The Wisconsin Residential Offer form is a critical document for anyone looking to purchase a residential condominium in the state. Approved by the Wisconsin Department of Regulation and Licensing, this comprehensive form outlines the offer specifics from the buyer to the seller, establishing the terms and conditions under which the sale and purchase of the property will proceed. With sections covering everything from purchase price to contingencies, it serves as the foundation for real estate transactions, ensuring clarity and legal compliance for both parties involved.
The Wisconsin Residential Offer to Purchase form serves as a foundational element in real estate transactions within Wisconsin, meticulously designed to foster clarity and agreement between buyers and sellers in the acquisition of residential property. This document, sanctioned by the Wisconsin Department of Regulation and Licensing, outlines the terms and conditions under which a buyer proposes to purchase real estate, specifically condos in this context. The form includes provisions for identifying the involved parties, the property in question by address and detailed description, purchase price, earnest money details, and balance of purchase price arrangements. Additionally, it comprehensively addresses included and excluded items in the sale, terms related to the occupancy, closing prorations, and specifics regarding condo association fees and potential other assessments. Importantly, the form incorporates contingencies that might affect the transaction, such as financing, property condition representations, and appraisal requirements. Underscoring the importance of timely and accurate communication, the document stipulates methods of document delivery and the binding acceptance timeframe. The form inherently educates and protects both parties through its meticulous layout, aiming to streamline the real estate transaction process while adhering to state regulations.
Approved by the Wisconsin Department of Regulation and Licensing
Page 1 of 9, WB-14
03-1-11 (Optional Use Date) 07-1-11 (Mandatory Use Date)
WB-14 RESIDENTIAL CONDOMINIUM OFFER TO PURCHASE
1
LICENSEE DRAFTING THIS OFFER ON ________________________________________ [DATE] IS (AGENT OF BUYER)
2
(AGENT OF SELLER/LISTING BROKER) (AGENT OF BUYER AND SELLER)
STRIKE THOSE NOT APPLICABLE
3GENERAL PROVISIONS The Buyer, _____________________________________________________________________________
4 _______________________, offers to purchase the Property known as [Street Address] _______________________________________
5 in the _____________________ of ______________________, County of ____________________, Wisconsin, particularly described as 6 Unit: _______ (Building ____________) of _______________________________________________________________ Condominium
7 (Insert additional description, if any, at lines 174-188 or 514-519 or attach as an addendum per line 513), on the following terms:
8 Ŷ PURCHASE PRICE: ________________________________________________________ Dollars ($_____________________ ).
9Ŷ EARNEST MONEY of $ ________________________ accompanies this Offer and earnest money of $ _______________________
10 will be mailed, or commercially or personally delivered within _____________________________ days of acceptance to listing broker or
11
____.
12Ŷ THE BALANCE OF PURCHASE PRICE will be paid in cash or equivalent at closing unless otherwise provided below.
13Ŷ INCLUDED IN PURCHASE PRICE: Seller is including in the purchase price: (1) the Property; ( 6HOOHU¶V LQWHUHVW LQ WKH &RPPRQ
14Elements and Limited Common Elements (see lines 75-80 and 327-332) appurtenant to the Unit, together with and subject to the rights,
15 interests, obligations and limitations as set forth in the Condominium Declaration and plat (and all amendments thereto); ( 6HOOHU¶V
16interests in any common surplus and reserves in the Condominium allocated to the Property; (4) all Fixtures on the Property on the date
17of this Offer not excluded at lines 20-21; and (5) the following additional items:_______________________________________________
18____________________________________________________________________________________________________________
19____________________________________________________________________________________________________________.
20Ŷ NOT INCLUDED IN PURCHASE PRICE: ________________________________________________________________________
21____________________________________________________________________________________________________________.
22CAUTION: Identify Fixtures that are on the Property (see lines 317-324) to be excluded by Seller or which are rented and will
23continue to be owned by the lessor.
24 Ŷ STORAGE UNIT: A storage unit (is) (is not) STRIKE ONE included in the purchase price. Storage unit number: ________________.
25Ŷ PARKING: The parking for the Unit is ______________________________________. The parking fee is $_____________________.
26NOTE: The terms of this Offer, not the listing contract or marketing materials, determine what items are included/excluded.
27Ŷ ASSOCIATION FEE: The Association fee for the Property is $_______________________________ per_______________________.
28Ŷ OTHER FEES: The Association may charge other fees at, or subsequent to, closing which may include storage, Additional
29Association, reserves, start-up, administrative, etc. fees.
30NOTE: Buyer is advised to review the Condominium disclosure materials including, but not limited to, current financial
31disclosure statements and other Condominium materials described on lines 204-234, as relevant.
32BINDING ACCEPTANCE This Offer is binding upon both Parties only if a copy of the accepted Offer is delivered to Buyer on or before
33________________________________________________________________________. Seller may keep the Property on the market
34and accept secondary offers after binding acceptance of this Offer. (See Acceptance information at lines 61-64.)
35CAUTION: This Offer may be withdrawn prior to delivery of the accepted Offer.
36 OPTIONAL PROVISIONS TERMS OF THIS OFFER THAT ARE PRECEDED BY AN OPEN BOX ( ) ARE PART OF THIS OFFER
37ONLY IF THE BOX IS MARKED SUCH AS WITH A1³;´7+(<$5(127PART OF THIS OFFER IF MARKED ³N/A´ OR ARE LEFT
38BLANK.
39DELIVERY OF DOCUMENTS AND WRITTEN NOTICES Unless otherwise stated in this Offer, delivery of documents and written
40notices to a Party shall be effective only when accomplished by one of the methods specified at lines 41-58.
41(1) Personal Delivery: JLYLQJWKHGRFXPHQWRUZULWWHQQRWLFHSHUVRQ OO\WRWKH3 UW\RUWKH3 UW\¶VUHFLSLHQWIRUGHlivery if named at line 42 or 43.
42Seller's recipient for delivery (optional): _____________________________________________________________________________
43Buyer's recipient for delivery (optional): ______________________________________________________________________________
44
(2) Fax: fax transmission of the document or written notice to the following telephone number:
45
Seller: (_______) _______________________________________ Buyer: (_______) _______________________________________
46
(3) Commercial Delivery: depositing the document or written notice fees prepaid or charged to an account with a commercial
47delivery service, addressed either to the Party, or to the Party's recipient for delivery if named at line 42 or 43, for delivery to the Party's
48delivery address at line 51 or 52.
49 (4) U.S. Mail: depositing the document or written notice postage prepaid in the U.S. Mail, addressed either to the Party, or to the
50Party's recipient for delivery if named at lines 42 or 43, for delivery to the Party's delivery address at line 51 or 52.
51Delivery address for Seller: ______________________________________________________________________________________
52Delivery address for Buyer: ______________________________________________________________________________________
53 (5) E-Mail: electronically transmitting the document or written notice to the P UW\¶VH-mail address, if given below at line 57 or 58. If
54this is a consumer transaction where the property being purchased or the sale proceeds are used primarily for personal, family or
55household purposes, each consumer providing an e-mail address below has first consented electronically to the use of electronic
56documents, e-mail delivery and electronic signatures in the transaction, as required by federal law.
57E-Mail address for Seller (optional): _______________________________________________________________________________
58E-Mail address for Buyer (optional): _______________________________________________________________________________
Page 2 of 9, WB-14
59PERSONAL DELIVERY/ACTUAL RECEIPT Personal delivery to, or Actual Receipt by, any named Buyer or Seller constitutes
60personal delivery to, or Actual Receipt by, all Buyers or Sellers.
61ACCEPTANCE Acceptance occurs when all Buyers and Sellers have signed one copy of the Offer, or separate but identical copies of
62the Offer.
63CAUTION: Deadlines in the Offer are commonly calculated from acceptance. Consider whether short term deadlines running
64from acceptance provide adequate time for both binding acceptance and performance.
65DEFINITIONS
66 ACTUAL RECEIPT ³$FWX O RHFHLSW´ PH QV WK W 3 UW\ QRW WKH 3 UW\¶V UHFLSLHQW IRU GHOLYHU\ LI Q\ K V WKH GRFXPHQW RU ZULWWHQ
67QRWLFHSK\VLF OO\LQWKH3 UW\¶VSRVVHVVLRQUHJ UGOHVVRIWKHPHWKRGRIGHOLYHU\
68
ASSOCIATION :LV 6W W
P SURYLGHV WK W³µ$VVRFL
WLRQ¶ means all of a condominium's unit owners acting as a group,
69
HLWKHUWKURXJK QRQVWRFNFRUSRU
WLRQRU
QXQLQFRUSRU WHG VVRFL
WLRQLQ FFRUG QFHZLWKLWV \O ZV QGGHFO U WLRQ´The Association
70
is the entity that the Unit owners typically use to act together as a group to manage and maintain the Condominium property and
71
finances. Every Unit owner is automatically a member of the Association, which adopts budgets and sets the amounts of the fees or
72assessments paid by the Unit owners.
