Common use of MORTGAGE BOND Clause in Contracts

MORTGAGE BOND. This agreement is subject to the Purchaser obtaining a loan from a bank or other financial institution in the sum specified in Schedule "A" or such lesser amount as may be acceptable to the purchaser, on security of the property within the time specified in Schedule "A", or such extended period of time as may be agreed to by the parties in writing, failing which this agreement shall lapse and be of no further force or effect and the parties shall be returned to the position in which they were prior to the execution hereof. This loan shall be regarded as granted upon the issuing of a quotation and pre-agreement statement by the bank. The Purchaser is obliged to apply for such loan through the services of such mortgage originators as may be nominated by the Seller and/or agent. There is no charge to the Purchaser for the use of such service.