John Agnello

Hey Melissa, how are you?

To answer your question that would depend on how your offer was structured. Was it presented as $100,000 with $6,000 back or was the offer $106,000 with $6,000 back? In either case you are mortgaging the amount credited to you.

John Agnello
Realtor®
Long & Foster, Real Estate Inc.
(609) 320-6700 –Cell
(856) 856-2338 –Office - Thu Apr 24 2008, 19:04

The risk for you is that placing a contingent offer may not guarantee that you will get the house.

Most likely there will be specific performance dates for you to meet. In your contract it may stipulate that you will have anywhere from 30 to 60 days or more to produce a contract of sale on your current home. If that time should come and you do not have a contract of sale, then the sellers may either renew and extend their agreement with you or dissolve the contract of sale.

You may also be subject to “Right of First Refusal” which allows the seller to accept better offers. If the seller decides to enact this right, you will be given a period of time (in my area this is generally 48-hrs) to lift your contingency. If you cannot, then your contract of sale with them dissolves.

Placing an offer contingent on the sale of your home is a safer move, because it ensures that you will not be carrying an additional mortgage.



John Agnello
Realtor®
Long & Foster, Real Estate Inc.
(609) 320-6700 –Cell
(856) 856-2338 –Office - Thu Apr 24 2008, 18:51

Don’t be embarrassed to ask for assistance from your Realtor. It is perfectly natural for a buyer to seek advice when considering making an offer. Your agent should be able to help you structure an offer that will be far more attractive to the seller.

Price is just one of the many considerations when preparing an offer. If your agent has done their homework and fully understands your situation they should be in a good position to make some recommendations.



John Agnello
Realtor®
Long & Foster, Real Estate Inc.
(609) 320-6700 –Cell
(856) 856-2338 –Office - Wed Apr 23 2008, 22:04

Hi Linda, how are you? I see you’re in my local area!

Price is just one of the many things that a seller must think about when considering an offer. These other factors can include the settlement date, terms of financing, and contingencies.

If you do in fact reach an agreement and the seller decides to accept your offer, you may be subject to “Right of First Refusal” … Which means that even though you have a contractual agreement with the seller it does not guarantee you will get the property should the seller receive a better offer.

Say for example the home you are in contract to purchase was $300,000 and the seller receives an offer for $275,000 from a non-contingent buyer, they will serve you notice and you will have up to 48-hrs (length negotiable) to lift your contingency or the contract becomes null and void. There are other factors to consider as well. The seller will most likely give you a specific performance date for which to produce a contract of sale on your home. If at that time you do not have a contractual agreement on your home, they can either extend their agreement with you or it can be dissolved.

If you should seek any additional advice, you are more then welcome to give me a call anytime.


John Agnello
Realtor®
Long & Foster, Real Estate Inc.
(609) 320-6700 –Cell
(856) 856-2338 –Office - Wed Apr 23 2008, 21:50

Hi Ruth, how are you? I see you’re in my local area!

I am not familiar with the way real estate transactions are conducted in MD. You will find that things may vary from state to state with regards to procedures and laws. This is why realtors can only conduct business in areas in which they are licensed.

Unless the contracts were executed I don’t believe there is anything you can do. It sounds like the terms of the agreement were made and agreed upon, but they were not binded by a fully executed contract.

Are you sure it was just price that was the deciding factor for the sellers to not move forward? The reason I ask is because price is just one of the many things that a seller must think about when considering an offer. These other factors can include the settlement date, terms of financing, and contingencies.

My recommendation is to have your agent meet with the sellers and their agent to find out what issue they have with the terms and try to find a resolution that will make both sides happy.

You can of course seek additional legal counsel for further advice.

John Agnello
Realtor®
Long & Foster, Real Estate Inc.
(609) 320-6700 –Cell
(856) 856-2338 –Office - Wed Apr 23 2008, 21:36