Sale property

carlitos081

Hello, I'm quite new on the website and I hope I selected the right category.

I'd like to understand if it is normal for my sollocitor to ask me to sign a sale of a property before he received the found from the buyer bank/sollocitor.

I think the order is:

1)Sale agreed

2)buyer sing the contract and deposit.

3)seller sollocitor wait for the fund to reach his bank

4)seller go to the solicitor to sign.

I'm surprise that my sollocitor asked me to sign before he received the money can anyone help me to understand if this is the norm? Thanks

gipi

You have to sign the contract before money is transferred.

After the contracts have been signed by both buyer and seller, final checks are carried out by the solicitors and a closing date is agreed.

The money only transfers on closing date.

wench

Steps 3 & 4 should be the other way around.

Once the buyer signs and sends on the deposit, you sign too. Now you are both committed to the sale.

Then the buyer can draw down the mortgage and send the money, at which point you hand over the keys.

carlitos081

Thanks for the comment,

Are you saying that the solicitor should have received all the money before we signed? The issue is that the buyer can get away without paying any fees as there is on the contract that for any reason bank do now send the money they can just walk away.

But now we are stuck waiting for the buyer to speed thinks up, once we signed we can't punt a date on it.

I feel that the sollocitor didn't protect us from the commodity of the buyer to send money whenever suits him

wench

No, the buyer should have paid the 10% deposit before you signed.

If the buyer walks away, that 10% is usually forfeit.

The completion date should have been specified in the contract, usually with a penalty rate included if it goes past that.

Smee_Again

The person buying the property isn't going to transfer the money until you have agreed to sell them the property.

Until you have signed the contracts, technically and legally speaking, you have not agreed to sell them the property.

Former Former Former

https://www.boards.ie/discussion/comment/121452706#Comment_121452706

Are you saying that the solicitor should have received all the money before we signed? 

No, you and the buyer both sign the contract before the money is transferred.

Transfer of the money is (usually) the very last step before you hand over the keys.

Calahonda52

Basics of Contract Law.

Offer

Acceptance

Consideration

1percent

Yup, buyers soicitor is protecting them with the standard clause that if the bank refuse drawdown for whatever reason then they can walk away and get their full deposit back. If the buyer gets a notion that they no longer want to buy after the contracts are signed then the deposit is forfeit typically as mentioned above. A good buyers solicitor will insist on this clause.

From a buyers perspective if they get to the point of drawdown and gone through all the hoops and emotional and mental stress it takes to get to closing they are not messing around, they are here to play and have given you 10% of the sale cost already. If at drawdown some wageling in the bank were to say "computer says no" they will be devastated, do you really want to add insult to that injury by being the guy who tells them that you wont be giving them back the let's say 50k they spent years saving? The clause is added so that you cannot do that.

herbalplants

"feel that the sollocitor didn't protect us from the commodity of the buyer to send money whenever suits him"

I don't know how anybody can understand from the gibberish above what you are saying?

You have employed a Solicitor so he/she must know how to do their job.

Kaisr Sose

https://www.boards.ie/discussion/comment/121454434#Comment_121454434

Perhaps English is not their native tounge They just came here for advice on process for closing a sale. The solicitor should be telling the the process. However, if they are anything like my solicitor, also in a property sale, they do not communicate very well, or in a timely way on any aspect of the conveyance, and my questions are in plain English..😀

carlitos081

https://www.boards.ie/discussion/comment/121454434#Comment_121454434

I think there are good solicitors and bad solicitor.

My point is that the buyer can delay a month or so and that is money as we are not renting and each month are thousands of euros lost and at the moment, are 5 months in total since we put the apartment for sale.

All we wanted was having a clousure date on it. What about they are paying rent somewhere and they want to finish the month they have paid, or they are just waiting to use the deposit on the rented place to pay the last two months, considering that many landlords do not give the deposit back but let you use it.

carlitos081

https://www.boards.ie/discussion/comment/121454507#Comment_121454507

Thanks for looking this from a constructive point of view, our solicitor has been brutal in explaining how it works and every question seems like we should know it, like we sell property every day...

whippet

https://www.boards.ie/discussion/comment/121488900#Comment_121488900

What the buyers do is totally out of your control and of the control of your solicitors. The reality is that they have stuff they need to sort out before the closure as do you. They are not concerned with your personal circumstances and I assume you have no concern of their personal circumstances. Sales get delayed for all sorts of reasons (banking, solicitors, documents not being right etc) ... however, the basic process of signing contracts and transferring money is generally all the same.

It would be very rare to have a time or date that suits everyone. The fact that you can't rent out the property is a cost that you have to bear and the purchasers have no interest in this. Their own rental situation is something they need to manage not your concern. You can ask your solicitor to put in a closure date in to the contract ; however the realistic effect of this would be nothing - if the date passes do you rip up contracts and start the sale process all over again ?

herbalplants

https://www.boards.ie/discussion/comment/121488900#Comment_121488900

So let me get this straight as it is hard to follow. You are selling your apartment and you for some reason are losing thousands of euro because of the buyer? How are you losing? What if the buyer offered you less money for your apartment or no other buyer wants to buy your place?

For a good amount of sellers all over the world, it takes months even a year to sell their property so what is different in your case. Nothing.

If you are not happy with this buyer, put your property back on the market or go with other offer if you received more than one.

whippet

https://www.boards.ie/discussion/comment/121490863#Comment_121490863

from my reading is that they are selling a rental property and they can't rent it out while selling it - so the opportunity cost of having it empty is the issue. But as I mentioned earlier - that is of no concern to anyone in the equation apart from the OP

herbalplants

https://www.boards.ie/discussion/comment/121490889#Comment_121490889

Exactly this is a cost they have to factor in by selling the apartment. Nothing to do with the buyer.

Smee_Again

https://www.boards.ie/discussion/comment/121488900#Comment_121488900

Its a sellers market the minute, you should have picked a buyer who was ready to close quickly.