When it comes to negotiating real estate contracts, and just about anything for that matter, it is very important to get every point in writing.
Being as clear and as concise as possible in the language that we use on real estate contracts is critical. Seasoned Real Estate Professionals know that vague clauses on contracts generally cause issues be it during the conditional period, or when the offer is being reviewed by the Buyer or Sellers Lawyer, or at closing, when it becomes clear that the Sellers interpretation of a Buyers expectations didn’t quite line up.
Too much language and excessive wordiness can lead to a cloudy perception of a clause or expectation, while too little can leave much open to interpretation.
There is a definite process to effective clause writing for Real Estate. Many clauses are standard, but there are also many times when we need to craft a clause specific to a particular concern, or a unique situation.
Clauses need to be extremely clear, concise, and time/ date sensitive in their wording.
Never take for granted a verbal statement when it comes to negotiating a real estate contract- the party making the statement/ promise may have good intentions at the time, but often times unexpected circumstances can arise throughout the process that may change that parties intentions- purposefully or not. When you don’t have anything in writing, it is almost impossible to have any legal recourse, which can be very disappointing depending on the point of contention.
In summary, when it comes to negotiating a real estate contract, experienced and professional Real Estate Agents are always very careful to capture every detail in writing, and to be very specific and clear in their wording.
When dealing with For Sale By Owners (FSBO) without professional representation, be extremely cautious that every detail is in writing and is time/ date specific, and have an extensive discussion with your Lawyer to ensure that your interests are actually protected by the agreement that you have crafted, BEFORE signing ANYTHING.
No comments yet.