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Cash Unconditional Offer - 24hrs Only

Discussion in 'General Property Chat' started by Taku Ekanayake, 20th Mar, 2016.

  1. Taku Ekanayake

    Taku Ekanayake Well-Known Member

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    Hi guys,

    I'm about to put in a cash unconditional offer tomorrow. However, I am only willing to have my offer on the table for 24hrs.

    Do I need to state this in the Contract (QLD's Law Society), and if so, how to I word it, and does it go in the 'Special Condition' section?

    Or, do I just write it in the body of the email along with the attached Contract and Form 8?
    For instance "This offer is only valid until 12:00pm, Tuesday, 22nd March 2016. If the offer is not accepted by the stated time, the offer is terminated."

    Thank you in advance for your comments and advice!


    Cheers,

    Taku
     
  2. thatbum

    thatbum Well-Known Member

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    What's your plan if you don't hear back within the 24 hours btw?
     
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  3. Bran

    Bran Well-Known Member

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    I have a couple of times, and it was ignored. You can write as you have, or you can just withdraw it by email at that time. What's your reason for the timeframe? It can backfire if you aren't prepared to walk. Boy, wolf.
     
  4. Coota9

    Coota9 Well-Known Member Premium Member

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    It's a big call as if they don't come back to you within 24hrs you have to walk away otherwise vendor will have you by the b#lls!!
     
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  5. RPI

    RPI Property Lawyer, Town Planner Business Member

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    I would word it as
    Limited Time to Accept Offer
    This offer is conditional upon the Seller communicating their acceptance of this offer in a timely manner. Should the Buyer not receive a copy of the fully executed contract by 5pm on ??? then the offer is withdrawn.
     
  6. Taku Ekanayake

    Taku Ekanayake Well-Known Member

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    Thank you for the feedback. The reason for the time limit is, if they don't accept the offer, I'll be putting in a cash unconditional offer on a different property which I am also very keen on. Hence, if they don't accept the offer by Tuesday arvo, I will terminate the offer, and then put in a cash unconditional offer on the other property I'm keen on.
     
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  7. Taku Ekanayake

    Taku Ekanayake Well-Known Member

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    Terrific. Thanks for the advice @RPI. I shall phrase it in this manner.

    Cheers,

    Taku
     
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  8. Leo2413

    Leo2413 Well-Known Member Premium Member

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    Last edited: 20th Mar, 2016
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  9. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    You don't necessarily need to withdraw the first offer by the time you make the second. You can simply inform the first agent that you'll be making an other offer and once one is accepted, you'll be withdrawing the other.

    In a sense this creates some uncertainty in both vendors as neither knows when an offer might be withdrawn. This can work to your advantage.
     
  10. Taku Ekanayake

    Taku Ekanayake Well-Known Member

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    Thanks @Peter_Tersteeg. Wasn't aware of this. What would happen in a case where both offers are accepted and emailed back at the same time?
    Do I simply have to accept the offer that landed in my inbox first?
    And secondly, how do I prove to the REA and vendor that I received an offer just prior to theirs?
     
  11. Taku Ekanayake

    Taku Ekanayake Well-Known Member

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  12. larrylarry

    larrylarry Well-Known Member

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    Go Taku! You're on fire.
     
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  13. Richard Williams

    Richard Williams Buyers Agent - Southeast QLD Business Member

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    Would you also have the 5 day cooling off in QLD?
     
  14. wylie

    wylie Moderator Staff Member

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    Yes - unless you waive it.
     
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  15. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    You'd have to ask a lawyer about the specifics of contract law. Realistically though it's highly unlikely to happen if you monitor it properly. You could also writing something into the contract to cover yourself. Then there's also the cooling off period...
     
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  16. Bran

    Bran Well-Known Member

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    Peter's is a much better idea IMO. Give them the uncertainty.

    Only pay the deposit on the one you wish to accept. Then there is no deposit to lose under cooling off (I think @RPI posted on this in the last week). Or, don't answer your phone until you withdraw on the other.
     
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  17. Simon L

    Simon L Investment Property Buyers Agent Business Member

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    Nice Taku - I remember witnessing you pledge your goals for 2016 in person. Looks like you're well on your way to achieving it :)
     
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  18. jpcashflow

    jpcashflow Well-Known Member Business Member

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    Hi Taku,
    24 hours is a short time frame for some one to make up their mind and hence giving the agent enough time to work on the property / vendor.
    Maybe be a bit more realistic and give them 72 hours.

    I used to work as a real estate agent and I had offers like these come along... I would simply tell the purchase that 24 hours is not enough time. And therefore in the back of my head, i know that the buyer has another property or two that he or she is chasing.
     
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  19. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    Just in the past month, a number of my clients have used a 24 hour offer to successfully buy (under market value, I'll add). It won't work every time but it's a great way to force a decision so you know where you stand and can move on to another deal if that one isn't going to fly.
     
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  20. RPI

    RPI Property Lawyer, Town Planner Business Member

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    You do unless waived.

    Also if you don't pay deposit prior to exercising it then there is no penalty payable.
     
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