January 11th, 2021 at 1:03 pm
Multiple Choice Question: Which of the following answers best describes a proper handling of an addendum and an amendment to a purchase agreement? Pick the best answer:
A. The addendum or amendment must be identified in the purchase agreement itself for the addendum or amendment to be properly incorporated by reference.
B. The addendum or amendment must be signed by the parties to the purchase agreement.
C. The purchase agreement must be identified in the addendum or amendment.
D. All of the above. (more…)
January 4th, 2021 at 1:26 pm
Happy New Year everyone! New Year’s Day is also the start date of many new laws that may affect your real estate practice. Here are some of the highlights: (more…)
December 28th, 2020 at 1:01 pm
Fact Pattern: You are the buyer’s agent for Buyer 1. Buyer 1 submits an offer for $1.5 million. Another buyer, Buyer 2, also submits an offer. You get a Seller Multiple Counter Offer (SMCO) asking for Buyer 1’s “highest and best” price. Buyer 1 then submits a Buyer Counter Offer (BCO) for $1,510,000, whereas Buyer 2 drops out altogether.
Multiple Choice Question: Does Buyer 1 have a binding and enforceable contract with the seller? Pick the best answer:
A. Yes, because $1,510,000 is the highest and best price.
B. Yes if $1,510,000 is greater than the listing price posted in the MLS.
C. No, because the BCO was a rejection of the SMCO and the submission of a new offer.
D. It depends on how the blank lines in the SMCO were completed. (more…)
December 21st, 2020 at 2:54 pm
On December 21, 2020, C.A.R. released its biannual standard-forms update, including 2 new forms and 5 revised forms. Here are some of the highlights:
• Home Fire Hardening Disclosure and Advisory (HHDA): Effective January 1, 2021 for properties with one-to-four residential units built before 2010, a seller who is subject to the TDS requirement should also complete the new HHDA as an additional disclosure requirement. (more…)
December 14th, 2020 at 11:58 am
Fact Pattern: You are the listing agent. A buyer’s agent from another company said she would be submitting a non-contingent offer. You receive the offer on a C.A.R. Residential Purchase Agreement (RPA) form. In paragraph 14B(1), where it says that the buyer has 17 days after acceptance to complete all investigations, the buyer’s agent inserted zero instead of 17 days.
Multiple Choice Question: What does the zero mean? Pick the best answer:
A. Buyer has zero days as an inspection contingency.
B. Buyer cannot cancel under an inspection contingency.
C. Buyer has zero days to access the property.
D. All of the above. (more…)
