Offer to purchase question

Speedster said:
Tedious. Saw a house we liked in an area we liked, walked through it with a keen eye and put in an offer. Living in it now.
Click to expand...
Yes, such a laborious house inspection with a qualified, experienced inspector is, as you rightly say, tedious. It does, however, help to train the eye (and ear) to be more keen. You obviously knew enough to get it right when you bought, and struck it lucky, or more likely a combination of both. Newbies can't always manage that, which is why I wrote that such a thorough inspection can be worth doing at least once in the process of house-hunting, to learn.
 
Our old house is up for prep so should register this week. Keen to get it off of my name so it's one less thing to 'worry' about.

The new place...don't get me started. They are still waiting for power of attorney, the occupational certificate and the subdivision plans. The same three things they were waiting for back in November:cautious:
 
if there is anything that I do not agree with on the OTP, do I just cross it out on the contract? and sign next to it?
or should the agent cancel that and send it back?
for instance the OTP says should I cancel the sale then I am liable for the Agents fees?
 
Colsuldel said:
if there is anything that I do not agree with on the OTP, do I just cross it out on the contract? nad sign next to it?
or should the agent cancel that and send it back?
for instance the OTP says should I cancel the sale then I am liable for the Agents fees?
Click to expand...
Correct. Cross it out then sign next to the deletion. The seller is welcome to accept or reject the OTP without that clause.

Some compromise may be needed, but sale is only valid when both parties agree to all T&Cs.
 
newby_investor said:
Correct. Cross it out then sign next to the deletion. The seller is welcome to accept or reject the OTP without that clause.

Some compromise may be needed, but sale is only valid when both parties agree to all T&Cs.
Click to expand...
Agents put clauses in their version of the OTP that suit them. However, the agent has a contract with the seller only, and no contract with the buyer. The OTP is an offer from the buyer to the seller, and if the seller accepts it, it becomes the contract between the seller and the buyer, a contract to which is the agent is not a party.

When a buyer wants to make an offer, there is no obligation whatsoever to use the agent's OTP, and that OTP it is not, as some agents would have one believe, "just the standard thing". You can add and subtract any clauses freely. A hopeful buyer must specify the property properly, the name of the owner their own name, the price offered and the desired date of the sale. There are good, sensible reasons to have many other clauses, but they are not essential by law. Most important is to read and understand every clause, including what could go wrong if this aspect of the sale were not also specified in the OTP.

There is a possibility that if your OTP has had clauses struck from the agent's version, or is completely different, the agent may refuse to pass it on to the seller. That's a pity, if you really want to buy the property, but if, on the other hand, you're willing to buy only with your own version of the OTP, then an unwilling agent is a sign that something's not going to go well. If you have the details of the seller, you could send them your OTP directly, not through the agent, and see what happens.
 
Gozado is spot on. An OTP can even be a used napkin with the words "I wanna buy your place for R3" written on there.
 
Agent now trying to not add the approved plans for the property as a suspensive condition to the OTP after I asked him to.
Agent said that the seller does not have copies of the approved plans, and that they will try and get it at the municipality.
if there are no plans then I can lower the offer and do the plans myself.

Sounds not legit, what happens if there are structures that do not comply and do not get approved?
Can I even legally occupy the property if there are no approved plans at the municipality?
would I require some occupancy certificate?

There is also a bit of a concern with a structure around pool, and I did state to get a inspector
but the agent just put his own wording and not the specific wording that I sent, which is also not as clear regarding the outcome
of the inspection and when the inspection should happen.
 
Colsuldel said:
if there is anything that I do not agree with on the OTP, do I just cross it out on the contract? and sign next to it?
or should the agent cancel that and send it back?
for instance the OTP says should I cancel the sale then I am liable for the Agents fees?
Click to expand...
Cross it out, initial next to it, and if necessary expand on it in the additional notes section.

For example the clause that I always cross out is the voetstoots one. Then in the notes I expand that the sale is subject to the known defects declared by the seller in the property report, which defects the owner shall be liable for fixing, and any undeclared defects shall be for the seller's account...
 
Gozado said:
There is a possibility that if your OTP has had clauses struck from the agent's version, or is completely different, the agent may refuse to pass it on to the seller.
Click to expand...
Are they legally allowed to refuse? I was under the impression they were obligated to present it to the seller.
 
Colsuldel said:
if there is anything that I do not agree with on the OTP, do I just cross it out on the contract? and sign next to it?
or should the agent cancel that and send it back?
for instance the OTP says should I cancel the sale then I am liable for the Agents fees?
Click to expand...
So legally there is no way out of that clause, they are just making you aware of this fact.
Once an unconditional offer is accepted they will stop marketing the property and will lose any other buyers that

Just confirm with the agent what you can and can't change - remember its a negotiation so its fine to make demands they must just be valid.
Don't muck around though its just going to p1ss people off and when there is big money involved there are big lawyers invovled.
 
Nerfherder said:
They can probably say its an invalid offer and its not legal to present something like that
Like if you haven't signed it then it probably can't be presented.
Click to expand...
Yeah but signed, legally valid ones, just not using their template or missing clauses that they don't like.

Someone who is savvy enough to remove those clauses about being liable for agent's fees is likely also savvy enough to know what the agent is obligated to do and not to do.

But I'm actually not sure of their legal obligations now.
 
newby_investor said:
Yeah but signed, legally valid ones, just not using their template or missing clauses that they don't like.

Someone who is savvy enough to remove those clauses about being liable for agent's fees is likely also savvy enough to know what the agent is obligated to do and not to do.

But I'm actually not sure of their legal obligations now.
Click to expand...

The crap with plans is, buy cash... no issue. Sell it again, it will become your issue. So get something verified and validated, and on spec (it aint a cheap exercise)
 
newby_investor said:
Yeah but signed, legally valid ones, just not using their template or missing clauses that they don't like.

Someone who is savvy enough to remove those clauses about being liable for agent's fees is likely also savvy enough to know what the agent is obligated to do and not to do.

But I'm actually not sure of their legal obligations now.
Click to expand...
Well the thing is that the agent has a contract with the owner so you are stepping in to that contract when you make an offer. While the mandate is in place you wont make a sale on that property without the agent getting money. They are just informing you of this when you make the OTP
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X