingency shall be waived. In all cases, this appraisal contingency shall expire twenty (20) days after Contract acceptance, regardless of whether an appraisal has been ordered or received. Appraisal fee shall be

51.

paid by n Buyer n Seller n Other: ____________________________________________________________ (BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________

52.

BUYER

SELLER

53. n

SURVEY: A survey shall be performed by a licensed surveyor within ________ days after Contract acceptance.

54. 55. 56.

Cost of the survey shall be paid by n Buyer n Seller n Other: _______________________________________. The survey shall be performed in accordance with the Arizona State Board of Technical Registration’s “Arizona Land Boundary Survey Minimum Standards.”

57. 58.

Survey instructions are: n A boundary survey and survey plat showing the corners either verified or monumentation.

59. 60. 61. 62.

63. 64.

n Other survey terms: ___________________________________________________ ___________________________________________________________________

65.

Buyer shall have five (5) days after receipt of results of survey or map to provide notice of disapproval to Seller.

n A survey certified by a licensed surveyor, acceptable to Buyer and the Title Company, in sufficient detail for an American Land Title Association (“ALTA”) Owner’s Policy of Title Insurance with boundary, encroachment or survey exceptions and showing all improvements, utility lines and easements on the Property or within five (5) feet thereof.

(BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________

66.

BUYER

67. n 68. 69. 70. 71. 72. 73.

BUYER

SELLER

TAX-DEFERRED EXCHANGE: n Seller n Buyer intend to enter into a tax-deferred exchange pursuant to I.R.C. §1031 or otherwise. All additional costs in connection with any such tax-deferred exchange shall be borne by the party requesting the exchange. The non-requesting party agrees to cooperate in the tax-deferred exchange provided that the non-requesting party incurs no additional costs and COE is not delayed. The parties are advised to consult a professional tax advisor regarding the advisability of any such exchange. The nonrequesting party and Broker(s) shall be indemnified and held harmless from any liability that may arise from participation in the tax-deferred exchange.

74.

(BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________ BUYER

BUYER

SELLER

Page 2 of 3

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

SELLER

Additional Clause Addendum 75. 76. 77. 78. 79. 80. 82.

n WATER: Arizona is undertaking General Stream Adjudications of both the Gila River and Little Colorado River systems, which are court proceedings to determine water rights. If the Premises/Property is affected by an Adjudication, the parties shall execute and file an Assignment of Statement of Claimant form and Buyer shall pay any associated filing fees. The Arizona Department of Water Resources and the Arizona Department of Real Estate Buyer Advisory provide sources of information on the court proceedings and other water availability or water quality issues. If water rights, availability or quality are a material matter to Buyer, these issues must be investigated during the Inspection Period. (BUYER’S AND SELLER’S INITIALS REQUIRED) _________ / _________ / _________ / _________

83.

BUYER

84. 85.

BUYER

SELLER

The undersigned agrees to the modified or additional terms and conditions contained herein and acknowledges a copy hereof.

86. 87.

^ BUYER’S SIGNATURE

MO/DA/YR

^ BUYER’S SIGNATURE

MO/DA/YR

^ SELLER’S SIGNATURE

MO/DA/YR

^ SELLER’S SIGNATURE

MO/DA/YR

Lisa Larkin

RE/MAX Select

Tucson, AZ 85712

BUYER GUIDE RE/MAX SELECT 2022

Articles inside

Covenant violation resulting in reversion no yes yes

Prescriptive easement occurring after policy date no yes yes

Adverse possession occurring after policy date no yes yes

Cloud on title occurring after policy date no yes yes

Potential increase in policy limit up to 150% due to inflation no yes yes

Attached map not consistent with legal description no yes yes

Enhanced access, vehicular and pedestrian no yes yes

Encroachment occurring after policy date no yes yes

Forgery occurring after policy date no yes yes

Compliance with Subdivision Map Act no yes yes

Damage from minerals or water extraction occurring after policy date no yes yes

Restrictive covenant violations no yes yes

Rights under unrecorded leases no yes yes

Unrecorded easements no yes yes

There are restrictive covenants yes yes yes

Can’t use land for a single family dwelling because the use violates a restriction in Schedule B or a zoning ordinance. no yes yes

Unrecorded lien by a homeowner’s association no yes yes

Mechanic’s lien protection no yes yes

A document is not properly executed yes yes yes

Pays rent for substitute land or facilities no yes yes

Forgery, fraud or duress yes yes yes

Title is unmarketable yes yes yes