Can a Price Adjustment be signed electronically?

Yes. Electronic signatures are valid under the ESIGN Act (15 U.S.C. ch. 96) and UETA in most states, provided the parties consent and the e-record is retained. Verify any lender or state-specific rules before relying solely on e-signature.

Is notarization required for an amendment?

Not universally. Notarization is only required if state law or the original contract stipulates it; some states have notarization or witness rules for deed-related changes. Check local requirements or lender instructions.

What if the lender objects to the adjustment?

Lenders may require documentation or revised disclosures. Provide the signed amendment promptly and work with underwriting to update loan figures; delays can affect funding timelines.

How should I record the adjustment in closing documents?

Attach the signed amendment to the closing disclosure or settlement statement and ensure escrow updates the seller net proceeds and buyer funds required prior to closing.

Can parties initial instead of signing?

Initials may be acceptable for certain confirmatory changes but are generally insufficient for material price changes unless the document expressly permits initials in lieu of full signatures.

What if a party signed the wrong figure?

Correct the error with a new mutually executed amendment. If funds have already been disbursed, consult escrow and legal counsel to negotiate corrective instruments or reimbursements.

Electronic Signature
Templates
Real estate
Real Estate Price Adjustment

Real Estate Price Adjustment

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REAL ESTATE PRICE ADJUSTMENT

This Real Estate Price Adjustment (the Agreement) amends the Purchase Agreement identified below between Seller and Buyer with respect to the Property described herein. The parties agree that the Purchase Agreement remains in full force and effect except as expressly modified by this Adjustment. All capitalized terms used but not defined in this Adjustment have the meanings set forth in the Purchase Agreement.

Identification of Parties and Agreement

Buyer Name Buyer Contact Information Seller Name Seller Contact Information

Property Identification

Property Address Parcel / APN Number Legal Description

Agreement Reference

Original Purchase Agreement Date: Original Purchase Price: $

Price Adjustment Terms

Effective as of: , the parties hereby modify the Purchase Agreement as follows:

New Purchase Price

Earnest Money held pursuant to the Purchase Agreement shall be treated as follows:

Allocation of Price Between Land and Improvements (if required)

Closing, Possession and Related Dates

Closing Date under the Purchase Agreement is amended to: . Possession shall be delivered: or as otherwise provided in the Agreement.

All prorations and adjustments (taxes, assessments, rents, utilities) shall be computed through and including the Closing Date as adjusted above unless otherwise specified:

Contingencies and Deadlines

The following deadlines under the Purchase Agreement are extended or modified as follows:

Inspection Period / Due Diligence Deadline Financing Contingency Expiration

If financing contingency remains in effect, Buyer shall use good faith and commercially reasonable efforts to obtain financing consistent with the Purchase Agreement. Seller's obligations and Buyer's remedies for failure to satisfy contingencies remain as set forth in the Purchase Agreement unless expressly modified herein.

Disclosures

Lead-Based Paint Disclosure: Yes No

Known Mold or Water Intrusion: Yes No

Prior Material Damage or Repair (structural, termite, fire): Yes No

If any Disclosure is Yes, describe in detail

Representations, Warranties and Covenants

Each party represents and warrants that it has the full right, power and authority to enter into and perform this Adjustment, and that this Adjustment when executed will constitute a valid and binding obligation enforceable in accordance with its terms. Seller further represents that, to Seller's knowledge, there are no material undisclosed liens or encumbrances affecting the Property other than those disclosed in writing to Buyer prior to the Effective Date.

Default; Remedies; Effect on Purchase Agreement

Except as expressly modified by this Adjustment, all terms, covenants, representations, warranties, defaults and remedies in the Purchase Agreement remain in full force and effect. A breach of this Adjustment shall constitute a breach of the Purchase Agreement. Remedies for breach shall be those provided in the Purchase Agreement, including, where applicable, retention of earnest money, specific performance, damages, or rescission as provided by law and contract.

Costs, Commissions and Allocation

Except as expressly modified herein, allocation of closing costs, transfer taxes, title charges, escrow fees and broker commissions shall remain as set forth in the Purchase Agreement. Broker commission obligations shall not be altered by this Adjustment unless expressly set forth in writing and signed by the parties and the affected broker.

Governing Law; Entire Agreement

This Adjustment shall be governed by and construed in accordance with the substantive laws of the state in which the Property is located. This Adjustment, together with the Purchase Agreement, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes any prior oral or written agreements or understandings between the parties concerning the price adjustment.

