Question

Which of these statements about Hawaii purchase contract contingencies is true?

a) All contingencies are prepared using separate HAR contract addenda.
b) Hawaii real estate regulations prohibit the inclusion of purchase contract contingencies.
c) The buyer and seller must employ an attorney to write a contract that includes contingencies.
d) The HAR purchase contract includes provisions that address most contingency issues.

Answer 1

The HAR purchase contract includes provisions that address most contingency issues.

Step-by-step explanation:

The correct statement about Hawaii purchase contract contingencies is option d) The HAR purchase contract includes provisions that address most contingency issues.

The Hawaii Association of Realtors (HAR) purchase contract is a standardized form that is commonly used in real estate transactions in Hawaii. This contract includes provisions that address various contingency issues such as financing contingencies, appraisal contingencies, inspection contingencies, and more.

For example, if a buyer wants to purchase a property in Hawaii, but needs to secure a mortgage loan, they can include a financing contingency in the contract. This contingency allows the buyer to back out of the contract if they are unable to obtain financing within a specified period of time.