HI all
If I make an offer on a property that is unconditional, but I have not yet organized finance, what are the possible outcomes for me? ie. what is the worst that can happen?You could be legally obliged to go through with the purchase of the property, regardless of finance. If this was to happen you’d be in all sorts of trouble, avoid this situation!!
Hi, I would second the above opinion – always seek advice from your lawyer first before you consider doing anyting like this. I always prefer to do all my due diligence upfront first before putting in any offers and it has never put me wrong. This was the only time I would ever go cash unconditional and of course make sure you have funds to be able to do it !! Otherwise you’re in BIG TROUBLE – you’re legally obligated to follow through with the deal. If the deal looks good you can always put 2-5 days on it as this would still be attractive to the vendor but still buy you time to get your funds approved.
Debs
Originally posted by Dougiejg:HI all
If I make an offer on a property that is unconditional, but I have not yet organized finance, what are the possible outcomes for me? ie. what is the worst that can happen?Unconditional offers are very powerful and help in the negotiating process. But they commit you to the purchase.
If you default, you can loose much ore than your deposit. The vendor can sue you for any shortfall in price he achieves in a subsequent sale plus legal costs.
You should really organise your finance first or buy subject to finance. In today’s slower market many vendors are accepting sales subject to finance.
Michael Yardney
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