Additional Terms

Counterparts; Electronic Signatures: This Adjustment may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute one instrument. Signatures delivered by electronic means shall be valid and binding for all purposes.

Buyer (Printed Name):

By (Signature):

Date:

Seller (Printed Name):

By (Signature):

Date:

What a Real Estate Price Adjustment Does and when it’s used

A Real Estate Price Adjustment is a written amendment that changes the purchase price or monetary terms in an existing real estate purchase contract. Typical uses include post-inspection repair credits, appraisal shortfalls, prorations for property taxes or utilities, lender-required adjustments, and agreed credits at closing. The adjustment should refer to the original contract, state the revised price or credit, confirm any changed contingencies or closing dates, and be signed by all parties. Electronic execution is generally acceptable where ESIGN and state e-signature law apply.

Why a clear Price Adjustment matters — legal and practical value

A concise, signed Price Adjustment reduces closing delays, prevents disputes, and records agreed changes to consideration. A written amendment preserves intent, supports lender underwriting, and documents any concessions for tax and accounting purposes.

Who typically prepares and signs a Price Adjustment

Real estate brokers, buyer and seller attorneys, escrow/closing agents, lenders, and buyers or sellers use Price Adjustments to document negotiated monetary changes.

Listing agents and buyer’s agents draft or initiate the amendment to reflect negotiated credits or repairs.
Escrow or title officers prepare final settlement statements and confirm the adjusted figures before closing.
Lenders review adjustments that affect loan-to-value or borrower funds and may require signed amendments.

Ensure every affected party signs and dates the adjustment; incorporate it into the closing package so the title/escrow company and lender have a complete record.

Core elements a professional Price Adjustment should include

A professionally drafted Price Adjustment is concise, references the original contract, and clearly states the revised monetary terms, effective date, and any related contingency changes.

Reference

Identify the original purchase agreement by date and parties so the amendment is unambiguously tied to that contract.

Adjusted Amount

State the new purchase price or exact credit amount (dollars and cents) and whether it is a reduction, credit, or addition.

Allocation

Specify whether the adjustment applies to purchase price, closing costs, escrow deposits, or prorations; include payment timing.

Effective Date

State the date the change takes effect; this controls prorations and lender processing.

Conditions

Note any contingencies remaining or removed, e.g., inspection or financing conditions linked to the adjustment.

Signatures

Provide signature blocks for all parties, dated; include witness or notarization lines if state law or lender requires them.

Required information fields at a glance

Seller Name: Full legal name

Buyer Name: Full legal name

Original Contract Date: MM/DD/YYYY

Revised Price: Numeric dollar amount

Adjustment Reason: Short description

Signatures: Signed and dated by all parties

Step-by-step: Completing a Real Estate Price Adjustment

Follow these steps to prepare and finalize a legally clear Price Adjustment that integrates with closing workflows.

01

Review Original Contract: Confirm contract terms, contingencies, and any amendment provisions.
02

Calculate Change: Determine exact dollar figure and account allocation (price vs closing costs).
03

Draft Amendment: Reference the agreement, state the change, effective date, and remaining conditions.
04

Obtain Signatures: Have all parties sign; provide copies to escrow, lender, and title.

How to set up the amendment for electronic completion

Configure a digital workflow so all parties receive and sign the Price Adjustment in the correct order.

Document	Upload final amendment as PDF
Fields	Place signature, date, and initial fields
Signer Order	Sequence signers if lender or escrow must sign last
Authentication	Choose email or SMS code for identity verification
Delivery	Send to all parties and to escrow/title once complete

Where to send the completed Price Adjustment

Routing the executed adjustment to key stakeholders ensures closing teams and lenders act on the change promptly.

Escrow/Title: Provide final signed copy to the escrow officer handling closing.
Lender: Deliver amendment to lender for loan file and funding figures.
Buyer and Seller: Each party keeps a signed copy for records and tax reporting.
Brokerage Files: Broker files the amendment in transaction management system.

Delivery and eSubmission options for modern closings

Electronic delivery, secure upload, and remote notarization are common methods to share an executed Price Adjustment.

Email/Secure Link: Signed PDF via secure link or encrypted email
Escrow Portal: Upload to title/escrow document portal
RON / Notary: Use remote online notarization where state law permits

Confirm the chosen delivery method meets lender requirements and any state notarization or witness rules before relying on electronic execution.

