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Texas Sellers: Don't Fall For This! Read Your Contract!

By
Real Estate Agent with 101 Main St. Realty 518539

Texas Sellers: Don't Fall for this! Read Your Contract

 

It's time to quit playing games. Option Periods are the RIGHT way to do it!I recently received a contract from a buyer's agent that stated that the Seller's Disclosure had not been received by the buyer prior to their making the offer. The document was on MLS, so I knew that was not the case. But... just in case the other agent hadn't seen it, I emailed them a copy and noted that we would be amending the contract to state that the disclosures had been received by the seller.

 

I received an immediate response from the buyer's agent letting me know that their broker was a stickler for details and wanted the seller to amend the seller disclosure to state whether the AC, Heater, and Stove were electric or gas, and the age of the roof. No problem. I assured the agent that I would have that information added to the disclosure and to them immediately.

 

The agent emailed me to let me know it was too late, they had already sent the contract to the buyer stating that the seller disclosure was not received and that there was no changed needed since the contract will be fulfilled when the amended seller's disclosure was received by the buyer.

 

The agent eagerly let me know that their buyer was waving their option period, and was ready to close as soon as possible.

 

That might all sound fine and dandy -- but Texas Sellers -- READ YOUR CONTRACT before signing! 

  

IF the seller agreed to the contract as proposed by the other agent, they would, in fact,  just be giving the buyer a free opt out period of 7 days. Not smart.  No wonder they waived the option period! Why pay for one when you can get one free?

Paragraph 7B(2) was designed for properties where the seller has not completed the seller disclosure and the buyer has no information on the property. Not for written verification of whether or not an AC, heater, and stove are electric or gas (there is no propane tank and we ARE rural so it can't be on city gas) -- and the age of the roof (which the buyer already knew).  

 

The agent knew the requested amendments could have been back to him before his buyers even had the contract signed. But hey... that agent represents the buyer.  

 

I don't! 😊 I am representing the seller.

 

 

Buyer Agent Games

 

 

TEXAS SELLERS: Read your contract before signing, and do not give out free option periods to buyers! 

 

 

Texas Sellers: Don't Fall For This! Read Your Contract

 

Note: Even when representing a buyer, I do not play games. Things like this cause animosity and animosity is exactly how people end up in court. Option Periods keep people out of court because it is CLEAR. It is the unrestricted right to opt out within a negotiated time period for a negotiated amount of money. When representing a buyer, I encourage them to purchase an option period instead of trying to sneak one in for free. 

 

Comments(13)

Bruce Walter
Keller Williams Realty Lafayette/West Lafayette, Indiana - West Lafayette, IN

Joni, that is why your sellers hire you to look out for their interests!  Well done!  Out of curiosity how long is your board contract that you use?  Ours is four pages and very consumer friendly and easy to understand.

Oct 07, 2013 11:28 PM
John McCormack, CRS
Albuquerque Homes Realty - Albuquerque, NM
Honesty, Integrity, Results, Experienced. HIRE Me!

Good morning Joni.  Good job on getting the word out for Texas buyers to beware.  With you as one's Texas REALTOR there would be no worries.  I know you have your real estate clients backs all the way!

Oct 07, 2013 11:46 PM
Joni Bailey
101 Main St. Realty - Huntsville, TX
Your Huntsville / Lake Livingston Area REALTOR®

Bruce: I am happy with our contract. It is 8 pages long and they have even provided a form called General Information For A Buyer that helps them understand the terms used in the contract such as annexation, tide waters, etc. So it is very consumer friendly.

Thank you, Q-Man!! I appreciate your confidence and support. I feel the same way about you!!

Oct 08, 2013 03:14 AM
Robert Bob Gilbert
Berkshire Hathaway HomeServices Anderson Properties - Katy, TX
Your Katy TX ( West of Houston) Real Estate Expert

Joni, 

Personally I think the Buyer's broker and agent were way overstepping their bounds. I have had situations where the sellers agent was either too lazy or ignorant to get the disclosures to us. I do what you do is put the Disclosures on the MLS listing which is very easy to do. There is nothing wrong with the Texas Contract. 

Oct 08, 2013 05:04 AM
Toni Weidman
Sailwinds Realty - Trinity, FL
20+ Years Selling Homes in New Port Richey, FL

I used to put mine on the listing but lately when I upload, I get a message that the file is too big. There's no way I know of to make it smaller so I just email them when the agents call.

Oct 08, 2013 05:58 AM
Juli Vosmik
Dominion Fine Properties - Scottsdale, AZ
Scottsdale/Cave Creek, AZ real estate 480-710-0739

Joni, this falls under the category of WHAT?  What is that other agent thinking and why wasn't the original disclosure pulled at first?  Then, if they had additional issues, they can address that during the 7 day period allowed in the contract.  Really?  I'm just scratching my head on this one. 

Oct 08, 2013 07:13 AM
Yolanda Cordova-Gilbert
Richmond, TX

Joni,

 Good point  you should always read your contracts. You are the Realtor in the Hunstville area!

Oct 08, 2013 07:23 AM
Anita Clark
Coldwell Banker Access Realty ~ 478.960.8055 - Warner Robins, GA
Realtor - Homes for Sale in Warner Robins GA

You are one smart agent Joni Staples!  I hope your sellers know how fortunate they are to have you representing them.

Oct 08, 2013 09:06 AM
George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Joni very few Borrower take any time to read the Loan Documents they sign with me.  Even though I explain everyone of them to them before the sign they should take the time to read them on their own.

Oct 08, 2013 10:30 AM
Sussie Sutton
David Tracy Real Estate - Houston, TX
David Tracy Real Estate for Buyers & Sellers

Great post! Great subject... I have no idea what she was thinking.... did she ever find out that the doc was one of the images on the MLS?

Oct 08, 2013 10:51 AM
Joni Bailey
101 Main St. Realty - Huntsville, TX
Your Huntsville / Lake Livingston Area REALTOR®

Bob: I like the Texas contract too! It's great!

Toni: Put it in as 2 files. Part A and Part B

Juli: My guess is they were trying to get a free 7 day option period for their buyer! HA!

Thanks, Y!! XO

Anita: They are happy. I hope to get to list their other home next! :)

George: I go over the options of the contract with my client's as well, but some folks just email it to their clients and that's the end of it.

Sussie: Yes, they knew it was on MLS, but wanted to claim that they hadn't received it because their were 3 items that were not answered to their liking. 

Oct 08, 2013 11:36 AM
MichelleCherie Carr Crowe .Just Call. 408-252-8900
Get Results Team...Just Call (408) 252-8900! . DRE #00901962 . Licensed to Sell since 1985 . Altas Realty - San Jose, CA
Family Helping Families Buy & Sell Homes 40+ Years

Being straightforward with both buyers and sellers (and buyer and seller agents) is definitely the best policy.

Oct 08, 2013 04:46 PM
Joni Bailey
101 Main St. Realty - Huntsville, TX
Your Huntsville / Lake Livingston Area REALTOR®

Michelle: Exactly! Once the red flags go up, then trust is destroyed and you are setting yourself up for problems.

Oct 08, 2013 09:57 PM