The NVAR Board of Directors has approved the following new forms and forms changes, as proposed by the NVAR Standard Forms Committee, effective January 1, 2023.
K1391 – New Home Sales Addendum. This form has been updated consistent with relevant changes to the Residential Sales Contract.
K1359 – Conventional Financing & Appraisal Contingency. This form has been modified to include an option for an “Appraisal Contingency Plus Gap Guaranty.” This form was also revised to clarify that Buyer must deliver Lender Rejection Letter for Specified Financing in order to Void the Contract.
K1340 – FHA Financing Contingency & K1372 – USDA Financing Contingency. These forms were revised to clarify that Buyer must deliver Lender Rejection Letter for Specified Financing in order to Void the Contract.
K1339 – VA Financing Contingency. This form has been modified to address the new VA regulations specifying that Veterans are not prohibited from being charged wood destroying pest inspection fees or from paying the cost of repairs. This form was also revised to clarify that Buyer must deliver Lender Rejection Letter for Specified Financing in order to Void the Contract.
K1017 – Property Management Agreement. This form has been substantially rewritten to ensure consistency with current Virginia law and modern practice. The form has also been modified for clarity and concision. Combined and streamlined disclosures for Professional Advice and Service Provider Referrals. Revised language in Fair Housing paragraph to be consistent with language in VRLTA Lease. Replaced “shall” with “will” and “Agent with “Managing Agent”. Removed repetitive language. Added language that Agreement terminates automatically upon sale of Premises. Included Property Management Information Form as Exhibit to Agreement instead of a separate form.
K1354 – Lease – VRLTA. This form has been substantially revised to streamline language, consistently use defined terms, and replace “shall” with “will”. Re-organized paragraphs for consistency and logical flow. Significantly, the “Rent” paragraph has been re-organized and re-structured to promote clarity and to ensure that all relevant information is provided. Added space to list 8 Occupants, consistent with Rental Application. Revised “Utilities and Services” and “Fixtures and Appliances” paragraphs to include additional language consistent with similar paragraphs in Residential Sales Contract. Revised Move-Out Inspection paragraph to make optional whether Tenant performs move-out cleaning/maintenance responsibilities or Landlord performs and withholds costs from Security Deposit. Combined Default & Enforcement clauses into one paragraph. Revised the SCRA paragraph to include U.S. Dept. of State employees, consistent with protections under Federal law. Streamlined list of attachments. Removed
a. Moved language that Agreement is not a Lease or subject to the VRLTA to
the top of the page for clarity.
b. Opening paragraph has been revised to clarify that the Agreement is a
stand-alone agreement and not “a part of” the Sales Contract.
c. Paragraph 1 (Occupancy Charge) – Removed the option to calculate the
d. Paragraph 2 (Occupancy Deadline) – Clarifies that if Seller vacates
Property before Deadline, Seller will remain responsible for Property
maintenance and condition and utilities until Deadline, unless the parties
agree otherwise in writing.
e. Paragraph 3 (Security Deposit) – Moved this paragraph to the first page,
due to importance. Includes stronger language that the parties irrevocably
instruct the Escrow Agent to release funds to Seller if list of deficiencies is
not received in 3 business days. Includes language that parties will
indemnify/not hold Escrow Agent liable for any loss/expense arising out of
disbursement of SD.
f. Paragraph 5 (Notice) – Added paragraph to clarify that, following
Settlement, the brokers’ agency responsibilities are satisfied, and any
further communication must occur between the parties directly. If the
parties’ contact information is not provided at or before Settlement, the
parties authorize the Brokers and/or Settlement Agent to release the contact
g. Paragraph 6 (Property Maintenance and Condition) – Modified paragraph
to address question of whether Property must be broom cleaned/trash
removed if sold “As-Is”. Included language that Seller must deliver any
keys/fobs to Buyer at Deadline.
h. Paragraph 7 (Home Warranty) – Added paragraph to emphasize
importance of Home Warranty in the event any repair/replacement is
needed. Included requirement of Seller coverage, which provides
continuous coverage from seller to buyer, so there is no waiting period or
requirement to show proof of working order before attaining coverage.
i. Paragraph 8 (Fire, Flooding or Casualty Damage) – Re-titled paragraph to
clarify that Buyer bears the risk of loss for Acts of God/casualty loss.
Clarified Seller’s responsibility for maintaining insurance policy for personal
property and liability and Buyer’s responsibility for maintaining
j. Paragraph 9 (Access) – Modified paragraph to afford parties the option of
negotiating whether Buyer is granted access to show Property during the
duration of Seller’s occupancy. Clarified that 24-hours notice is reasonable
k. Notice Information – Added box for Parties’ and Escrow Agent’s contact
information, to be completed by the parties at or before Settlement.
The following forms are added to the Standard Forms Library:
K1397 – Landlord/Tenant Move In/Move Out Inspection Report (Optional). This new form is optional but is provided to assist the parties in fulfilling their move-in and move-out inspection responsibilities under the Lease and VRLTA. General change: Initials have been removed from the bottom of each page of forms. We will continue this practice for remaining forms as they are updated. Initials need only be added where there is a strikethrough or handwritten change to the printed forms content.