73ADDITIONAL ASSOCIATION: Refers to any community, neighborhood, subdivision, master or umbrella association with the power to
74levy fees or assessments on the Property owner.
75
COMMON ELEMENTS:LV6W W SURYLGHVWK W³µ&RPPRQHOHPHQWV¶PH Q OORI FRQGRPLQLXPH[FHSWLWVXQLWV´ In a
76
typical residential Condominium project, the Common Elements may include the land, structural and common parts of buildings
77
(entranceway, halls, elevator, meeting room, etc.), landscaping, roads, any outside parking areas, outdoor lighting, any recreational
78facilities (swimming pool, tennis courts, clubhouse, etc.) and all other common areas and amenities. The Common Elements are owned
79collectively by all of the Unit owners. For example, in a Condominium with 100 Units, each Unit owner may own a one percent interest in
80all Common Elements. Thus, the Unit owner would own an undivided one percent interest in the tennis courts, road, parking lot, etc.
81
CONDOMINIUM: Wis. Stat. § 703.02(4)
provides that, ³µ&RQGRPLQLXP¶ PH QV SURSHUW\ subject to a condominium declaration
82
HVW OLVKHGXQGHUWKLVFK SWHU´>:LV6W W&K
@
83CONDITIONS AFFECTING THE PROPERTY OR TRANSACTION³&RQGLWLRQVAffecting the Property or TU QV FWLRQ´ UHGHILQHGWR
84include:
85a. Defects in the roof.
86b. Defects in the electrical system.
87c. Defects in part of the plumbing system (including the water heater, water softener and swimming pool) that is included in the sale.
88d. Defects in the heating and air conditioning system (including the air filters and humidifiers).
89e. Defects in the well, including unsafe well water.
90f. Property is served by a joint well.
91g. Defects in the septic system or other sanitary disposal system.
92h. Underground or aboveground fuel storage tanks on or previously located on the PURSHUW\,I³\HV´WKHRZQHU \O ZP \K YHWR
93register the tanks with the Department of Commerce at P.O. Box 7970, Madison, Wisconsin, 53707, whether the tanks are in use or
94not. Regulations of the Department of Commerce may require the closure or removal of unused tanks.)
95
i.
³ 3´W QNRQWKH3roperty (specify in the additional information whether the tank is owned or leased).
96
j.
Defects in the basement or foundation (including cracks, seepage and bulges).
97
k.
Property is located in a floodplain, wetland or shoreland zoning area.
98
l.
Defects in the structure of the Property.
99m. Defects in mechanical equipment included in the sale either as Fixtures or personal property.
100n. Boundary or lot line disputes, encroachments or encumbrances (including a joint driveway).
101o. Defect caused by unsafe concentrations of, or unsafe conditions relating to, radon, radium in water supplies, lead in paint, lead in
102soil, lead in water supplies or plumbing system, or other potentially hazardous or toxic substances on the premises. Note: specific
103federal lead paint disclosure requirements must be complied with in the sale of most residential properties built before
1041978.
105p. Presence of asbestos or asbestos-containing materials on the premises.
106q. Defect caused by unsafe concentrations of, unsafe conditions relating to, or the storage of, hazardous or toxic substances on
107neighboring properties.
108r. Current or previous termite, powder-post beetle or carpenter ant infestations or Defects caused by animal or other insect infestations.
109s. Defects in a wood burning stove or fireplace or Defects caused by a fire in a stove or fireplace or elsewhere on the Property.
110 t. Remodeling affecting the Property's structure or mechaQLF O V\VWHPV RU GGLWLRQV WR 3URSHUW\ GXULQJ 6HOOHU¶V RZQHUVKLS ZLWKRXW
111required permits.
112u. Federal, state, or local regulations requiring repairs, alterations or corrections of an existing condition.
113v. Notice of property tax increases, other than normal annual increases, or pending property reassessment.
114w. Remodeling that may increase Property's assessed value.
115x. Proposed or pending special assessments.
116y. Property is located within a special purpose district, such as a drainage district, that has the authority to impose assessments against
117the real property located within the district.
118z. Proposed construction of a public project that may affect the use of the Property.
119aa. Subdivision homeowners' associations, common areas co-owned with others, zoning violations or nonconforming uses, rights-of-
120way, easements or another use of a part of the Property by nonowners, other than recorded utility easements.
121bb. Structure on the Property is designated as a historic building or that part of the Property is in a historic district.
122cc. Any land division involving the subject Property, for which required state or local permits had not been obtained.
123dd. Violation of state or local smoke and carbon monoxide detector laws.
124ee. High voltage electric (100 KV or greater) or steel natural gas transmission lines located on but not directly serving the Property.
125ff. The Property is subject to a mitigation plan required by DNR rules related to county shoreland zoning ordinances that obligates the
126owner to establish or maintain certain measures related to shoreland conditions, enforceable by the county.
127gg. Other Defects affecting the Property.
128(Definitions Continued on page 5)
Property Address: ___________________________________________________________________________________________________________Page 3 of 9, WB-14
129PROPERTY CONDITION REPRESENTATIONS Seller represents to Buyer that as of the date of acceptance Seller has no notice or
130knowledge of Conditions Affecting the Property or Transaction (lines 83-127) with regard to the Unit, Condominium Common Elements
131and Limited Common Elements, other than those identified in Seller's Real Estate Condition Report dated ________________________
132___________________________, which was received by Buyer prior to Buyer signing this Offer and which is made a part of this Offer by
133reference ICOMPLETE DATE OR STRIKE AS APPLICABLEI and ______________________________________________________
134___________________________________________________________________________________________________________
135______________________________________ IINSERT CONDITIONS NOT ALREADY INCLUDED IN THE CONDITIONI IREPORTI
136CLOSING This transaction is to be closed no later than ______________________________________________________________
137____________________________________________at the place selected by Seller, unless otherwise agreed by the Parties in writing.
138Immediately after closing, Buyer and Seller shall notify the Condominium Association, and any Additional Association, of the transfer.
139OCCUPANCY Occupancy of the entire Property shall be given to Buyer at time of closing unless otherwise provided in this Offer at
140lines 174-188 or 514-519 or in an addendum attached per line 513. At time of Buyer's occupancy, the Unit and any Limited Common
141 Elements (used exclusively by the Unit owner) shall be in broom swept condition and free of all debris and personal
142property except for personal property belonging to current tenants, or that sold to Buyer or left with Buyer's consent. Occupancy shall be
143given subject to tenant's rights, if any.
144CLOSING PRORATIONS The following items, if applicable, shall be prorated at closing, based upon date of closing values: real estate
145taxes, rents, prepaid insurance (if assumed), private and municipal charges, property owners association and Condominium Association
146standard recurring assessments and fees, fuel and ____________________________________________________________________.
147CAUTION: Provide basis for utility charges, fuel and other prorations if date of closing value will not be used.
148Any income, taxes or expenses shall accrue to Seller, and be prorated at closing, through the day prior to closing.
149Real estate taxes shall be prorated at closing based on [CHECK BOX FOR APPLICABLE PRORATION FORMULA]:
150
The net general real estate taxes for the preceding year, or the current year if available (Net general real estate taxes are
151defined as general property taxes after state tax credits and lottery credits are deducted) (NOTE: THIS CHOICE APPLIES IF NO
152BOX IS CHECKED)
153
Current assessment times current mill rate (current means as of the date of closing)
154
Sale price, multiplied by the municipality area-wide percent of fair market value used by the assessor in the prior year, or
155current year if known, multiplied by current mill rate (current means as of the date of closing)
156
___________________________________________________________________________________________________.
157CAUTION: Buyer is informed that the actual real estate taxes for the year of closing and subsequent years may be substantially
158different than the AMOUNT used for proration especially in transactions involving new construction, extensive rehabilitation,
159remodeling or area-wide re-assessment. Buyer is encouraged to contact the local assessor regarding possible tax changes.
