Vendor hasn't signed the contract, oral contract in place?

The vendor has agreed to sale of property 3 weeks ago. The buyer signed the contract on second day of agreement and also has written correspondence

via text a week later about vendor agreeing to payment of 10% deposit and has contacted a solicitor for further proceedings.

The agent also received $2000 for holding the property that they are looking at returning.

3 weeks later the RE agent contacted the buyer that the vendor got another buyer who can pay more for the property and they want to sell it to them.

Can they pull out of what seemed to be an oral contract with some written correspondences as proof they agreed to the deal 3 weeks ago?

Any advise would be greatly appreciated!!!!

 

The contract for the sale of the property is only valid when signed by both vendor and buyer. Sorry, you have been 'gazumped' ...

 

could be a contract. seek legal advice from a lawyer. email may be acceptance in writing

 

This, just move on.

 

Lesson learned. If you want it...buy it and dont leave the matter hanging in the air. You should have been asking for the signed contract 3 weeks ago. It then limits them (and you)

Imagine walking in Harvey Norman after 3 weeks and questioning why they have sold the lounge and its now more expensive.

 

The contract is only worth as much as the words... Take a deep breath and look for another property.

 

Got duped.. Not written contract = smell you later.

Chalk it down as experience and move on.

 

This I agree. My most savage purchase many years ago was an unconditional cash offer. Locked in, done. Not for the faint hearted of course.

 

Played by an agent who...acts for the vendor

 

As a learning experience for the op.

What should they have done? Sign the contract with a condition that the offer is withdrawn if vendor does not sign by x date (with a date prior to the next open)? Something to talk to your solicitor about.

 

The correct response is the one given to you by @Terry_w, who's a lawyer.

The other answers are mixing up the statutory requirement that sales of interests in real property must be documented in writing, with the common law question as to whether you have a contract. (And you may even meet the requirements of writing, depending on precisely what the texts and trust receipts say.)

It is true, however, that it's usually not viable to pursue - it's expensive. For a start, even if you establish that you had a legally binding contract, and it's been breached, how will you demonstrate damages?

Only a lawyer with all the specifics can give you advice.

 

That's why you should always put an expiration on your offer, unless countersigned.
I'm guessing the REA knew that there was another potential offer. They then used the signed contract as leverage. If they only have 48 hours to use it, it makes it much harder for them.

 

@Sam05113 you could have a lawyer send them a letter quoting the earlier email as acceptance (but it would all hinge on how that email was worded, and they may call your bluff).
You could go back with the same price (or up your offer) and offer settlement terms to suit the vendor....

Me, I'd email them saying "Thank You, am a bit disappointed it has taken 3 weeks for the vendor to change their mind, but it's all good as we have been having second thoughts anyway, our original offer is withdrawn immediately and please refund to our account all monies paid within 24 hours" (as I believe the agent is trying to squeeze you and may backflip again)..

EDIT: the way you worded this
"3 weeks later the RE agent contacted the buyer that the vendor got another buyer who can pay more for the property and they want to sell it to them."
Makes it sound like they are asking you to withdraw/allow them to sell it to someone else!

 

Oral contract? Has me thinking about raising that at home.

 

Bet it doesn't include the words "to love, honour and obey" on the wedding certificate

 

if its determined that a contract exists by the first buyer a few weeks/months down the track,
and the second transaction has gone through/proceeded

can the second buyer sue for misrepresentations, or is it just deemed invalid?

 

my very first almost purchase ever, I did heaps of research on making offers, went too hard in negotiations, Friday 4pm got a verbal ok for my offer after a few toing-froing trying to reach a price after a initial rejection, I had also thrown in the "im down to my last dollar " line

got a call monday morning, and someone had offered $1k more than my offer at the open on the weekend,

called the agent and said why didnt you let me know of the counter, and he replied, well you said you were down to your last dollar......

lesson learnt

 

probably too late by then

 

One thing I learned about negotiation is a harrrrd, then soft approach. No different from a good cop bad cop scenario.

It was a purchase I bargained hard. Then I said I should leave you my mobile and said if the seller was willing later, call me. But I would be really stretching if I had to pay more. They asked for an $1000 extra. I told them I needed to sell my old car, (which I couldn't wait to get rid of anyway), to get that money. Of course I signed the contract straight away. He said I thought you have to sell your car to have the money, I said I have put it on Gumtree already...