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PRDS “SHORT SALE” ADDENDUMTO PURCHASE CONTRACT

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Copyright© 2008 Advanced Real Estate Solutions, Inc. Form RSSAP Revised 7/08

This Short Sale Addendum (“Addendum”) is intended to modify that certain Real Estate Purchase Contract(“Contract”), dated ________________, between ___________________________________ (“Seller”)and __________________________________________ (“Buyer”) relating to the real property located at________________________________________________________________________ (“Property”).

1. “Short Sale” Designation. A “Short Sale” refers to a transaction in which the amount of loans andother monetary obligations encumbering a property, combined with brokerage commissions and otherexpected costs of and relating to sale, exceed its current fair market value. Buyer and Seller have beenapprised that the listed Property may be subject to a Short Sale and that, in order to close escrowand deliver title, Seller may be required to:

a. Deposit additional funds (beyond anticipated proceeds of sale) with the Escrow Holder; orb. Secure from Seller’s lenders a reduction of the amount demanded for pay-off of loans secured by the

Property.

2. “Short Sale” Contingency; Adjustment of Contract Time Periods. This Contract is contingent onSeller’s obtaining from Seller’s lenders and/or other lien holders written commitments to reduce theirrespective pay-off demands to an extent and in an amount sufficient to assure that sale proceeds willadequately satisfy loan payoff demands, liens, property taxes, escrow fees, brokerage fees, escrow feesand such other fees and charges provided for under the Contract or otherwise imposed by statute. Sellershall have until ____________ (date) (or __________) days from Acceptance within which to removethis contingency. If by such time Seller shall not have removed this contingency in writing, either Buyer orSeller shall be entitled to cancel this Contract and Buyer shall thereupon be entitled to the return ofBuyer’s deposit. Unless otherwise agreed in writing, time periods applicable to Buyer’s performance(e.g., including any Buyer’s deposits, inspections, removal of Buyer contingencies, etc.) shallcommence upon delivery by Seller of a written removal of this Short Sale contingency.

3. Uncertainty of Lender/Lien holder Accommodations. Seller understands that, even in anticipation ofa Short Sale situation, lenders and other lien holders are under no legal obligation to reduce their pay-offdemands. Additionally, the lenders and lien holders involved may impose charges or restrictions thatrender a hoped-for Short Sale solution impossible, impracticable or unworkable. Consequently, it ispossible that Seller (or, as the case may be, the Listing Agent) may not be successful in obtaining pay-offreductions in an amount sufficient to achieve sale and transfer of the title of the Property.

4. Tax, Credit and Other Consequences; Financial and Legal Advice. There may be significant tax andother financial consequences to borrowers where the lender has agreed to reduce its pay-off demand infavor of the borrower. Moreover, a borrower’s credit rating may be negatively affected by a Short Sale. Itis recommended that, prior to entering into a Short Sale, Seller confer with financial, tax and legaladvisors regarding Short Sale and its alternatives, including but not limited to, refinancing, renegotiationof loan terms, bankruptcy, forbearance, foreclosure or deed in lieu of foreclosure.

DATE: _________________________________________ DATE: _____________________________________

SELLER: _______________________________________ BUYER: ___________________________________

SELLER: _______________________________________ BUYER: ___________________________________

1/1/2013 Seller 1

Seller 1

Seller 2

Seller 2

Buyer 1

Buyer 1

Buyer 2

Buyer 2

### Property Address, City, CA Zip Code