FVAC (FHA VA AMENDATORY CLAUSE)
FVAC form (FHA VA AMENDATORY CLAUSE)
RPA 3.E. (1) LOAN(S) – Buyer is to specify which type of loan they are using.
FIRST LOAN: in the amount of ___________. This loan will be conventional financing or __FHA, __VA, __Seller financing (C.A.R. Form SFA), __assumed financing (C.A.R. Form AFA).
- Note that the RPA “defaults” to “conventional” financing, which means 20% down and loan of 80% of Sales Price.
- The other 2 main options for financing are FHA [3.5% down] and VA [either 1% down or sometimes 0% down]
- Seek counsel from Contract Support Manager before considering and other financing options.
FHA/VA:
- For any FHA or VA loan specified in 3D(1), Buyer has 17 (or ___) Days After Acceptance to Deliver to Seller C.A.R. Form FVAC specifying the Sales Price that must be confirmed by an appraisal. Contrary to other terms in the RPA regarding appraisal acceptance for Buyers using “conventional” financing, Buyer may use the FVAC as a reason to cancel the Agreement if Property does not appraise at the Sales Price.
- FVAC is to be signed by Seller, Buyer, Listing Agent & Selling Agent.