What is unique about a short-sale addendum in real estate transactions?

In a short-sale transaction, the unique aspect of the short-sale addendum is that it specifically states that the sale depends on the lender's approval, which means there is no guarantee that the sale will be finalized. A short sale occurs when a property is sold for less than the amount owed on the mortgage, and the lender must agree to accept this lower amount to release the borrower from the mortgage obligation. This negotiation process adds uncertainty to the transaction, as the lender has the final say and needs to approve the sale, sometimes taking weeks or even months to reach a decision.

This aspect distinguishes short sales from traditional real estate transactions, where the buyer and seller typically negotiate terms directly without the necessity of lender approval. It's crucial for potential buyers involved in a short sale to understand this process and be prepared for potential delays or even abandonment of the sale if the lender does not approve.