Hi Team
I need some advice for a friend.
They have an unconditional contract on a house that as yet does not have title. The house was subdivided off and they were to purchase the house on the new section. Title through in 4 weeks or so.
However since first entering into the contract their situation has changed dramatically and they can not afford to purchase it. Firstly the house is not worth the asking price, but my friends were in a situation that they needed to purchase it. Probably worth at least $50K less
Secondly there are things that have not been done to the property that should have been done. These things were only verbally agreed upon.
A deposit should have been paid but was not paid due to these things not been done, but it has been demanded by the RE agent. The RE agent is also the developer of the property.
Another problem is that the same solicitor is acting for both parties.
These people are living in the property and paying rent on the property.
The 2 parties are also acquaintances from days gone by and know each other relatively well although the relationship is breaking down fast.
I know this does not look like a great situation and have told them so. I have also told them to tell their lawyer immediately and not waste anymore time. I am just after some good honest, hard hitting advice to give them. And possibly a lawyer who can untie this messy situation. They also know they have created the situation.
I need some advice for a friend.
They have an unconditional contract on a house that as yet does not have title. The house was subdivided off and they were to purchase the house on the new section. Title through in 4 weeks or so.
However since first entering into the contract their situation has changed dramatically and they can not afford to purchase it. Firstly the house is not worth the asking price, but my friends were in a situation that they needed to purchase it. Probably worth at least $50K less
Secondly there are things that have not been done to the property that should have been done. These things were only verbally agreed upon.
A deposit should have been paid but was not paid due to these things not been done, but it has been demanded by the RE agent. The RE agent is also the developer of the property.
Another problem is that the same solicitor is acting for both parties.
These people are living in the property and paying rent on the property.
The 2 parties are also acquaintances from days gone by and know each other relatively well although the relationship is breaking down fast.
I know this does not look like a great situation and have told them so. I have also told them to tell their lawyer immediately and not waste anymore time. I am just after some good honest, hard hitting advice to give them. And possibly a lawyer who can untie this messy situation. They also know they have created the situation.
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