160
Buyer and Seller agree to re-prorate the real estate taxes, through the day prior to closing based upon the taxes on the actual
161tax bill for the year of closing, with Buyer and Seller each owing his or her pro-rata share. Buyer shall, within 5 days of receipt, forward
162
a copy of the bill to the forwarding address Seller agrees to provide at closing. The Parties shall re- U U WHZLW L G \V I%X\HU¶V
163receipt of the actual tax bill. Buyer and Seller agree this is a post-closing obligation and is the responsibility of the Parties to complete,
164not the responsibility of the real estate brokers in this transaction.
165LEASED PROPERTY If Property is currently leased and lease(s) extend beyond closing, Seller shall assign Seller's rights under said
166lease(s) and transfer all security deposits and prepaid rents thereunder to Buyer at closing. The terms of the (written) (oral) SSTRIKE
167ONEE lease(s), if any, are ______________________________________________________________________________________
168______________________________. Insert additional terms, if any, at lines 174-188 or 514-519 or attach as an addendum per line 513.
169CAUTION: The Association may have the power to prohibit, limit or regulate Unit rentals now or in the future.
170RENTAL WEATHERIZATION This transaction (is) (is not) SSTRIKE ONEE exempt from Wisconsin Rental Weatherization Standards
171(Wis. Admin. Code Ch. Comm 67). If not exempt, (Buyer) (Seller) SSTRIKE ONEE (³%X\HU´LI HLW HULVVWULFNH shall be responsible for
172compliance, including all costs, with Wisconsin Rental Weatherization Standards. If Seller is responsible for compliance, Seller shall
173provide a Certificate of Compliance at closing.
174ADDITIONALPROVISIONS/CONTINGENCIES _____________________________________________________________________
175___________________________________________________________________________________________________________
176___________________________________________________________________________________________________________
177___________________________________________________________________________________________________________
178___________________________________________________________________________________________________________
179___________________________________________________________________________________________________________
180___________________________________________________________________________________________________________
181___________________________________________________________________________________________________________
182___________________________________________________________________________________________________________
183
_____
184___________________________________________________________________________________________________________
185___________________________________________________________________________________________________________
186___________________________________________________________________________________________________________
187___________________________________________________________________________________________________________
188___________________________________________________________________________________________________________
Page 4 of 9, WB-14
189REAL ESTATE CONDITION REPORT Wisconsin law requires owners of property which includes 1-4 dwelling units to provide buyers
190with a Real Estate Condition Report. Excluded from this requirement are sales of property that has never been inhabited, sales exempt
191from the real estate transfer fee, and sales by certain court-appointed fiduciaries (for example, personal representatives who have never
192
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the owner of the
193
property shall furnish, not later than 10 days after acceptance of the contract of sale . .
., to the prospective buyer of the property a
194completed copy of the report . . . A prospective buyer who does not receive a report within the 10 days may, within 2 business days after
195the end of that 10 day period, rescind the contract of sale . . . by delivering a written notice of rescission to the owner or the owner's
196JHQW´%X\HUP \ OVRK YHFHUW LQUHVFLVVLRQULJKWVLI 5H O(VW WH&Rndition Report disclosing defects is furnished before expiration of
197the 10 days, but after the Offer is submitted to Seller. Buyer should review the report form or consult with an attorney for additional
198information regarding rescission rights. Wis. Stat. § 709.03 provides that when the Property is a Condominium Unit, the property to which
199the Real Estate Condition Report applies is the Condominium Unit, the Common Elements of the Condominium and any Limited
200Common Elements that may be used only by the owner of the Condominium Unit being transferred. Wis. Stat. § 709.02(2) requires that
201Seller also furnish a Condominium addendum to the Real Estate Condition Report and a copy of the executive summary along with the
202Real Estate Condition Report.
203NOTE: Small Condominiums may not be required to have an executive summary per Wis. Stat. § 703.365(1)(b) and (8).
204Ŷ CONDOMINIUM DISCLOSURE MATERIALS: Seller agrees to provide Buyer, within 10 days of acceptance of Offer, but no later than
205 15 days prior to closing, current and accurate copies of the Condominium disclosure materials required by Wis. Stat.
206§ 703.33. The Condominium disclosure materials include a copy of the following and any amendments to any of these [except as may be
207limited for small Condominiums with no more than 12 units per Wis. Stat. § 703.365(1)(b) and (8)]:
208(a) proposed or existing Declaration, bylaws and any rules or regulations, and an index of the contents;
209(b) proposed or existing articles of incorporation of the Association, if it is or is to be incorporated;
210(c) proposed or existing management contract, employment contract or other contract affecting the use, maintenance or access of all
211or part of the Condominium;
212(d) projected annual operating budget for the Condominium including reasonable details concerning the estimated monthly payments
213by the purchaser for assessments and other monthly charges;
214(e) leases to which Unit owners or the Association will be a party;
215(f) general description of any contemplated expansion of Condominium including each stage of expansion and the maximum number
216of Units that can be added to the Condominium;
217(g) Unit floor plan showing location of Common Elements and other facilities available to Unit owners;
218(h) the executive summary.
219 ,I WKH &RQGRPLQLXP Z V Q RFFXSLHG VWUXFWXUH SULRU WR WKH UHFRUGLQJ RI WKH &RQGRPLQLXP 'HFO U WLRQ LW LV ³FRQYHUVLRQ
220&RQGRPLQLXP QGWKH&RQGRPLQLXPGLVFORVXUHP WHUL OV´IRU FRQYHUVLRQ Condominium with five or more Units also include:
221 (1) GHFO U QW¶V VW WHPHQW VHG RQ Q LQGHSHQGHQW HQJLQHHU V RU UFKLWHFW V UHSRUW GHVFUL LQJ WKH SUHVHQW FRQGLWLRQ RI VWUXFWXUal,
222mechanical and electrical installations;
223(2) a statement of the useful life of the items covered in (1), unless a statement that no representations are being made is provided, and
224(3) a list of notices of uncured code or other municipal violations, including an estimate of the costs of curing the violations.
225As provided in Wis. Stat. § 703.33(4)(a), Buyer may, within 5 business days of receipt of all the required disclosure documents,
226rescind this Offer by written notice delivered to Seller. If the disclosure materials are delivered to Buyer and Buyer does not receive all
227of the discloVXUHGRFXPHQWV%X\HUP \ZLWKLQ XVLQHVVG \VRI%X\HU¶VUHFHLSWRIWKHGLVFORVXUHP WHUL OVHLWKHUUHVFLQGWKH2IIHU
228RUUHTXHVW Q\PLVVLQJGRFXPHQWV6HOOHUK V XVLQHVVG \VIROORZLQJUHFHLSWRI%X\HU¶VUHTXHVWIRUPLVVLQJGRFXPHQWVWRGHliver
229thHUHTXHVWHGGRFXPHQWV%X\HUP \UHVFLQGWKHV OHZLWKLQ XVLQHVVG \VRIWKHH UOLHURI%X\HU¶VUHFHLSWRIUHTXHVWHGPLVVLng
230GRFXPHQWVRUWKHGH GOLQHIRU6HOOHU¶VGHOLYHU\RIWKHGRFXPHQWV>:LV6W W§ 703.33(4)(b)].
231The Parties agree that the 5 businHVV(GD\V(EHJLQ(XSRQ(WKH(HDUOLHU(RIs(RhS(%X\HU¶V($FWXDO(5HFHLSW(RI(WKH(GLVFORVXUH(PDWHULDOV(
232RU(UHTXHVWHG(PLVVLQJ(GRFXPHQWV(RU(RiS(XSRQ(WKH(GHDGOLQH(IRU(6HOOHU¶V(GHOLYHU\(RI(WKH(GRFXPHQWVe
233NOTE: BUYER SHOULD READ ALL DOCUMENTS CAREFULLY. BROKERS MAY PROVIDE A GENERAL EXPLANATION OF
234THE PROVISIONS OF THE DOCUMENTS BUT ARE PROHIBITED BY LAW FROM GIVING LEGAL ADVICE OR OPINIONS.
