Buying or Selling a Home/selling my home?

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Expert: - 12/28/2010


Question
hi, i am under contract selling my home. when the inspections were done the agent said they wanted the floor batting under house removed. when they accepted our counter we told buyer we were not lowering price or paying to fix anything whatever came out in inspection. we refused to do this of course because we want out floors insulated and if seller pulls out we would have uninsulated floors. now the buyer says if we dont do it she is canceling purchase agreement. legally does the buyer have to give us written proof of this cancellation of agreement or can she just email and tell us this? thanks, bev

Answer
Hello Beverly - Your rights depend on the terms and conditions of the purchase contract and you did not stipulate if it was the AZ AAR Residential Purchase Contract or another state/contract. That said, in the AZ Residential Purchase Contract the buyer has the right to request that items of disapproval found during the inspection period be remedied by the seller... even in an "AS-IS" sale which is similar in language to the terms that you indicated in your counter-offer. "AS-IS" means you get what you see, although it does not mean a buyer and seller can't agree to negotiate an item that otherwise the seller would not have to repair or improve. In your situation, the buyer merely has requested that you remove the batting, if you wanted to keep the buyer, you could have countered the request agreeing to the request provided the buyer increase their offer, or any other agreeable terms to you to keep the buyer interested. There could also be a time to perform such as after the buyer deposits all their moneys needed to close but prior to closing date ensuring these monies would become non-refundable if they buyer backed out after the batting was removed, this way the buyer has a huge investment to lose and you would keep those (or a portion of) funds to repair your property (back to the way it was) should they cancel the sale or fail to close. As far as notice of cancellation and whether that notice must be in writing and or state the reason for cancelling will also depend on the terms of your contract. In the AZ Contract the buyer should notice the seller (or sellers rep/ title company/etc) in writing and state the reason for cancellation. I would like to have been more specific but I would need to know if the contract was AZ or another state. If your contract is in another state then you would need to bring that contract to your agents broker or to a local real estate attorney for review and seek their legal counsel. If you feel that you do not understand the terms of your contract I recommend you seek your real estate agent's broker or a real estate attorney for proper local advice. I am not an attorney and this not to be considered legal advice, rather this is real estate information any experienced real estate professional should be able to provide. Please let me know if I can be of further assistance. - Todd Menard

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Todd C. Menard

Expertise

National Association of Realtors Code of Ethics and Professional Standards * Contract Questions: 05/05 Arizona Real Estate Purchase Contract, Exclusive Buyer Broker Contracts, Listing Contracts and associated contract documentation as it relates to boilerplate, covenants, contingencies, procedures and procedures. * ARMLS Arizona Regional Multiple Listing questions * Real Estate Professional Standards and Practices, Ethics, Obligations, Duties * Agency relationships in Arizona, Procurring Cause * Questions typicaly arising during the listing period * Questions typically arising during the escrow period * Questions about working with a real estate agent/REALTOR * Questions Related to New Home Builders

Experience

National Association of REALTORS Board of Director (2011) Arizona Real Estate Salesperson License (1991-1995), Arizona Real Estate Brokers License (1995-Present), Arizona Association of REALTORS Board of Directors (2008-Present), Arizona Association of REALTORS Professional Standards Committee (2008-Present), AAR Certified NAR Code of Ethics and Professional Standards Instructor, Southeast Valley Regional Association of REALTORS President-Elect (2011) Southeast Valley Regional Association of REALTORS Board of Directors (2008, 2009), Southeast Valley Regional Association of REALTORS Grievance Committee Chairperson (1998-2007), Southeast Valley Regional Association of REALTORS Bylaws Committee (2008-Present), Southeast Valley Regional Association of REALTORS Education Committee (2008), Arizona Association of REALTORS Forms Committee - Residential Purchase Contract (2005), Arizona Association of REALTORS Forms Committee - Residential Rental Agreement (2008), Arizona Association of REALTORS Forms Committee - Buyer Broker Agreement (2009), Arizona Association of REALTORS Presidents Advisory Group, Road to Professionalism (2009), Arizona Association of REALTORS GRI Curriculum Review Committee (2009), Arizona Department of Real Estate, Commissioner's Education Advisory Group Sub-Panel B (2010) Arizona Department of Real Estate, Commissioner's Statute and License Review Committee (2007)

Organizations
National Association of REALTORS, Arizona Association of REALTORS, Arizona Real Estate Educators Association (AZREEA), Arizona Regional Multiple Listing System (ARMLS), American Notary Association, Southeast Valley Regional Association of REALTORS (SEVRAR), Southeast Valley Regional Association of REALTORS Women's Council of REALTORS (2010-Present), Phoenix Association of REALTORS (1994-2000, 2005-2009), Scottsdale Association of REALTORS (1994-2000, 2005-2009), Maricopa/Glendale Association of REALTORS (1994-2000, 2005-2009),

Publications
"Real Estate in 2008"- Lifebushido Publishing (Contributory Author), SEVRAR Magazine, Internet Crusade, RealTown ListServe, Blogger.com, Active Rain

Education/Credentials
- AAR Certified Ethics and Professional Standards Instructor, Graduate REALTOR Institute (1993), Certified Negotiation Expert (CNE), Over 100 Hours of annual real estate continuing education, Annual Ethics and Professional Standards Development Workshops as required by the National Association of REALTORS, Approx. 36 hours of NAR Code of Ethics training annually, Numerous IDW, Seminars and Train the Trainer programs, Business Management Degree - 1981

Awards and Honors
2009 REALTOR of the Year Award, Southeast Valley Regional Association of REALTORS (10,000+ Members), Double Platinum Production Award ($45,000,000 Sales Volume)- Keller Williams Realty Int'l (2001), Top 15 Sales Production Keller Williams Realty International (2001), Top 5 Sales Producation Keller Williams Realty Southwest Region (2001), Top Recruiter Award - Keller Williams Realty Int'l, SW Region (2002), Who's Who in U.S. Executive (1983), Who's Who in U.S. Real Estate Professionals (2007)

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