sale of PPOR and a request of r 6 month settlement and access for DD without signed Contract

Discussion in 'The Buying & Selling Process' started by P j T, 8th Aug, 2017.

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  1. P j T

    P j T Well-Known Member

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    Sunny Belfield NSW
    Hi All,
    as the title advises we have an offer on our PPOR and the buyer is asking for a 6 month settlement , has yet to sign a contract and is now requesting for access to our place for her builder for DD....

    We have a great solicitor who will ask for an open ended settlement no longer than the six months but to allow either party to give 30-45 days notice to settle within that time frame but after the first two months ( this appeals as we don't want to shift move our children whilst still during the school year etc).

    I like this offer we have ( we have other offers) the buyers are a nice family.
    The agent we are using suggest we should just allow them to carry what ever inspections they like, as to request a signed contract and then have them in the 5 day cooling of period would scare them off.

    We are still in the first week of our listing (not auction , Open to offers) and have more open houses scheduled.
    What are the learned masses on this forums thoughts ( be nice to me please)
    cheers
    Peter T
     
  2. eletronic_exp0430

    eletronic_exp0430 Well-Known Member

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    6 month settlement? LMFAO.

    If you were even thinking of accommodating this I would have a clause in there stating there would be the requirement for a LARGE financial penalty if for whatever reason they cannot settle.

    Is it really worth the risk if you have other offers? Whats their reasoning for this?

    Hangon your title says without a signed contract? WTF? Without a contract how is anything legally binding? Smells fishy to me.
     
  3. P j T

    P j T Well-Known Member

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    Hi Expo,
    buyer has asked for access to check land with builder before they sign any contract and only the will they sign and then start their five day cooling off period. My agent is saying we should accommodate this.
    Peter
     
  4. eletronic_exp0430

    eletronic_exp0430 Well-Known Member

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    Thats fine. Let them do the inspection.

    Whats the reason they want 6 months? That means their loan will expire because most loans expire in 3 months time and need to be renewed.

    Also what are you going to get if they fail to settle? They forfeit the 10% deposit they will pay you as per normal or they asking for something special in terms of that as well?
     
  5. Ghoti

    Ghoti Well-Known Member

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    Two separate issues in my view.

    Purchaser is welcome to visit with a builder for DD, taking a risk that u may sell to others in the meantime.

    Maybe other buyers will meet your desire for a long settlement, which your agent should explore.

    Seems odd that the purchaser doesn't just make an offer conditional upon Builder's report.
     
  6. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    The longer the settlement the greater chance something will happen such as
    - buyer's remorse
    - seller's remorse
    - death of either party
    - divorce, insanity, bankruptcy etc
    - building repair issues
     
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  7. Marg4000

    Marg4000 Well-Known Member

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    The fact that the buyers are a nice family should not be a factor in considering offers.
    Marg
     
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  8. eletronic_exp0430

    eletronic_exp0430 Well-Known Member

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    Exactly. Business is business. Being nice has nothing to do with it
     
  9. teetotal

    teetotal Well-Known Member

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    And it doesn't take long for a 'nice' to turn into 'nasty'
     
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  10. Christina46

    Christina46 Well-Known Member

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    Last time we sold our PPOR we were able to rent it back for several months while we found and settled on a new property and got our renovation plans organised. Sounds like you should be getting our agent to float this idea to prospective purchasers.