235Ŷ ADDITIONAL CONDOMINIUM ISSUES: In addition to review of the disclosure materials required to be provided by Wis. Stat. §
236703.33, Buyer may wish to consider reviewing other Condominium materials as may be available, such as copies of: the
237&RQGRPLQLXP$VVRFL WLRQ¶VILQ QFL OVW WHPHQWVIRUWKHO VWWZR\H UVthe minutes of the last 3 Unit owners¶ meetings, the minutes of
238Condominium board meetings during the 12 months prior to acceptance, information about contemplated or pending Condominium
239special assessments, the Association's certificate of insurance, a statement from the Association indicating the balance of reserve
240accounts controlled by the Association, a statement from the Association of the amount of any unpaid assessments on the Unit (per
241Wis. Stat. § 703.165), any Common Element inspection reports (e.g. roof, swimming pool, elevator and parking garage inspections,
242etc.), any pending litigation involving the Association and the Declaration, bylaws, budget and/or most recent financial statement of
243any master association or Additional Association the Unit may be part of. Contingencies for review and approval of those additional
244materials which may be available may be provided for in additional contingencies per lines 174-188 or 514-519 or in an addendum per
245line 513. Because not all of these materials may exist or be available from the Condominium Association, Seller may wish to verify
246availability prior to acceptance if the Offer is contingent upon Seller providing these materials to Buyer.
Property Address: ___________________________________________________________________________________________________________Page 5 of 9, WB-14
247
NOTE: IF LINE 248 IS NOT MARKED OR IS MARKED N/A LINES 285-291 APPLY.
248
FINANCING CONTINGENCY: This Offer is contingent upon Buyer being able to obtain a written____________________[INSERT
249
LOAN PROGRAM OR SOURCE] first mortgage loan commitment as described below, within __________ days of acceptance of this
250Offer. The financing selected shall be in an amount of not less than $ ___________________ for a term of not less than _______ years,
251amortized over not less than _______ years. Initial monthly payments of principal and interest shall not exceed $ ____________________.
252Monthly payments may also include 1/12th of the estimated net annual real estate taxes, hazard insurance premiums, and private
253mortgage insurance premiums. The mortgage may not include a prepayment premium. Buyer agrees to pay discount points and/or loan
254origination fee in an amount not to exceed ________% of the loan. If the purchase price under this Offer is modified, the financed amount,
255unless otherwise provided, shall be adjusted to the same percentage of the purchase price as in this contingency and the monthly
256payments shall be adjusted as necessary to maintain the term and amortization stated above.
257CHECK AND COMPLETE APPLICABLE FINANCING PROVISION AT LINE 258 or 259.
258FIXED RATE FINANCING The annual rate of interest shall not exceed __________%.
259ADJUSTABLE RATE FINANCING The initial annual interest rate shall not exceed __________%. The initial interest rate shall
260be fixed for __________ months, at which time the interest rate may be increased not more than __________% per year. The
261maximum interest rate during the mortgage term shall not exceed __________%. Monthly payments of principal and interest may
262be adjusted to reflect interest changes.
263If Buyer is using multiple loan sources or obtaining a construction loan or land contract financing, describe at lines 174-188 or 514-519 or
264in an addendum attached per line 513.
265Ŷ %8<(5¶6 2$1&200,70(17: Buyer agrees to pay all customary loan and closing costs, to promptly apply for a mortgage loan,
266and to provide evidence of application promptly upon request of Seller. If Buyer qualifies for the loan described in this Offer or another
267loan acceptable to Buyer, Buyer agrees to deliver to Seller a copy of the written loan commitment no later than the deadline at line 249.
268Buyer and Seller agree that delivery of a copy of any written loan commitment to Seller (even if subject to conditions) shall
269VDWLVI\,oX\HU¶V,financing contingency, if after review of the loan commitment Buyer has directed, in writing, delivery of the loan
270FRPPLWPHQWO,oX\HU¶V,ZULWWHQ,GLUHFWLRQ,VKDOO,DFFRPSDQ\,WKH,ORDQ,FRPPLWPHQWO,rHOLYHU\,VKDOO,QRW,VDWLVI\,WKLV,FRQWLQJHQF\,LI,
271accompanied by a notice of unacceptability.
272CAUTION: The delivered commitment may contain conditions Buyer must yet satisfy to obligate the lender to provide the loan.
273o8<s5M,o8<s5¶6,■s1rs5,n1r,nus176,2t,o8<s5,25,6s■■s5,6vn■■,127,rs■,9s5,n,■2n1,p200,70s17,72,6s■■s5,
27425, 6s■■s5¶6, nus17, :,7v287, BUYER'S PRIOR WRITTEN APPROVAL OR UNLESS ACCOMPANIED BY A NOTICE OF
275UNACCEPTABILITY.
276Ŷ SELLER TERMINATION RIGHTS: If Buyer does not make timely delivery of said commitment, Seller may terminate this Offer if Seller
277delivers a written notice of termination to Buyer prior to Seller's Actual Receipt of a copy of Buyer's written loan commitment.
278Ŷ FINANCING UNAVAILABILITY: If financing is not available on the terms stated in this Offer (and Buyer has not already delivered an
279acceptable loan commitment for other financing to Seller), Buyer shall promptly deliver written notice to Seller of same including copies of
280lender(s)' rejection letter(s) or other evidence of unavailability. Unless a specific loan source is named in this Offer, Seller shall then have
28110 days to deliver to Buyer written notice of Seller's decision to finance this transaction on the same terms set forth in this Offer, and this
282Offer shall remain in full force and effect, with the time for closing extended accordingly. If Seller's notice is not timely given, this Offer shall
283be null and void. Buyer authorizes Seller to obtain any credit information reasonably appropriate to determine Buyer's credit worthiness
284for Seller financing.
285Ŷ IF THIS OFFER IS NOT CONTINGENT ON FINANCING: Within 7 days of acceptance, a financial institution or third party in control of
286 %X\HU¶VIXQGVVK OOSURYLGH6HOOHUZLWKUH VRQ OHZULWWHQYHULILF WLRQWK W%X\HUK V WWKHWLPHRIYHULILF WLRQVXIILFLent funds to close. If
287such written evidence is not provided, Seller has the right to terminate this Offer by delivering written notice to Buyer. Buyer may or may
288 QRW R W LQ PRUWJ JH ILQ QFLQJ XW GRHV QRW QHHG WKH SURWHFWLRQ RI ILQ QFLQJ FRQWLQJHQF\ 6HOOHU JUHHV WR OORZ %X\HU¶V Spraiser
289access to the Property for purposes of an appraisal. Buyer understands and agrees that this Offer is not subject to the appraisal meeting
290any particular value, unless this Offer is subject to an appraisal contingency, nor does the right of access for an appraisal constitute a
291financing contingency.
292
APPRAISAL CONTINGENCY: 7KLV 2IIHU LV FRQWLQJHQW XSRQ WKH %X\HU RU %X\HU¶V OHQGHU K
YLQJ WKH 3URSHUW\ SSU LVHG W
293
%X\HU¶V
H[SHQVH \ :LVFRQVLQOLFHQVHGRUFHUWLILHGLQGHSHQGHQW SSU LVHUZKRLVVXHV Q SSU LV
OUHSRUW dated subsequent to the
294date of this Offer indicating an appraised value for the Property equal to or greater than the agreed upon purchase price. This contingency
295shall be deemed satisfied unless Buyer, within _________ days of acceptance, delivers to Seller a copy of the appraisal report which
296indicates that the appraised value is not equal to or greater than the agreed upon purchase price, accompanied by a written notice of
297termination.
298CAUTION: An DSSUDLVDO, RUGHUHG, E\, oX\HU¶V, OHQGHU, PD\, QRW, EH, UHFHLYHG, XQWLO, VKRUWO\, EHIRUH, FORVLQJO, pRQVLGHU, ZKHWKHU,
299deadlines provide adequate time for performance.
300DEFINITIONS CONTINUED FROM PAGE 2
301Ŷ DEADLINES³'H GOLQHV´H[SUHVVHG V QXP HURI³G \V´IURP QHYHnt, such as acceptance, are calculated by excluding the day
302the event occurred and by counting subsequent calendar days. The deadline expires at midnight on the last day. Deadlines expressed as
303VSHFLILFQXP HURI³ XVLQHVVG \V´H[FOXGH6 WXUG \V6XQG \s, any legal public holiday under Wisconsin or Federal law, and any
304other day designated by the President such that the postal service does not receive registered mail or make regular deliveries on that
305G \'H GOLQHVH[SUHVVHG V VSHFLILFQXP HURI³KRXUV´IURPWKHRFFXUUHQFHRI QHYHQWVXFK VUHFHLSWRI QRWLFH UHF OFXO WHG
306from the exact time of the event, and by counting 24 hours per calendar day. Deadlines expressed as a specific day of the calendar year
307or as the day of a specific event, such as closing, expire at midnight of that day.
