Who approved these changes?
The RIAR Forms Committee proposed these changes with input and approval from the RIAR Executive Committee and RIAR Board of Directors.
Why were the changes made?
As a result of input from REALTORS® and Legal Hot Line questions, the Forms Committee wanted to make the Purchase and Sales Agreements more compatible with transactions that are being increasingly conducted electronically. Other priorities were to resolve confusion over whether a commitment or denial letter must be delivered to comply with the Mortgage Contingency. The changes are intended to protect buyers’ private financial details to comply with TRID (TILA-RESPA Integrated Disclosures). The committee wanted to address concerns about buyers who wait too long to submit a formal application for a mortgage.
The Forms Committee reviewed language from other states to help guide the members recommendations.
When will the changes take place?
The forms are expected to change in late November or early December, 2020, depending on when each forms vendor updates the forms.
Whom should I contact if I have questions?
