The
process of buying or selling a house seems to involve a million details. It is important
that you educate yourself on as many parts of this process as you can this knowledge
could mean the difference of thousands of dollars in the long-run. The legal
issues involved in the process are often particularly intricate, ranging from
matters of common knowledge to subtle details that might escape the untrained
eye. Any of
these issues, if not handled properly, could develop into larger problems.With so
many legal issues to consider, your first step should be to seek out experienced professionals
to help educate you and represent your best legal interests. Begin with an experienced
real estate agent, who can help
guide you through the initial hoops. S/he should
also be able to point you in the direction of a reputable local real estate
lawyer to assist
you in all legal matters involved in the purchase or sale of your house. While
there are countless legal details involved in a real estate transaction, some
seem to pose
larger problems than others. We’ve outlined two legal clauses that are commonly misunderstood and may cost you money if not worded correctly. Handle these carefully and you will be on track to a successful sale or purchase!
1. Home Inspection Clause
Some real
estate transactions have been sabotaged due to the wording of the home inspection
clause. This clause originally allowed that the buyer has the right to withdraw
their offer if the home inspection yielded any undesirable results. However, this
allowance was known to backfire, as Buyers took advantage of it, using some non-issue
stated in the inspection as an excuse for having changed their minds. Of course,
this was unfair to the Sellers, as they’d poured time and money into what they
believed
was a sure deal. Not only might they have missed out on other offers in the interim,
but their house might also now be unfairly considered a “problem home.”Additionally,
they’d now have to shoulder the costs of continuing to market the property. All of
this adds up. In order to remedy this potential problem, the clause should
indicate that the seller has the option of repairing any problems the home
inspection might point to. With this
slight change in the clause, both buyer and seller are protected. To ensure
this clause is fair from one side of the bargain to the other, work closely with
a lawyer experienced in these transactions and all the nuances that may affect the outcome for you.
2. Survey Clause
It is the
right of a home buyer to add a survey clause to the real estate contract on the home
they’d like to purchase. If you are on the selling end of the contract, be
aware. If you have added an addition or a pool to your
property since the last survey was produced,
your survey will no longer be considered up-to-date and the Buyer may request
that a new one be drawn up—the cost of which you will incur. The price of this
process will run anywhere from $700 to $1000. Your real estate agent has the
responsibility to provide you with the most recent survey of your home. It is
then the Buyer’s right to decide if
it is acceptable. An experienced agent should offer you reliable counsel if you encounter
an issue with this clause, but it is advisable to talk to your lawyer if you’re
unsure at all of the potential ramifications involved. Remember, the wording of
this clause could cost or
save you
thousands of dollars.
I am the GUY that will make a difference!
I specialize in selling homes in the in the Okanagan Valley including Westbank, West Kelowna, Peachland with a focus on Rose Valley, Lakeview Heights, West Kelowna Estates and Shannon Lake.
Karen Guy, REALTOR®
Coldwell Banker Horizon Realty
C 250.878.3605
O 250.768.8001
http://www.connectwithkaren.com/
