Co-Author: Jon Goodman Question: How does the mediation process work? Response: Section 21 of the Real Estate Commission-approved Contract to Buy and Sell Real Estate (Residential) (CBS 2-7-04) provides, in part, as follows: “If a dispute arises relating to this contract, prior to or after Closing, and is not resolved, the parties shall first proceed … Continue Reading
I have an Exclusive Right-to-Buy (Buyer Agency) agreement with my buyers. Over the last three months, I have shown them approximately 30 homes. My clients now wish to make an offer on an unlisted property which is for sale by its owner. My buyers do not want to pay me my commission; they want … Continue Reading
Reprinted from REALTOR® Magazine May, 2003 by permission of the NATIONAL ASSOCIATION OF REALTORS® Copyright 2003. All rights reserved. Q: What are the main forms of contract breach in real estate? Frascona: In real estate, contract breaches can occur in the property listing agreement between the broker and the seller or in the sales … Continue Reading
I am the listing broker for a transaction set to close tomorrow. My seller and I have just learned that the buyer’s lender will not fund tomorrow. The buyer needs a three-day extension. All of the contingency deadlines in the contract have passed so that there is no longer any contingency excusing the buyer from … Continue Reading
Question #1: My company does not permit cold calling. Do I still need to have a written policy addressing the Do Not Call regulations? Answer: Not if you are a one person company. If you have licensees working under you, they may violate your prohibition. Employing brokers need a written policy to create a … Continue Reading
I am working on a transaction on behalf of the seller. The buyer would like to agree to a letter of intent. What are the legal ramifications of such a letter? While letters of intent can be a constructive step towards reaching a contract, they have pitfalls, especially for sellers and landlords. Parties frequently … Continue Reading
Question: How can a buyer purchase a property and remain anonymous? Response: Contracts must identify a buyer against whom the contract can be enforced. Yet sometimes buyers seek to remain anonymous. For example, Joe Developer wants to assemble contiguous lots in downtown Denver on which to build a new skyscraper. Mary seeks to buy … Continue Reading
Question 1: I am the listing broker. The offer from the buyer, counter from the seller, and acceptance of the counter from the buyer was all done by fax. I received a faxed copy of the earnest money check from the buyer with the initial offer. The buyer accepted and signed the counterproposal five … Continue Reading
I am listing a property and my Seller has entered into a contract with “Buyer 1.” We also received an offer from a second competing buyer, “Buyer 2.” We countered Buyer 2’s offer with a backup contingency. The closing date on Contract 1 is approaching and Buyer 1 has asked for an extension. If … Continue Reading
Co-Author: Eric R. Jaworski, Esq. What is a CLUE Report? CLUE stands for Comprehensive Loss Underwriting Exchange. It is a comprehensive database of personal property information relating mainly to insurance claims on private property. CLUE was developed by, and is currently operated by, ChoicePoint Asset Co., a Georgia firm. What type of information is found … Continue Reading
