November 22nd, 2021 at 1:29 pm
Multiple Choice Question: We represent buyers with M&D financing; that is, they are planning to get some of their down payment from “Mom & Dad.” If the parents end up changing their minds, can the buyers back out under their loan contingency in the RPA and get their deposit back? Their lender told them “yes.” Pick the best answer:
A. Yes.
B. Yes, but only because their lender said “yes.”
C. Yes, because the buyers cannot control what their parents will do.
D. No. (more…)
November 15th, 2021 at 11:33 am
C.A.R. plans to release its newly-revised Residential Purchase Agreement (RPA) during the week of December 13, 2021. The 2021 version is a major reorganization of the RPA, although many of the substantive provisions remain the same as before. (more…)
November 8th, 2021 at 3:26 pm
Fact Pattern: In last week’s Legal Tip, we discussed when “contract acceptance” occurs if the last offer or counter offer for a sales transaction is a Seller Counter Offer (SCO). “Acceptance” shall occur when that SCO is signed by the buyer (“Buyer #1”), and personally received back by the seller or listing agent depending on how paragraph 2 of the SCO is completed.
Multiple Choice Question: Can the seller in that situation accept an offer from Buyer #2 before the seller and listing agent personally receive the SCO back signed by Buyer #1? Pick the best answer:
A. No.
B. Yes, but only if the seller receives Buyer #2’s offer after the seller sends out the SCO to Buyer #1.
C. Yes, but only if the SCO to Buyer #1 has expired or is withdrawn by the seller.
D. Yes. (more…)
November 1st, 2021 at 2:10 pm
November 1, 2021
Fact Pattern: On Monday, a buyer’s agent submits to the listing agent an offer to purchase using the C.A.R. Residential Purchase Agreement (RPA).
On Tuesday, the listing agent sends to the buyer’s agent nothing more than a one-page C.A.R. Seller Counter Offer (SCO) signed by the seller in paragraph 4. The only term on the SCO is an increase in the purchase price. The listing agent, however, does insert his personal name in the blank line in paragraph 2A of SCO to indicate that he is authorized to receive the return of the SCO on the seller’s behalf. (more…)
October 25th, 2021 at 10:42 am
Question: I recently submitted a request to the DRE to change the name on my real estate license to my new married name. How long will the DRE take to process my request? (more…)