308Ŷ DECLARATION: Wis. Stat. § 703.02(8) provides that, ³µ'HFO U WLRQ¶PH QVWKHLQVWUXPHQW \ZKLFK SURSHUW\ HFRPHVVX MHFWWR
309WKLVFK SWHU QGWK WGHFO U WLRQ V PHQGHGIURPWLPHWRWLPH´The Declaration is a written document that creates a Condominium
Page 6 of 9, WB-14
310 from one or more parcels of real estate. The owner declares his or her property to be a Condominium. The Declaration divides the
311property into Units, which are individually owned, and the Common Elements, which are owned in common by all of the Unit owners
312together.
313Ŷ DEFECT³'HIHFW´PH QV FRQGLWLRQWK WZRXOGK YH VLJQLILF QW GYHUVHHIIHFWRQWKHY OXHRIWKH3URSHUW\WK WZRXOGVLJQLILF Qtly
314 impair the health or safety of future occupants of the Property; or that if not repaired, removed or replaced would
315significantly shorten or adversely affect the expected normal life of the premises, or could result in a special assessment as a result of a
316condition of a Common Element.
317Ŷ FIXTURE: $³)L[WXUH´LV QLWHPRISURSHUW\ZKLFKLVSK\VLF OO\ WW FKHGWRRUVRFORVHO\ Vsociated with land or improvements so as to
318be treated as part of the real estate, including, without limitation, physically attached items not easily removable without damage to the
319premises, items specifically adapted to the premises and items customarily treated as fixtures, including, but not limited to, all: garden
320bulbs; plants; shrubs and trees; screen and storm doors and windows; electric lighting fixtures; window shades; curtain and traverse rods;
321blinds and shutters; central heating and cooling units and attached equipment; water heaters and treatment systems; sump pumps;
322attached or fitted floor coverings; awnings; attached antennas; garage door openers and remote controls; installed security systems;
323central vacuum systems and accessories; in-ground sprinkler systems and component parts; built-in appliances; ceiling fans; fences; storage
324buildings on permanent foundations and docks/piers on permanent foundations.
325CAUTION: Exclude any fixtures to be retained by Seller or which are rented (e.g., water softener or other water conditioning
326systems, home entertainment and satellite dish components, L.P. tanks, etc.) on lines 20-21.
327Ŷ LIMITED COMMON ELEMENTS: Wis. Stat. § 703.02(10) provides that, ³µ LPLWHG FRPPRQ HOHPHQW¶ PH QV FRPPRQ HOHPHQW
328identified in a declaration or on a condominium plat as reserved for the exclusive use of one or more but less than all of thHXQLWRZQHUV´
329A Unit owner does not own a Limited Common Element, except for the percentage interest in the Common Elements, but is the only one
330who may use it, either alone or with others (but not all Unit owners). This exclusive use may be subject to restrictions stated in the
331Declaration or the Condominium rules. Limited Common Elements may include a storage area, patio, balcony, garage parking space or a
332boat slip.
333Ŷ PROPERTY8QOHVVRWKHUZLVHVW WHG³3URSHUW\´PH QVWKHUH OHVW WHGHVFUL HG WOLQHV4-7.
334Ŷ UNIT: Wis. Stat. § 703.02(15) SURYLGHV³µ8QLW¶PH QV S UWRI FRQGRPLQLXPLQWHQGHGIRU Q\W\SHRILQGHSHQGHQWXVHLQFOXGLQJRQH
335or more cubicles of air at one or more levels of space or one or more rooms or enclosed spaces located on one or more floors, or parts
336
thereof, in a buiOGLQJ $ XQLW P \ LQFOXGH RU PRUH QRQFRQWLJXRXV UH V´ The Unit owner is entitled to exclusive ownership and
337
possession of his or her Unit. A Unit is not necessarily limited to an apartment-like concept and may also be a freestanding house, a
338structure plus surrounding land, or land similar to a lot. Units may also include a separate area that is some distance away from the basic
339individual dwelling area. For example, a Unit may be defined to include a storage area, patio, garage parking space or a boat slip. What is
340LQFOXGHGLQ JLYHQ8QLWGHSHQGVRQKRZWKHWHUP³8QLW´LVGHILQHGLQWKH&RQGRPLQLXP'HFO U WLRQ QGSO W
341PROPERTY DIMENSIONS AND SURVEYS Buyer acknowledges that any land, Unit, building or room dimensions, or total acreage or
342building or Unit square footage figures, provided to Buyer by Seller or by a broker, may be approximate because of rounding, formulas
343used or other reasons, unless verified by survey or other means.
344CAUTION: Buyer should verify total square footage formula, total square footage/acreage figures, and land, building, Unit or
345room dimensions, if material.
346PROPERTY DAMAGE BETWEEN ACCEPTANCE AND CLOSING Seller shall maintain the Unit and any Limited Common Elements
347until the earlier of closing or occupancy of Buyer in materially the same condition as of the date of acceptance of this Offer, except for
348ordinary wear and tear. If, prior to closing, the Unit is damaged in an amount of not more than five percent (5%) of the selling price, Seller
349shall be obligated to repair the Unit and restore it to the same condition that it was on the day of this Offer. No later than closing, Seller
350shall provide Buyer with lien waivers for all lienable repairs and restoration. If the damage shall exceed such sum, Seller shall promptly
351notify Buyer in writing of the damage and this Offer may be canceled at option of Buyer. Should Buyer elect to carry out this Offer despite
352such damage, Buyer shall be entitled to the insurance proceeds, if any, relating to the damage to the Unit, plus a credit towards the
353purchase price equal to the amount of Seller's deductible on such policy, if any. However, if this sale is financed by a land contract or a
354mortgage to Seller, any insurance proceeds shall be held in trust for the sole purpose of restoring the Unit.
355%8 5¶6 PRE-CLOSING WALK-THROUGH Within 3 days prior to closing, at a reasonable time pre-approved by Seller or Seller's
356agent, Buyer shall have the right to walk through the Unit and any Limited Common Elements to determine that there has been no
357significant change in the condition of the Unit and any Limited Common Elements, except for ordinary wear and tear and changes
358approved by Buyer, and that any defects Seller has agreed to cure have been repaired in the manner agreed to by the Parties.
359DISTRIBUTION OF INFORMATION Buyer and Seller authorize the agents of Buyer and Seller to: (i) distribute copies of the Offer to
360Buyer's lender, appraisers, title insurance companies and any other settlement service providers for the transaction as defined by the
361Real Estate Settlement Procedures Act (RESPA); (ii) report sales and financing concession data to multiple listing service sold
362databases; and (iii) provide active listing, pending sale, closed sale and financing concession information and data, and related
363information regarding seller contributions, incentives or assistance, and third party gifts, to appraisers researching comparable sales,
364market conditions and listings, upon inquiry.
365DEFAULT Seller and Buyer each have the legal duty to use good faith and due diligence in completing the terms and conditions of this
366Offer. A material failure to perform any obligation under this Offer is a default which may subject the defaulting party to liability for
367damages or other legal remedies.
368If Buyer defaults, Seller may:
369(1) sue for specific performance and request the earnest money as partial payment of the purchase price; or
370(2) terminate the Offer and have the option to: (a) request the earnest money as liquidated damages; or (b) sue for actual damages.
371If Seller defaults, Buyer may:
372(1) sue for specific performance; or
373(2) terminate the Offer and request the return of the earnest money, sue for actual damages, or both.
374In addition, the Parties may seek any other remedies available in law or equity.
Property Address: __________________________________________________________________________________________________________Page 7 of 9, WB-14
375 The Parties understand that the availability of any judicial remedy will depend upon the circumstances of the situation and
376the discretion of the courts. If either Party defaults, the Parties may renegotiate the Offer or seek nonjudicial dispute resolution instead of
377the remedies outlined above. By agreeing to binding arbitration, the Parties may lose the right to litigate in a court of law those disputes
378covered by the arbitration agreement.
379NOTE: IF ACCEPTED, THIS OFFER CAN CREATE A LEGALLY ENFORCEABLE CONTRACT. BOTH PARTIES SHOULD
380READ THIS DOCUMENT CAREFULLY. BROKERS MAY PROVIDE A GENERAL EXPLANATION OF THE PROVISIONS OF THE
381OFFER BUT ARE PROHIBITED BY LAW FROM GIVING ADVICE OR OPINIONS CONCERNING YOUR LEGAL RIGHTS UNDER
382THIS OFFER OR HOW TITLE SHOULD BE TAKEN AT CLOSING. AN ATTORNEY SHOULD BE CONSULTED IF LEGAL ADVICE
383IS NEEDED.
