The TREC 40-11 Financing Addendum, Decoded
The main contract points at financing; the 40-11 holds the actual exit.
Two different approvals
Buyer Approval — the lender approves the borrower (income, assets, credit). The buyer may terminate within the stated number of days after the Effective Date by giving notice plus the lender's written statement. Miss the window and the contract is no longer subject to Buyer Approval.
Property Approval — the lender approves the collateral (appraisal, insurability). This one runs all the way to 3 days before closing.
Time is of the essence
The 40-11's ¶2 says it plainly: strict compliance required. The Buyer Approval window does not stretch for weekends.
Educational only — not legal advice. TREC forms are for use by trained license holders; talk to your broker or an attorney about your specific transaction.
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