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Reading Time:

3 minutes

Published:

18 February 2016

ANOTHER SLY REAL ESTATE TRICK

How some buyers try to rip off sellers.

Hello Neil

We have our home for sale. Some days ago we received an offer of $232,450.00, which we were ready to accept.

Our agent rang us to inform us that the buyers had signed the necessary papers. She read through the document over the phone before asking us to come in and sign.

While doing this she noticed that there was an annexure “A”.

She read out the first 3 parts of the annexure, saying they were okay, and then hesitated when she came to the 4th “Disbursements and cheques at Settlement include:

Settlement moneys $225,043.75
Office of State Revenue $ 6,656.25
OwnIt Conveyancing $ 550.00
Goode Pest Control $ 200.00
Purchase Price (total) $232,450.00″

Please note the purchase price total was boxed in and highlighted so as to attract the seller’s attention, while the settlement moneys section was not as noticeable.

In other words, the verbal offer they had made was now reduced to $225,043.75, having deducted the buyers’ expenses!!

Fortunately our agent picked this up in time. My husband took the papers to a solicitor who advised us not to sign anything.

Our agent then contacted the buyer and was treated with contempt. She advised us not to have any further dealings with the buyers, a conclusion we had already reached ourselves.

We have been fortunate enough to have detected this irregular document, together with our agent, before signing anything.

However, we wish to alert you of this matter, as other members of the public may not be so lucky in the future, having had their eye drawn to the highlighted “Purchase Price” area, not realising that the “Settlement moneys” section would be the actual price they received after the buyer had deducted all his expenses from the agreed purchase price.

No doubt many before us have already been ripped off in this manner.

We would like to congratulate you on setting up such an excellent organisation to assist members of the public.

***************

You are very lucky to have narrowly escaped this audacious try-on.

While you may be grateful to the agent, you should NEVER sign legal documents to sell or buy real estate on the advice of a salesperson. It is an agent’s job to do the selling NOT the legal work. Legal work should be done by lawyers.

Don’t even consider signing anything to sell or buy without getting independent legal advice.

If you ignore this advice, it’s only a matter of time before you are seriously financially wounded.

***************
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