384NOTICE ABOUT SEX OFFENDER REGISTRY You may obtain information about the sex offender registry and persons registered
385with the registry by contacting the Wisconsin Department of Corrections on the Internet at http://www.widocoffenders.org or by telephone
386at (608) 240-5830.
387 CLOSING OF BUYER'S PROPERTY CONTINGENCY: This Offer is contingent upon the closing of the sale of Buyer's property
388located at _______________________________________________, no later than __________________. If Seller accepts a bona fide
389secondary offer, Seller may give written notice to Buyer of acceptance. If Buyer does not deliver to Seller a written waiver of the Closing of
390Buyer's Property Contingency and________________________________________________________________________________
391____________________________________________________________________________________________________________
392[INSERT OTHER REQUIREMENTS, IF ANY (e.g., PAYMENT OF ADDITIONAL EARNEST MONEY, WAIVER OF ALLI
393CONTINGENCIES, OR PROVIDING EVIDENCE OF SALE OR BRIDGE LOAN, etc.)] within _________ hours of Buyer's Actual
394Receipt of said notice, this Offer shall be null and void.
395
SECONDARY OFFER: This Offer is secondary to a prior accepted offer. This Offer shall become primary upon delivery of written
396notice to Buyer that this Offer is primary. Unless otherwise provided, Seller is not obligated to give Buyer notice prior to any deadline, nor
397is any particular secondary buyer given the right to be made primary ahead of other secondary buyers. Buyer may declare this Offer null
398and void by delivering written notice of withdrawal to Seller prior to delivery of Seller's notice that this Offer is primary. Buyer may not
399deliver notice of withdrawal earlier than ___________ days after acceptance of this Offer. All other Offer deadlines which are run from
400acceptance shall run from the time this Offer becomes primary.
401TIME IS OF THE ESSENCE ³7LPHLVRIWKH(VVHQFH´ VWR H UQHVWPRQH\S \PHQWV LQGLQJ FFHSW QFH RFFXS QF\
402date of closing; (5) contingency Deadlines; (6) delivery of Condominium disclosure materials (see lines 204-234) STRIKE AS
403APPLICABLE and all other dates and Deadlines in this Offer except: _____________________________________________________
404_____________________________________________________________________________________________________________
405
,I³7LPHLVRIWKH(VVHQFH´ SSOLHVWR G WHRUDeadline, failure to perform by the exact date or
406DH GOLQHLV UH FKRIFRQWU FW,I³7LPHLVRIWKH(VVHQFH´GRHVQRW SSO\WR G WHRUDeadline, then performance within a reasonable
407time of the date or Deadline is allowed before a breach occurs.
408TITLE EVIDENCE
409ŶCONVEYANCE OF TITLE: Upon payment of the purchase price, Seller shall convey the Property by condominium deed or
410 warranty deed or hWUXVWHH¶V(GHHG(LI(6HOOHU(LV( (WUXVWo(SHUVRQ O(UHSUHVHQW WLYH¶V(GHHG(LI(6HOOHU(LV( Q(HVW WH(RU(RWKHU( RQYH Q H( V(
411provided herein), free and clear of all liens and encumbrances, except: municipal and zoning ordinances and agreements entered under
412them, recorded easements for the distribution of utility, municipal and Association services, easements for the performance of
413Condominium duties, recorded building and use restrictions and covenants, present uses of the Property in violation of the foregoing
414discORVHGLQ6HOOHU¶V5H O(VW WH&RQGLWLRQ5HSRUW QGLQWKLV2IIHUJHQHU OW [HVOHYLHGLQWKH\H URIFORVLQJ:LVFRQVLQ&RQGominium
415Ownership Act, Condominium Declaration and plat, Association articles of incorporation, bylaws and rules and amendments to the above
416and ________________________________________________________________________________________________________
417____________________________________________________________________________________________________________
418____________________________________________________________________________________________________________
419which constitutes merchantable title for purposes of this transaction. Seller shall complete and execute the documents necessary to
420UHFRUGWKHFRQYH\ QFH W6HOOHU¶VFRVW QGS \ the Wisconsin Real Estate Transfer Fee.
421WARNING: Municipal and zoning ordinances, recorded building and use restrictions, covenants and easements may prohibit
422certain improvements or uses and therefore should be reviewed, particularly if Buyer contemplates making improvements to
423Property or a use other than the current use.
424ŶTITLE EVIDENCE: Seller shall give evidence of title in the form of an owner's policy of title insurance in the amount of the purchase
425
price on a current ALTA form (including the ALTA Condominium endorsement or equivalent) issued by an insurer
426
licensed to write title insurance in Wisconsin. Seller shall pay all costs of providing title evidence to Buyer. Buyer shall pay all costs of
427providing title evidence required by Buyer¶VOHQGHU
428Ŷ GAP ENDORSEMENT 6HOOHUVK OO SURYLGH ³J S´ HQGRUVHPHQW RU HTXLY OHQW J S FRYHU JH W6HOOHU¶V%X\HU¶V ISTRIKEIIONEI
429³6HOOHU¶V´LIQHLWKHULVVWULFNHQ cost to provide coverage for any liens or encumbrances first filed or recorded after the effective date of the
430title insurance commitment and before the deed is recorded, subject to the title insurance policy exclusions and exceptions, provided the
431title company will issue the endorsement. If a gap endorsement or equivalent gap coverage is not available, Buyer may give written notice
432that title is not acceptable for closing (see lines 437-442).
Page 8 of 9, WB-14
433Ŷ PROVISION OF MERCHANTABLE TITLE: For purposes of closing, title evidence shall be acceptable if the required title insurance
434 commitment is delivered to Buyer's attorney or Buyer not less than 5 business days before closing, showing title to the
435Property as of a date no more than 15 days before delivery of such title evidence to be merchantable per lines 409-419, subject only to
436liens which will be paid out of the proceeds of closing and standard title insurance requirements and exceptions, as appropriate.
437ŶTITLE NOT ACCEPTABLE FOR CLOSING: If title is not acceptable for closing, Buyer shall notify Seller in writing of objections to title
438by the time set for closing. In such event, Seller shall have a reasonable time, but not exceeding 15 days, to remove the objections, and
439the time for closing shall be extended as necessary for this purpose. In the event that Seller is unable to remove said objections, Buyer
440shall have 5 days from receipt of notice thereof, to deliver written notice waiving the objections, and the time for closing shall be extended
441accordingly. If Buyer does not waive the objections, this Offer shall be null and void. Providing title evidence acceptable for closing does
442not extinguish Seller's obligations to give merchantable title to Buyer.
443Ŷ UNPAID CONDOMINIUM ASSESSMENTS: All unpaid assessments shall be paid by Seller no later than closing.
444Ŷ SPECIAL ASSESSMENTS/OTHER EXPENSES: Special assessments, if any, including those by any applicable homeowners or
445Condominium Association, levied or for work actually commenced prior to the date of this Offer shall be paid by Seller no later than
446closing. All other special assessments shall be paid by Buyer.
447CAUTION: Consider a special agreement if area assessments, property owners or Condominium Association special
448assessments, special charges for current services under Wis. Stat. § 66.0627 or other expenses are contemplated. ³2WK Ua
449
S QV V´a U a RQ -time charges or ongoing use fees for public improvements (other than those resulting in special
450
assessments) relating to curb, gutter, street, sidewalk, sanitary and stormwater and storm sewer (including all sewer mains
451
and hook-up/connection and interceptor charges), parks, street lighting and street trees, and impact fees for other public
452facilities, as defined in Wis. Stat. § 66.0617(1)(f).
453EARNEST MONEY
454ŶHELD BY: Unless otherwise agreed, earnest money shall be paid to and held in the trust account of the listing broker (buyer's agent if
455Property is not listed or Seller's account if no broker is involved), until applied to the purchase price or otherwise disbursed as provided in
456the Offer.
457CAUTION: Should persons other than a broker hold earnest money, an escrow agreement should be drafted by the Parties or
458an attorney. If someone other than Buyer makes payment of earnest money, consider a special disbursement agreement.
