It is most likely one of a few things: Owned by a bank, owned by the gov't, owned by a business or a pre-foreclosure (also known as a short sale.) It means that the seller of the property, in addition to a typical Real Estate contract, will also have addendums (agreements) that are attached. The addendums are typically just re-iterating that they aren't liable for the condition of the property, for any liens, any title infractions... anything and everything they can say to hold themselves harmless from anything.
REALTOR | GREEN Designee
Often we will see an extra Adendum in the package, from the LISTING BROKER that has extra verbage in it: Their lawyer figured that we didn't have enough paperwork to fill out, so they wanted us to have more.
Usually it is a formatity; more lawyers will tell you differently. So we read it.