BUYER INCENTIVE AND ALLOWANCE ADDENDUM NO.
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1 Page 1 of 5 PROJECT NAME: PROPERTY: Lot or Unit: BUYER: BUYER INCENTIVE AND ALLOWANCE ADDENDUM NO. Street Address: THIS BUYER INCENTIVE AND ALLOWANCE ADDENDUM constitutes a part of the Contract between Buyer and Seller pertaining to the Property. This Buyer Incentive and Allowance Addendum will replace any previous Buyer Incentive and Allowance Addendum previously entered between Buyer and Seller. [NOTE TO DIVISION: Please delete highlighted provisions and provisions in brackets that are not used. Remove brackets from provisions that are used. Once all incentive language has been selected, please delete all highlighted provisions. The most current version of the Buyer Incentive and Allowance Addendum must list all incentives provided to date.] 1. Incentives or Allowances Offered by Seller. USAA Incentive-To Be Built Homes If Buyer is a member of USAA Federal Savings Bank on the Contract, Buyer will receive a CalAtlantic Homes Design Center credit in an amount equal to the lesser of 1% of Base Purchase Price or $2,500. Buyer acknowledges that Buyer will be responsible for payment of a cash deposit on such options or upgrades. This incentive may only be used to purchase Options at the CalAtlantic Homes Design Center and Buyer will not receive a credit or reimbursement of any remaining incentive that is not paid toward such Options. USAA Incentive-Quick Move-In Homes If Buyer is a member of USAA Federal Savings Bank on the Contract, Buyer will receive a CalAtlantic Homes Design Center credit in an amount equal to the lesser of 1% of Base Purchase Price or $2,500 ("USAA Credit"). Since Buyer is purchasing a Residence that was already completed as of the Contract, Buyer may use the USAA Credit against the retail cost of Options already installed in the Residence, thus resulting in a reduction in the Total Purchase Price. For purposes of this provision, the "retail cost" of the Options is the price at which such Options are currently being offered by Seller. Buyer will not receive a credit or reimbursement of any remaining incentive that is not credited toward such Options. Closing Cost Incentive--No Conditions Closing Cost (% of Purchase Price) Buyer Must Use CAM [and CAT] to Get Full Amount of Incentive (No other alternatives) Buyer will receive a closing cost credit of up to % ( percent) of the final sales price of the Property (reflected in the Purchase Contract as the "Total Purchase Price") ("Credit") if, and only if, Buyer closes Buyer's Loan with Seller's Designated Lender [and uses CalAtlantic Title, Inc. as the Title Insurer][and Closing Agent]. The Credit must be used to pay closing If the sum of the closing costs is less than the Credit, you will not receive the benefit of the remaining balance of the Credit.
2 Page 2 of 5 Closing Cost ($ Amount) Buyer Must Use CAM [and CAT] to Get Full Amount of Incentive (No other alternatives) Buyer will receive a credit of up to $ toward closing costs ("Credit") if, and only if, Buyer closes Buyer's Loan with Seller's Designated Lender [and uses CalAtlantic Title, Inc. as the Title Insurer][and Closing Agent]. The Credit must be used to pay closing If the sum of the closing costs is less than the Credit, you will not receive the benefit of the remaining balance of the Credit. Closing Cost (% of Purchase Price) Buyer Must Meet One of Several Finance Related Conditions to Get Full Amount of Incentive (CAM/CAT not necessarily required) Buyer will receive a closing cost credit of up to % ( percent) of the final sales price of the Property (reflected in the Purchase Contract as the "Total Purchase Price") ("Credit") if, and only if, Buyer fulfills one of the following requirements: [and Buyer uses CalAtlantic Title, Inc. as the Title The Credit must be used to pay closing If the sum of the closing costs is less than the Credit, you will not receive the benefit of the remaining balance of the Credit. Closing Cost ($ Amount) Buyer Must Meet One of Several Finance Related Conditions to Get Full Amount of Incentive (CAM/CAT not necessarily required) Buyer will receive a closing cost credit of up to $ ("Credit") if, and only if, Buyer fulfills one of the following requirements: [and Buyer uses CalAtlantic Title, Inc. as the Title The Credit must be used to pay closing If the sum of the closing costs is less than the Credit, you will not receive the benefit of the remaining balance of the Credit. Closing Cost Buyer Must Use CAM [and CAT] to Get a Portion of Incentive (No other alternatives) (Financing Condition Incentive Based Upon % of Purchase Price) Buyer will receive an additional closing cost credit of up to % ( percent) of the final sales price of the Property (reflected in the Purchase Contract as the "Total Purchase Price") if, and only if, Buyer closes Buyer's Loan with Seller's Designated Lender [and uses CalAtlantic Title, Inc. as the Title Insurer][and Closing Agent].
