At GoKapital Loans, we understand that your time is money. That’s why we are committed to providing just-in-time commercial financing. If you find yourself seeking a new or better business loan, you’ll benefit from learning how to work with a little-known contract termination form. Our team strives to provide you with the funding you need quickly, efficiently, and affordably.
What Is a Termination of Buyer Agency Agreement Form?
A termination of buyer agency agreement form is used to end an existing client-agent relationship between a real estate buyer-agent and his or her client. This form will usually require the signatures of both parties, and it will usually be filed with the real estate office. This type of agreement is helpful in a number of situations.
Why are Termination of Buyer Agency Agreement Forms Relevant in Business Financial Transactions?
We encourage you to review the examples below to see why these forms matter when entering into financing agreements and real estate transactions. We all know that the absence of a financial, legal, or medical obligation can be more than a blessing-it can help us improve our bottom lines. Consider the following:
- Freedom to Negotiate with Different Lenders: Some lenders will not loan to individuals on certain properties, or they may not provide a particular type of financing to clients who owe them other debts.
- Reduced Risk of Failing to Fulfill Obligations to Lenders: If you have multiple loans or financing agreements with a particular lender, you will have to keep track of all of those repayment schedules. Missing one payment could land you in default and prevent you from securing new loan agreements.
- Ability to Reduce Qualifying Rate by Restructuring Financing: If you have been approved for a loan on a property, but your loan amount is too high given your income, you may be able to lower your qualifying rate by getting the lender to drop one of your existing loans.
- Risk of Punitive Fines, Difficulty Obtaining New Financing: If you do not end agreements with certain lenders, you could face stiff fees, or you might even have trouble getting approved for new loans and financing.
Example
For instance, let’s say you were looking to purchase several properties in order to expand your real estate holdings. For convenience, you signed a short-term loan for $200,000 on one property for six months with 6% interest rates, and once that paperwork was finalized, you thought you were good to go. However, the lender informed you the loan would carry a $10,000 penalty if not repaid in full within the six-month period. Further still, the bank provided the loan under the condition that you could not apply for another loan until that one was paid off, so your financing options were limited. Fortunately, you were able to use the termination of buyer agency agreement form to end the existing agreement. In that way, you were able to secure new financing for those properties with much lower interest rates. Not only is understanding these forms critical, so is understanding the importance of financial flexibility.
Financial Agility Saves Money
Agility-our ability to adapt to changes in our business and financial environments-is one of the most important factors in ensuring our continued success. Lack of agility brings with it resistance to change, which lowers our personal and organizational bottom lines. If we cannot agree to the terms of an agreement, we cannot fulfill our obligations. That breaks contracts, causes poor relationships, and wages ongoing legal battles. Fortunately, GoKapital Loans understands the importance of being financially flexible. That’s why we work hard to process applications quickly and approve funding fast! We want you to be able to take advantage of funding opportunities as they arise, so learn more about the importance of contract termination forms and apply to GoKapital Loans today.