Document background
The Seller Financing Addendum is utilized in Dutch property transactions where traditional bank financing is either not preferred or not available, enabling the seller to finance the buyer's purchase directly. This arrangement requires careful structuring to comply with Dutch financial regulations, property laws, and consumer protection requirements. The document supplements the main purchase agreement by detailing financing terms, security arrangements, payment schedules, and default remedies. It must be executed before a Dutch notary and properly registered to ensure enforceability. The addendum becomes particularly relevant in situations involving commercial property transactions, specialized properties, or cases where buyers may face challenges obtaining traditional mortgage financing. Key considerations include compliance with the Financial Supervision Act (Wet op het financieel toezicht) and proper registration under the Cadastre Act (Kadasterwet).