3 Page 3 of 5 The closing cost credit must be used to pay closing If the sum of the closing costs is less than the credit, you will not Closing Cost Buyer Must Use CAM [and CAT] to Get a Portion of Incentive (No other alternatives) ($ Amount Financing Condition Incentive) Buyer will receive an additional closing costs credit of up to $ of the final sales price of the Property (reflected in the Purchase Contract as the "Total Purchase Price") if, and only if, Buyer closes Buyer's Loan with Seller's Designated Lender [and uses CalAtlantic Title, Inc. as the Title Insurer][and Closing Agent]. The closing cost credit must be used to pay closing If the sum of the closing costs is less than the credit, you will not Closing Cost Buyer Must Meet One of Several Finance Related Conditions to Get a Portion of Incentive (CAM/CAT not necessarily required) (Financing Condition Incentive Based Upon % of Purchase Price) Buyer will receive an additional credit of up to % ( percent) of the final sales price of the Property (reflected in the Purchase Contract as the "Total Purchase Price") if, and only if, Buyer fulfills one of the following requirements: [and Buyer uses CalAtlantic Title, Inc. as the Title The closing cost credit must be used to pay closing If the sum of the closing costs is less than the credit, you will not Closing Cost Buyer Must Meet One of Several Finance Related Conditions to Get a Portion of Incentive ($ Amount Financing Condition Incentive) Buyer will receive an additional closing cost credit of up to $ ("Credit") if, and only if, Buyer fulfills one of the following requirements: [and Buyer uses CalAtlantic Title, Inc. as the Title
4 Page 4 of 5 The closing cost credit must be used to pay closing If the sum of the closing costs is less than the credit, you will not Closing Cost Incentive Buyer Must Pay All Cash or Pay All Cash and Use CAT Seller will pay up to $ in closing costs (including prepaid HOA assessments) if and only if Buyer closes by paying the entire Purchase Price in cash [and Buyer uses CalAtlantic Title, Inc. as the Closing Agent]. This incentive may only be used to Closing Cost Incentive Buyer Must Close by Certain Seller will pay up to $ in closing costs (including prepaid HOA assessments) if and only if Buyer closes by. This incentive may only be used to pay closing costs and Buyer will not receive a credit or reimbursement of any remaining incentive that is not paid toward such Design Center Credit Incentive--No Conditions Buyer will receive up to a $ credit for use at the CalAtlantic Homes Design Center. Buyer acknowledges that Buyer will be responsible for payment of a cash deposit on such options or upgrades. This incentive may only be used to purchase Options at the CalAtlantic Homes Design Center and Buyer will not receive a credit or reimbursement of any remaining incentive that is not paid toward such Options. Design Center Credit Incentive Buyer Must Pay All Cash Buyer will receive up to a $ credit for use at the CalAtlantic Homes Design Center if and only if Buyer closes by paying the entire Purchase Price in cash. This incentive may only be used to pay closing costs and Buyer will not receive a credit or reimbursement of any remaining incentive that is not paid toward such Design Center Credit Incentive Buyer Must Close by Certain Buyer will receive up to a $ credit for use at the CalAtlantic Homes Design if and only if Buyer closes by. Buyer acknowledges that Buyer will be responsible for payment of a cash deposit on such options or upgrades. This incentive may only be used to purchase Options at the CalAtlantic Homes Design Center and Buyer will not receive a credit or reimbursement of any remaining incentive that is not paid toward such Options. Purchase Price Includes Design Center Allowance The Total Purchase Price includes a $ allowance for use at the CalAtlantic Homes Design Center. Buyer acknowledges that Buyer will be responsible for payment of a cash deposit on such options or upgrades. This incentive may only be used to purchase Options at the CalAtlantic Homes Design Center and Buyer will not receive a credit or reimbursement of any remaining incentive that is not paid toward such Options. Purchase Price Reduction Seller agrees to reduce the Base Purchase Price of the Property by $. The Total Purchase Price, as amended, is $. Custom Incentive Language Buyer Will Receive (Must Be Approved by Corp. Marketing and Corp. Legal)
5 Prior to or upon closing, Buyer will receive up to $ toward Page 5 of 5 Custom Incentive Language---Seller Will (Must Be Approved by Corp. Marketing and Corp. Legal) Prior to or upon closing, Seller will provide up to $ toward 2. Lender Limitations on Incentives. The incentives, credits, and other seller contributions may exceed lender limits established for the loan program for which Buyer qualifies, may require Buyer to contribute additional cash at closing, or may be prohibited by Selected Lender. Buyer will remain obligated to close under the Contract whether or not the Selected Lender approves the incentives, credits, and other seller contributions. 3. Buyer Agrees to Provide Information to the Lender. Buyer agrees that Buyer will promptly provide the entire purchase contract, all addenda (including this addendum), and all amendments to any lender loaning purchase money to Buyer for this transaction. Such documents must be provided to such lender(s) within five (5) business days of the execution of such documents and in no event later than the Loan Approval Deadline set forth in the Contract or, if the Contract does not set forth a Loan Approval Deadline, in no event later than the Closing. If the lender will not accept documents directly from Buyer, Buyer must provide such documents to the Closing Agent and will confirm that the Closing Agent has provided the documents to the lender(s). IN WITNESS WHEREOF, the parties have executed this Buyer Incentive and Allowance Addendum as of the date of Seller s acceptance below. ACCEPTED BY: SELLER: CalAtlantic Homes of Texas, Inc., a Delaware corporation By Title: Authorized Representative Signed by Seller: BUYER:
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