We (as buyers) have signed a contract for the purchase of our first home. The Sellers were meant to sign the contract the next day but due to some finance issues cannot sign it for another 3-4 weeks. We asked for something in writing saying that they would sell it to us and take it off the market etc, so we could start with our inspections. They went through their solicitor (on the advice of the real estate agent) and came back with a "Put and Call Option" which has some ridiculous conditions such as if we defult (?? Not sure how we could) they can sue us or sell it to another party and if they don’t get the same price as we were going to pay, we would have to give them the difference!!
This seems ridiculous to us. We are the ones who are doing them a favour by being patient and understanding to their situation. We will seek legal advice before signing this, but wondered if anyone else has come across this before? Can someone help us understand what is going on??
Jun
04
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Are you thinking about selling your home yourself? then
If the seller hasn’t signed, you don’t have an agreement yet. What is solicitor? If the sellers has finance issues, it must be with the purchase of another house right? I imagine the other agent is talking about giving you an "option to purchase contract" with a bunch of convoluted conditions. That doesn’t sound necessary from what your saying. It sounds like they just accept your contract contingent on them finding a property by a specific date. He makes his purchase (if that’s what he really needs) contingent on the successful closing of the sale of his property to you. If that’s not the finance issues he’s talking about, it seems like it could be entering the territory of "the scam". I’d be watching them really close. I’m not a lawyer so don’t take it that way. But in my experience, the more complicated it gets, the more of a scam it is. You should be having an agent or lawyer help you out on this for sure.
It sounds like the attorney they went to has very little to do but conjure up fantasies. Baloney. Think about this. Do you want to deal with these people AFTER the closing of the house? It sounds to me like they will come back and sue you for something, anything, they can.
I wouldn’t sign it, not in a million years. They can always "give" the house away and you will pay the difference? NOT! Run as fast as you can. Tell them you won’t sign it. How ludicrous!
Put And Call is for the stock market. Their attorney is stalling. Any financial conditions would be paid at closing from the proceeds. Ther is major nonsense going on here. What is your agent saying? They should be able to give more insight than the people here who are not directly involved. Ask YOUR agent. Not the sellers agent.
Good Luck