If its a bank owned forclosure how long are you given to inspect and are you supposed to be allowed to cancel

Asked by Shemika, Trenton, NJ Mon Jan 19, 2009

the contract if you are not satified with the inspection? Also should you be permitted to review the contract contents prior to making an offer & can they only give you 10 days from a verbal offer to inspect & require you to pay their attorney fees over a certain dollar amount and so on? What are the buyers rights when there is no disclosure statement and what you have been told verbally differs from the contract you don't see til later on and are not only being rushed into? And although being told the opposite the contract is calling for penalties & attorney fees if the buyer doesn't meet deadlines not advised of beforehand. A really bad deal but is there any protection to the buyer or laws governing how these contracts are worded.

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William Leigh…, , New Jersey
Mon Jan 19, 2009
Shemika: In a word, NO, you have no "rights." A contract is a contract. It is a legal document. If you do not understand ANY part of it, hire a lawyer to explain it. Buyers must exercise "due diligence." A repossessed property is worth only so much time, as far as the repossessor is concerned. Since they are often miles away, they can give you NO homeowner’s disclosure. Disclosures are NOT required by law in NJ. Even if they were, the response would be (and are when I work with a repossessor-seller,) "Unknown," to all conditions, a legal response.

Most of them are bought up by investors. The second most logical buyer is the, at least, semi-skilled person who will be doing a great deal of "fix-up" themselves. The least logical is the person who thinks that this is a great deal and that they should be given all sorts of options. It doesn't usually work that way.

Sorry, that just the way it is. For the person unwilling to do the inspections and take certain risks, the best option is to deal with a Realtor, who will help them find the best deal for their needs and tastes. If they are not fully conversant with contracts and the law, they should invest in legal counsel as well.
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Gina Chirico, Agent, Fairfield, NJ
Mon Jan 19, 2009
I'm assuming you signed a contract for a bank owned property. Bank owned properties are sold as is and no disclosure can be made by the bank [in this case the bank is the seller] because they have never occupied the property nor have they ever even been to the property. But in any event, if you signed a contract to purchase, did you read and were you explained what you were signing? Did you hire an attorney to represent you during the attorney review? If so, did your attorney review and explain the contract to you? Typically there is a backout clause for inspection issues although banks ususally never repair any issues that arise during inspection as its usually listed and sold in as is condition but again your attorney should have explained this to you. If haven't already, you need to retain the services of a real estate attorney.

Good luck.

Gina Chirico, Sales Associate
Prudential NJ Properties
973-715-1158 cell
973-992-6363 ext 116
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