459Ŷ DISBURSEMENT: If negotiations do not result in an accepted offer, the earnest money shall be promptly disbursed (after clearance
460from payor's depository institution if earnest money is paid by check) to the person(s) who paid the earnest money. At closing, earnest
461money shall be disbursed according to the closing statement. If this Offer does not close, the earnest money shall be disbursed according
462to a written disbursement agreement signed by all Parties to this Offer. If said disbursement agreement has not been delivered to broker
463within 60 days after the date set for closing, broker may disburse the earnest money: (1) as directed by an attorney who has reviewed the
464transaction and does not represent Buyer or Seller; (2) into a court hearing a lawsuit involving the earnest money and all Parties to this
465Offer; (3) as directed by court order; or (4) any other disbursement required or allowed by law. Broker may retain legal services to direct
466disbursement per (1) or to file an interpleader action per (2) and broker may deduct from the earnest money any costs and reasonable
467attorneys fees, not to exceed $250, prior to disbursement.
468ŶLEGAL RIGHTS/ACTION: Broker's disbursement of earnest money does not determine the legal rights of the Parties in relation to this
469Offer. Buyer's or Seller's legal right to earnest money cannot be determined by broker. At least 30 days prior to disbursement per (1) or
470(4) above, broker shall send Buyer and Seller notice of the disbursement by certified mail. If Buyer or Seller disagree with broker's
471proposed disbursement, a lawsuit may be filed to obtain a court order regarding disbursement. Small Claims Court has jurisdiction over
472all earnest money disputes arising out of the sale of residential property with 1-4 dwelling units and certain other earnest money disputes.
473Buyer and Seller should consider consulting attorneys regarding their legal rights under this Offer in case of a dispute. Both Parties agree
474to hold the broker harmless from any liability for good faith disbursement of earnest money in accordance with this Offer or applicable
475Department of Regulation and Licensing regulations concerning earnest money. See Wis. Admin. Code Ch. RL 18.
476INSPECTIONS AND TESTING Buyer may only conduct inspections or tests if specific contingencies are included as a part of this Offer.
477$Q³LQVSHFWLRQ´LVGHILQHG V QR VHUY WLRQRIWKH8QLW QG Q\ LPLWHG&RPPRQ(OHPHQWVZKLFKGRHVQRWLQFOXGH SSU LV ORUtesting,
478other than testing for leaking carbon monoxide, or testing for leaking LP gas or natural gas used as a fuel source, which are hereby
479XWKRUL]HG$³WHVW´LVGHILQHG VWKHW NLQJRIV PSOHVRIP WHUL OVVXFK VVRLOVZ WHU LURU XLOGLQJP WHUL OVIURPWKe Unit and the
480 laboratory or other analysis of these materials. 6HOOHU JUHHVWR OORZ%X\HU¶VLQVSHFWRUVWHVWHUV QG SSU LVHUVUH VRQ OH FFHVVWRWKH
481Unit and any Limited Common Elements upon advance notice, if necessary to satisfy the contingencies in this Offer. Buyer and licensees
482 may be present at all inspections and testing. ([FHSW V RWKHUZLVH SURYLGHG 6HOOHU¶V XWKRUL] WLRQ IRU LQVSHFWLRQV GRHV QRW XWKRUL]H
483Buyer to conduct testing.
484NOTE: Any contingency authorizing testing should specify the areas of the Unit to be tested, the purpose of the test, (e.g., to
485determine if environmental contamination is present), any limitations on Buyer's testing and any other material terms of the
486
contingency. %X\HU JUHHV WR SURPSWO\ UHVWRUH WKH 8QLW WR LWV RULJLQ O FRQGLWLRQ IWHU %X\HU¶V LQVSHFWLRQV QG WHVWLQJ UH FRPSOHWHG
487
unless otherwise agreed to with Seller. Buyer agrees to promptly provide copies of all inspection and testing reports to Seller. Seller
488acknowledges that certain inspections or tests may detect environmental pollution which may be required to be reported to the Wisconsin
489Department of Natural Resources.
Property Address: __________________________________________________________________________________________________________Page 9 of 9, WB-14
490 INSPECTION CONTINGENCY: This contingency only authorizes inspections, not testing (see lines 476-489). This Offer is 491 contingent upon a Wisconsin registered home inspector performing a home inspection of the Unit and any Limited Common Elements 492 which discloses no Defects. This Offer is further contingent upon a qualified independent inspector or independent qualified third party
493performing an inspection of _______________________________________________________________________________________
494_____________________________________________________ (list any Property component(s) to be separately inspected, e.g., roof,
495foundation, chimney, etc.) which discloses no Defects. Buyer shall order the inspection(s) and be responsible for all costs of inspection(s).
496Buyer may have follow-up inspections recommended in a written report resulting from an authorized inspection performed provided they
497occur prior to the deadline specified at line 501. Inspection(s) shall be performed by a qualified independent inspector or independent
498qualified third party.
499CAUTION: Buyer should provide sufficient time for the home inspection and/or any specialized inspection(s), as well as any
500follow-up inspection(s).
501This contingency shall be deemed satisfied unless Buyer, within ___________________ days of acceptance, delivers to Seller a copy of
502the written inspection report(s) and a written notice listing the Defect(s) identified in those report(s) to which Buyer objects (Notice of
503Defects).
504CAUTION: A proposed amendment is not a Notice of Defects and will not satisfy this notice requirement.
505For the purposes of this contingency, Defects (see lines 313-316) do not include structural, mechanical or other conditions the nature and
506extent of which Buyer had actual knowledge or written notice before signing this Offer.
507 Ŷ RIGHT TO CURE: Seller (shall)(shall not) ISTRIKE ONEI ³VK OO´LIQ LWK ULVVWULFN QK Y ULJKWWRFXU WK ' I FWV,I6 OO UK VWK
508right to cure, Seller may satisfy this contingency by: (1) delivering written notice to Buyer within 10 days of Buyer's delivery of the Notice of
509' I FWVVW WLQJ6 OO U¶V election to cure Defects; (2) curing the Defects in a good and workmanlike manner; and (3) delivering to Buyer a
510written report detailing the work done within 3 days prior to closing. This Offer shall be null and void if Buyer makes timely delivery of the
511Notice of Defects and written inspection report(s) and: (1) Seller does not have a right to cure or (2) Seller has a right to cure but: (a)
512Seller delivers written notice that Seller will not cure or (b) Seller does not timely deliver the written notice of election to cure.
513
ADDENDA: The attached ___________________________________________________________ is/are made part of this Offer.
514ADDITIONALPROVISIONS/CONTINGENCIES ______________________________________________________________________
515_____________________________________________________________________________________________________________
516_____________________________________________________________________________________________________________
517_____________________________________________________________________________________________________________
518_____________________________________________________________________________________________________________
519_____________________________________________________________________________________________________________
520ENTIRE CONTRACT This Offer, including any amendments to it, contains the entire agreement of the Buyer and Seller regarding the
521transaction. All prior negotiations and discussions have been merged into this Offer. This agreement binds and inures to the benefit of the
522Parties to this Offer and their successors in interest.
523This Offer was drafted on_________________________ [date] by [Licensee and Firm] _______________________________________
524___________________________________________________________________________________________________________.
525(x) _________________________________________________________________________________________________________
526
%X\ U¶V6LJQ WXU Ÿ3ULQW1 P + U Ź
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527(x) _________________________________________________________________________________________________________
528
529EARNEST MONEY RECEIPT Broker acknowledges receipt of earnest money as per line 9 of the above Offer.
530_______________________________________________ Broker (By) __________________________________________________
531SELLER ACCEPTS THIS OFFER. THE WARRANTIES, REPRESENTATIONS AND COVENANTS MADE IN THIS OFFER
532SURVIVE CLOSING AND THE CONVEYANCE OF THE PROPERTY. SELLER AGREES TO CONVEY THE PROPERTY ON THE
533TERMS AND CONDITIONS AS SET FORTH HEREIN AND ACKNOWLEDGES RECEIPT OF A COPY OF THIS OFFER.
534
(x)
___
535
6 OO U¶V6LJQ WXU Ÿ3ULQW1 P + U Ź
'
W
Ÿ
536
537
538
This Offer was presented to Seller by [Licensee and Firm]
539__________________________________________on_________________________________________ at ____________ a.m./p.m.
540
This Offer is rejected __________________ ________
This Offer is countered [See attached counter] __________________ ________
541
6 OO U,QLWL OVŸ ' W Ÿ
6 OO U,QLWL OVŸ' W Ÿ
When preparing to fill out the Wisconsin Residential Offer to Purchase form, specifically for a residential condominium, it's essential to approach the process meticulously. This form is a critical component of the home buying process, serving as a legally binding agreement between the buyer and the seller once both parties have signed. Understanding and correctly completing this form is crucial for effectively communicating your offer, including terms of purchase, to the seller. The sections below lay out the necessary steps to fill in this document comprehensively. Ensuring these steps are followed carefully will help streamline the negotiations and facilitate a smoother transaction.
