Please suggest a well worded offer to buy a property with a "get out clause"

Viewing 6 posts - 1 through 6 (of 6 total)

jonodick
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@jonodick
Join Date: 2012
Post Count: 3
June 10, 2012 - 10:09 pm
Hi all
I’d really like some suggestions on how an offer to a real estate agent would be worded. Probably most importantly, how you’d properly word the get out clause. I’ll need the get out clause to buy me time to get costings done on a sub-division. This is my first development for myself and want to get this first part right.
Look forward to a response
Jonodick
Terryw
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@terryw
Join Date: 2001
Post Count: 16,213
June 10, 2012 - 10:30 pm
You need legal advice.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
ChrisA1
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@chrisa1
Join Date: 2011
Post Count: 172
June 10, 2012 - 10:36 pm
Hi
I would also be interested in this as well (although from a renovations point of view). This was talked about at the recent conference (I am not sure if this is what you are referring to jonodick) as being sort of a 'get out of jail free' clause if the numbers didn't stack up.
I spoke with 2 local solicitors who didn't know about the clause but would be willing to look at it prior to putting it in any contract.
Cheers,
ChrisA1
Persistence is 'to keep on keeping on, no matter how hard the going may be'
Terryw
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@terryw
Join Date: 2001
Post Count: 16,213
June 10, 2012 - 10:44 pm
You just need a clause which states the agreement is subject to X.
X could be finance, council approval for Y, satisfactory building inspection, etc etc.
Just bear in mind that the vaguer it is and the easier it is for you to pull out the less likely it will be accepted by the vendor.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Jacqui Middleton
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@jacm
Join Date: 2009
Post Count: 2,539
June 11, 2012 - 1:07 am
I'm a big fan of the vague insurance clause. "Subject to buyer securing building, landlord and public liability insurance (over the property) that is satisfactory to the buyer".
Jacqui Middleton | Middleton Buyers Advocates
http://www.middletonbuyersadvocates.com.au
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VIC Buyers' Agents for investors, home buyers & SMSFs.
jonodick
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@jonodick
Join Date: 2012
Post Count: 3
June 11, 2012 - 1:08 am
Thanks terryw. Thats a start. I probably will get some legal advice too