September 24, 2012

Dear Real Estate Broker and affiliated Associates:

The Oklahoma Real Estate Contract Forms Committee had a very productive year reviewing your concerns with the contracts and addenda. They modified existing documents and created new forms as noted below, and those changes will take effect on November 1, 2012. The forms can be previewed on the Commission’s website (www.orec.ok.gov) under “Special Announcements” (right margin).

There will be no caravan education sessions on the contracts this year as there were very minor changes made to the base contracts: Residential Sales, New Home, Vacant Lot, Commercial Improved, and Commercial Land, which is what the majority of licensees use.  For your convenience we have included the changes to these forms:

 1) The lead-in paragraph was amended relating to Contract counterparts to read
“(carbon, photo, fax or other electronic copy)”;
2) Paragraph 1. Legal Description: water rights were removed as it was implying that water rights could be reserved by the Seller;
3) Paragraph 10 (Paragraph 11 of the Residential Sales Contract). Taxes, Assessments and Prorations: paragraph changes were made relating to Homeowner’s Association assessments and dues to include governmental and municipal special assessments; and
4) The Seller Financing form had formatting changes; a new clause was added to the Standard Clause form (Number 16) relating to reservation of oil and gas mineral interest; and the Contract Pamphlet had changes to reflect the amendments.

The new contracts developed by the Contract Committee are:
              Residential Lease
                             Residential Lease Application
                             Residential Lease Agreement Deposit Receipt
                             Flood Notice Form (Notice to Tenant)
                             Landlord and Tenants “You Need to Know” Information Guide
              Farm, Ranch and Recreational Land Contract
                             Exhibit A
                             Exhibit B
                             Conventional Loan
                             Accessories
                             Removal of Livestock
                             Legal Description

As always, please provide the Commission your concerns in writing regarding the contracts and those concerns will be reviewed and discussed by the Committee.  If you have any questions regarding the forms, please contact this office.

Anne M. Woody
Executive Director