Once the form is completed and both buyer and seller have agreed to all terms by signing, the next steps involve waiting for any contingencies, such as financing or home inspection, to be satisfied. As those conditions are met, the final preparations for closing can begin, leading up to the transfer of ownership. Remember, it's critical to consult with a real estate professional or legal advisor if there are any uncertainties or concerns during this process.
What is the purpose of the WB-14 Residential Condominium Offer to Purchase form?
This form is essentially a legally binding proposal made by a potential buyer to purchase a condominium in Wisconsin. It outlines the terms and conditions of the purchase, including the offer price, earnest money amount, financing details, and any contingencies such as inspections or securing a loan. Once both the buyer and seller sign this form, it becomes a contract obligating both parties to comply with its terms.
What does "earnest money" mean in the context of this offer?
Earnest money is a deposit made by the prospective buyer as a show of good faith that they are serious about proceeding with the purchase. This deposit is typically held in an escrow account and applied to the purchase price at closing. Should the buyer back out of the deal without a valid reason as specified in the contract, they may forfeit this deposit to the seller as compensation for taking the property off the market.
How are items such as fixtures and exclusions addressed in the offer?
The form specifies which fixtures and additional items are included in or excluded from the purchase price. Fixtures typically include items permanently attached to the property like lighting fixtures, built-in appliances, and cabinetry. The offer must clearly identify any items that the seller plans to remove or exclude from the sale to avoid misunderstandings.
What are "Common Elements" and "Limited Common Elements"?
Common Elements refer to areas and amenities within a condominium complex that are shared among all unit owners, such as the lobby, elevators, gym, and garden. Limited Common Elements, on the other hand, are areas designated for the exclusive use of specific unit owners but are still part of the common property, such as balconies, parking spaces, and storage lockers. The offer to purchase outlines the buyer's rights and responsibilities related to these elements.
Can the seller accept other offers after accepting mine?
Yes, the seller can keep their property on the market and accept backup offers even after binding acceptance of your offer. However, your offer becomes the primary contract the seller must honor unless it's terminated under terms agreed upon in the offer. This scenario often occurs in competitive markets, ensuring sellers have alternatives if the primary offer falls through due to financing or other contingencies.
What happens if I discover problems with the property after my offer is accepted?
The WB-14 form includes provisions for inspections and outlines conditions affecting the property or transaction. Should inspections reveal significant defects or if the seller's Real Estate Condition Report indicates issues not previously disclosed, you may have grounds to renegotiate the purchase terms or rescind the offer, depending on the contingencies outlined in your agreement. It's crucial to conduct thorough due diligence and seek legal guidance if problems arise during the purchase process.
When filling out the Wisconsin Residential Offer to Purchase form, a careful approach is needed to avoid common pitfalls. Incorrectly completed forms can lead to misunderstandings, delays, or even the breakdown of a transaction. Below are ten mistakes to watch out for:
Attention to detail when completing the Wisconsin Residential Offer form can significantly impact the success of a transaction. Each aspect of the offer needs careful consideration to ensure it accurately reflects the agreement between buyer and seller and complies with local laws and regulations. Failing to do so may lead to delays, additional expenses, or, in the worst case, the nullification of the offer. Buyers and sellers are encouraged to consult with real estate professionals or legal advisors to navigate these complexities effectively.
When preparing or reviewing a Wisconsin Residential Offer to Purchase form, several other documents and forms commonly support and provide necessary additional details for the transaction. Understanding these supplementary documents can streamline the purchase process and ensure both parties are well-informed.
Each of these documents plays a vital role in supporting the Wisconsin Residential Offer to Purchase form. They ensure clarity, compliance with legal requirements, and mutual understanding of the terms between buyer and seller. Professionals involved in real estate transactions should be familiar with these forms to effectively navigate the buying or selling process.
The Wisconsin Residential Offer to Purchase form is quite similar to the general Residential Purchase Agreement used in other states. Both documents outline the specific terms and conditions under which a property is being sold and purchased, including but not limited to the purchase price, earnest money deposit, closing date, and any contingencies such as financing or inspections. They serve as a legally binding agreement between the buyer and seller once both parties have signed.
Another document akin to the Wisconsin Residential Offer to Purchase is an Earnest Money Receipt. This document acknowledges the receipt of the earnest money deposit from the prospective buyer to demonstrate their good faith and intent to complete the property purchase. While the Earnest Money Receipt is typically a separate document, its function and purpose are incorporated into the Wisconsin form through the earnest money provisions, which specify the amount and handling of the earnest money deposit.
The Seller’s Real Estate Condition Report, required under Wisconsin law for most residential property sales, bears resemblance to the part of the Wisconsin Residential Offer to Purchase form that deals with property condition representations. Both documents require the seller to disclose their knowledge of the condition of the property, including any known defects or issues. The difference lies in the scope and detail; the standalone Condition Report is more comprehensive, but the Offer to Purchase includes provisions pointing to the Condition Report’s importance and incorporation by reference.
The Condominium Addendum is closely related to sections of the Wisconsin Residential Offer specific to condominium purchases. This document supplements a typical offer to purchase by addressing details unique to condominiums, such as the governance of the condominium association, fees, and any special assessments or rules. The related sections within the Wisconsin form address similar points, ensuring buyers are aware of what is included in their purchase and any obligations as unit owners within a condominium complex.
The Financing Contingency is another aspect where the Wisconsin Residential Offer to Purchase has its counterpart in the form of a standalone Financing Contingency Addendum found in some real estate transactions. Both documents outline the terms under which the purchase depends on the buyer obtaining financing. They specify the type, amount, and conditions of the loan the buyer must secure to proceed with the purchase, and what happens if the buyer is unable to secure such financing.
A Closing Disclosure, while not a contract like the Residential Offer to Purchase, is related in terms of closing the transaction. The Closing Disclosure details the final financial terms and expenses of the mortgage loan, which tie back to the terms agreed upon in the Offer to Purchase. It provides a detailed account of all fees, charges, and credits involved in the transaction, essentially finalizing what was initially agreed in the offer.
The Home Inspection Addendum or contingency clauses related to inspections in the Offer to Purchase mirror each other closely as well. They specify the terms under which the property will be inspected by a professional to assess its condition. Clauses within the Wisconsin Residential Offer outline the rights and responsibilities of both the buyer and seller regarding property inspections and how issues identified during inspections can affect the transaction.
When it comes to filling out the Wisconsin Residential Offer for a Condominium, it is important to proceed with attention to detail and full understanding of the terms. Here are key guidelines to ensure that the process goes smoothly.
Do:
Don't:
There are several common misconceptions about the Wisconsin Residential Offer form that can lead to misunderstandings during the home buying process. Here are seven of the most notable ones explained:
In fact, the Wisconsin Residential Offer to Purchase form is used for single-family homes as well as condominiums, as explicitly indicated in the title and throughout the document.
While the amount can vary, providing an earnest money deposit is a standard part of the offer process, signifying the buyer's serious intent to purchase.
The offer form specifies which items are included and excluded from the purchase. It's crucial for buyers and sellers to clearly state in the agreement which fixtures and/or additional items are part of the sale to avoid confusion.
An offer only becomes binding upon both parties after the seller accepts the offer and communicates this acceptance back to the buyer within the specified time frame.
While a home inspection may reveal defects, the obligation of the seller to remedy those defects is a negotiable matter and should be addressed in the offer's contingencies.
The closing date is also negotiable and may be adjusted to accommodate both the buyer's and the seller's needs as they prepare for the transfer of ownership.
A financing contingency is a critical aspect of the offer that protects the buyer in the event they are unable to secure financing. It outlines specific conditions under which the buyer can back out without penalty.
Understanding these common misconceptions can help both buyers and sellers navigate the process of making or accepting an offer more effectively, leading to a smoother transaction for all parties involved.
Understanding the Wisconsin Residential Offer to Purchase form is crucial for both buyers and sellers in the real estate market. This comprehensive document, regulated by the Wisconsin Department of Regulation and Licensing, outlines the terms and conditions under which a property is offered for purchase. Here are four key takeaways regarding filling out and utilizing this form effectively.
In summary, the Wisconsin Residential Offer to Purchase form is a key document that requires careful attention to detail and clear communication between all parties involved. By understanding and correctly filling out the form, both buyers and sellers can navigate the complex process of a real estate transaction more smoothly and effectively.
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