Timelines and deadlines to watch during adjustment and closing

Certain timing elements affect prorations, lender funding, and the effective date of the price change.

Effective Date:

Specify exact MM/DD/YYYY for prorations and tax calculations

Lender Cutoffs:

Provide amendment before lender’s final funding approval to avoid delays

Escrow Instructions:

Submit signed amendment prior to escrow’s final settlement statement

Recording:

Deeds are recorded post-closing; price adjustments do not change recording requirements

Tax Reporting:

Retain signed documents for IRS or local tax inquiries

Common preparation mistakes to avoid

Leaving the amendment ambiguous about whether the change is a credit or price reduction can cause settlement disputes.
Failing to reference the original contract date or parties may create ambiguity about which agreement was amended.
Omitting lender or escrow from distribution can trigger last-minute funding delays at closing.
Using informal language or rounding numbers without precision can cause accounting and tax reconciliation issues.

Consequences and risks of incorrect or late adjustments

Closing Delay: Funds or recording may be delayed

Lender Rejection: Loan funding can be withheld

Title Issues: Escrow may require corrective documents

Tax Discrepancies: Incorrect basis or reporting errors

Contract Dispute: Potential breach claims or litigation

Notarization Defect: Some states may invalidate the amendment if notarization/witness rules not met

Typical eSignature vendor pricing and feature snapshot

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Free Trial	7-day free trial	Varies	Varies	Varies	Varies
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

How to amend a signed contract after discovery of an issue

Use this short checklist when a post-contract issue requires a formal Price Adjustment or credit amendment.

01

Identify Issue:

Inspection, appraisal, or title dispute

02

Negotiate:

Agree on amount and allocation

03

Document:

Draft concise amendment referencing the contract

04

Sign:

Obtain all required signatures and notarization

05

Distribute:

Send copies to lender, escrow, and both parties

06

File:

Archive with closing documents and transaction record

Practical tips for accurate and efficient price adjustments

Follow these recommended practices to reduce errors and speed closing.

Be Specific

Use exact dollar figures, clear allocation, and precise effective dates to avoid interpretation disputes.

Loop in Lender Early

Notify the lender immediately if the change affects loan amount, proceeds, or closing costs.

Keep Records

Store signed amendments with escrow instructions and closing disclosures in one centralized file.

Use Electronic Workflows

Where allowed, e-signatures and RON can reduce turnaround and eliminate courier delays.

Real-world examples of Price Adjustments

Two concise scenarios illustrate how adjustments are used and documented in practice.

Inspection Credit Example

Buyer discovers a roof defect after inspection and negotiates a $6,500 credit

Adjustment reduces purchase price by $6,500
The amendment cites the original contract, states the new purchase price, is signed by both parties, and is delivered to escrow and lender before closing to update the settlement statement.

Appraisal Shortfall Example

Appraisal comes in $8,000 below contract price and buyer agrees to increase down payment by $4,000 with seller crediting $4,000

The parties record split contribution in writing
The signed amendment is attached to lender disclosures and confirms no change to closing date while documenting funds needed at settlement.

Frequently asked questions about Real Estate Price Adjustments

Answers to common concerns about legality, signatures, notarization, and distribution.

Need help? Contact support

Can a Price Adjustment be signed electronically?
Yes. Electronic signatures are valid under the ESIGN Act (15 U.S.C. ch. 96) and UETA in most states, provided the parties consent and the e-record is retained. Verify any lender or state-specific rules before relying solely on e-signature.
Is notarization required for an amendment?
Not universally. Notarization is only required if state law or the original contract stipulates it; some states have notarization or witness rules for deed-related changes. Check local requirements or lender instructions.
What if the lender objects to the adjustment?
Lenders may require documentation or revised disclosures. Provide the signed amendment promptly and work with underwriting to update loan figures; delays can affect funding timelines.
How should I record the adjustment in closing documents?
Attach the signed amendment to the closing disclosure or settlement statement and ensure escrow updates the seller net proceeds and buyer funds required prior to closing.
Can parties initial instead of signing?
Initials may be acceptable for certain confirmatory changes but are generally insufficient for material price changes unless the document expressly permits initials in lieu of full signatures.
What if a party signed the wrong figure?
Correct the error with a new mutually executed amendment. If funds have already been disbursed, consult escrow and legal counsel to negotiate corrective instruments or reimbursements.

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