Jump to content
Sign in to follow this  
Roety

Cash buyers inspection tactics

4 posts in this topic

On a Far bar AS IS realtor sales contract

The inspection period ran out and just before it did the buyer's realtor emailed over an addendum with a lower offer claiming "due to inspection issues"   , the problem I have is that they never inspected the house and are lying saying they did just because the clock was running out on their 10 days to inspect.  They never contacted me to get in the house. I think they are using the contingency as a tactic to lower the price. 

Is this Breach of contract?  misrepresentation, fraud, not performing or something that I can mention at the mediation over the 5k escrow deposit. I have emails and texts to support their statements. 

They also have refused to produce any inspection report, won't even tell me one detail from said inspection (that they never did)  

The last cash offer I received from another company at least they did inspect it and then wanted 33k off the price for ridiculous things like repaint inside and out, new roof, new bathrooms , (that one I signed their cancellation , this time I am not signing)

the house was renovated and is move in ready , new floors, kitchen with granite, new paint, new locks, new doors, the bathrooms are outdated but fully function with partial renovations , 
Standard realtor contract page 5 paragraph reads partly:
 Property Inspection; Right to cancel
Buyer shall have 10 days after effective date (inspection period) within which to have such inspections of the property performed as Buyer shall desire during the inspection period.  If the buyer determines, in Buyers sole discretion, that the Property is not acceptable to Buyer, Buyer may terminate this contract by delivering written notice of such election to the Seller prior to expiration of the inspection period.

 

attached ate two pages from the contract , please tell me if the inspection contingency paragraph has any teeth in it?

I think its intended meaning is that the house be inspected by someone,  its not just "cancel if I change my mind contingency"  .

I am going to request a mediation (non binding) but may end up suing in small claims court (for the escrow deposit 5k) ,  but want to know before hand if I have a tooth to stand on.

I am aware I could end up paying their lawyer fees if I lose in court. 

Thanks for any solid feedback on interpreting this paragraph and other relevant words.

page-0.jpg

page-1.jpg

Share this post


Link to post
Share on other sites

The inspection contingency does not require the buyer to have an inspection.  Read it again.  The right to cancel the contract exists dduring the inspection period and says specifically the buyer can cancel during thaat period for any reason.  You are on shaky ground.

Share this post


Link to post
Share on other sites

I appreciate you looking at it,  the contract seems stupid to even have an inspection contingency that doesn't require an inspection.  I'm not a lawyer or even very educated. 

But I would think that the sentence was not a stand alone sentence, it should be taken in context of the intended meaning it of the paragraph of that the sentence  the reference to inspection,  and the words "have an inspection performed"  should give context to the paragraph.  That is what my argument will be , even if a lawyer does not agree,  its common sense. And the fact that they are lying about even having done an inspection.   hopefully someone else will stop these guys from doing this to others. 

Share this post


Link to post
Share on other sites

You are ignoring the words "... as the Buyer may desire..."  If the Buyer does not desire, the Buyer need not have an inspection.

 

But there is a question.  Did the Buyer provide written notice they were terminating the contract?  A proposed change in the purchase price is not a notice of the termination of the contract.  The inspection contingency does not give the Buyer the right to renegotiate the contract.  It only gives the Buyer the right to terminate the contract.

 

Prior to the formation of the contract there is often a course of offers and counteroffers.  Each counteroffer operates as a rejection of the prior offer, and becomes the new offer on the table.  However, once the conract has been accepted by both parties, a "counteroffer" does not have any effect on the validity of the contract.  It is meaningless and can be ignored without affecting the validity of the contract. 

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

×