I placed a contingent offer and it was accepted. Realtor called to say the sellers realtor called and said they have a better offer with a quicker close and want to offer us our due diligence and earnest money back, plus 8k for our trouble and an undisclosed amount to our realtor for his trouble. First off is this even legit? Do we need a lawyer? We now have cold feet in the deal. How do we proceed?
North Carolina, I’m under contract to purchase, received an offer to cancel
byu/Intplmao inRealEstate
Posted by Intplmao
19 Comments
If you have cold feet anyway it sounds like a win/win.
If its in writing, then yes.
Depends… do you want the house or $8k more?
You could totally just tell them you’re going through with the sale, but expect a contentious process moving forward from the sellers who will be looking for every loop hole imaginable to get out of the contract. But if you want the house you’re in good position to force the sale.
If you take the money, ask for more. They are obviously extremely keen on getting out from under the contract with you. You hold ALL of the cards, play the hand however you feel is best for you.
Why do you need a lawyer? They’ve made an offer, you can say no.
Hold on…
Cold feet about the house or cold feet because of the seller nuisance?
If cold feet because of the house. Take the deal. If the amount to your realtor is not shared with you. Fire them. If not count it as concessions and get the credit for when you close.
If you like the house…well then gear a lawyer and try to go through with the deal. You already know it’s worth more. Or settle for a much higher compensation for your troubles.
Either decline the offer and close, or negotiate. Tell them 8k doesn’t get it done, but 20k does. They’ll counter, and you walk away with 10-15k.
Or close and move into the house.
A first offer is never a best offer
Ask the seller agent to ask the other buyers agent if he is willing to discuss a novation of your contract with the buyer that has a higher offer. Then you can negotiate with the other party directly and make your buck.
Pretty basic, either accept it or decline it.
Seller being way more than fair.
Question: Is the OPS realtor permitted to accept an undisclosed sum from the seller? This sounds highly questionable. The OPS realtor works for them not the seller. (Ask for 20k accept 15k and proceed with the purchase).
Win/Win if you don’t really want the house. Easy $8k in my book.
Decline the offer, find out who the other buyer was making the offer and sell it to them. It’s called wholesaling! Lol
It’s not so simple as you’re making it. The buyer here the OP might be in for a windfall if they got the house for a bargain. I would study the issue catefully
ETA we love the house and it’s almost perfect. Our downside is that our house hits the mls tomorrow and the market isn’t great for sellers right now. There’s a decent chance we won’t sell in the contract window and be out 10k in due diligence money. It feels like we should make a deal and move forward.
Ask for $25k and your deposit back..if they balk get a lawyer (good one) and you might end up with a free house.
Why is the amount to your realtor undisclosed?
They work for you not them. There is no reason that amount should be hidden from you.
I clearly don’t know these people or the specific circumstances, but what you are describing is a legitimate option.
You are buyer #1. First position. You have a signed contract. If you meet all your requirements, they can’t get rid of you without being in breach of contract.
Buyer #2 has made them a better offer. They are asking you to voluntarily withdraw so they can sell to buyer #2, and they are compensating you to do it.
So here’s the over under:
You have a chance to get $8k for absolutely nothing. Free money.
But to get it, you’ll have to give up the house that at least one set of buyers thinks is worth more than you offered. You’ll have to start again in your house search, but with an extra $8k in your pocket.
A wrinkle is that your offer is contingent. If you do not meet all the conditions of your contingency, you will be in default, and they will sell to buyer #2 without giving you any money.
There’s no right answer. Just the answer that you prefer.
Pretty straight forward – Sellers got a substantially better offer. So much bigger that they are willing to pay you and your Realtor off.
1. If you say you still want to close, it will be contentious. But don’t let that stop you. If you want it, go for it.
2. If you were on the fence, $8k is a nice ‘walk away’ prize. I would counter for $10k. They will do it. (Unless they don’t.)
Your own realtor not divulging their amount is super scetch.