Bankruptcy Release Fee? Short Sale? Confused on Addendum
A property that I'm thinking of putting an offer has an Addendum that lists:
"Buyer acknowledges that this property is subject to Short Sale Lender and Bankruptcy Court Approval."
"Buyer will pay a $5,000 Bankruptcy release fee for properties less than $200,000. For properties $200,000 and above release fee will be 3% of the closing purchase price."
"Buyer acknowledges that the attached residential Purchase Agreement will be considered their highest and best offer.
"Property must be purchased in an individual name or LLC. Offers in the name of a corporation , trust or partnership are not acceptable."
"Buyer acknowledges that the property is sold 'AS IS' absolutely no repairs will be authorized."
So, this addendum also lists "in accordance with Nevada law" where things like that would be mentioned. And at the bottom has Greater Las Vegas Association of Realtors copyright 2012. The property is not in Nevada.
Anyone shine light on what this addendum means? The $5k is in cash after closing or added to the mortgage? My realtor just sent me the form to check out and said the listing agent said it will turn away a lot of buyers because it is a different situation.
Does this mean it is a short sale? If so, where does the bankruptcy part come into play? I'm just confused a bit and want to know what I would be getting myself into if we make an offer and win the bid.
Also, does this generally mean I can get it at much cheaper than it was a regular sale? Thoughts on that?