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How may a seller keep the buyers earnest money as liquidated damages?
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Can you use a personal item as earnest money?
ANYTHING or any amount can be used as Earnest Money as this is about the mutual contract between the contracting parties. this is the satisfaction of the seller that on what thing or money he is ready to accept as EARNEST MONEY OR DEPOSIT. this is to secure the transaction and it is the satisfaction of the seller only
Who pays the agent when buying a house?
It is the seller that pays the commission to the agent from the buyers funds.
Asking a seller to pay half of closing cost is this a rarity or common practice?
I am in the mortgage industry 23 years. My experience has taught me that a Veteran can have the seller pay the closing costs on the buyers behalf. But if you have a savy realtor who can get a seller to sign the purchase contract which states the seller will pay $5,000.00 of the buyers closing costs, it is allowable provided the purchase contract clearly states what the seller agreed to pay on the buyers behalf. I recommend you put a dollar figure (such as $5,000.00) rather than stating "seller to pay buyers closing costs" because the seller will know up front what he is expected to pay on your behalf and won't freak out at time of closing. If the seller does not agree to pay any of your closing costs, you may still benefit from purchasing the home in other ways. Be creative. Include in the contract that a home warranty covering the roof, the pipes, the waterheater, or the A/C unit, kitchen appliances, any pre-existing structure damage be repaired and defects in electrical wiring be covered for 3 or 5 years, and ask the seller to pay from the proceeds so it is the seller's expense. Or ask the seller for new appliances, or get a new A/C unit as a condition of the purchase. Do not ask for too much though, and inform your Realtor of your desires so s/he can do the bargaining for you. After all, they are the professionals. Oh yeah, this is a biggy. If you are not comfortable with your realtor, find one who makes you comfortable. It does matter how they treat you and remember, a good realtor will be comfortable to do business with.
Should you give your earnest deposit money to the title co?
An earnest money deposit is a good faith deposit that a buyer puts forth to secure the contract and to illustrate to the seller the seriousness of their investment. The following are some guidelines as to how/who a buyer should facilitate their earnest deposit to:Never give an earnest money deposit to the seller.Make the deposit payable to a reputable third party such as a well known real estate brokerage, legal firm, escrow company or title company.Verify that the third party will deposit the funds into a separately maintained trust account.Obtain a receipt.It is unadvisable to authorize a release of your earnest money (or a pass-through) until your transaction closes.
When is bargaining power of buyers stronger?
Bargaining Power of Buyers StrongerBuyer switching costs to competing brands or substitutes are lowBuyers are large and can demand concessionsLarge-volume purchases by buyers are important to sellersBuyer demand is weak or decliningOnly a few buyers existsIdentity of buyer adds prestige to seller's list of customersQuantity and quality of information available to buyers improvesBuyers have ability to postpone purchases until laterBuyers threaten to integrate backward.I strongly recommend to read about the Five competitive Forces by Porter.
As an incentive to pay obligations early buyers are offered discounts by a seller?
As an incentive to pay obligations early buyers are offered discounts by seller
Can you use a personal item as earnest money?
ANYTHING or any amount can be used as Earnest Money as this is about the mutual contract between the contracting parties. this is the satisfaction of the seller that on what thing or money he is ready to accept as EARNEST MONEY OR DEPOSIT. this is to secure the transaction and it is the satisfaction of the seller only
When will the equilibrium between the buyers and seller happen?
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Why does a buyers market turn into a sellers market?
a buyers market turns into a seller's market when the houses are worth more than the buyers paid for them in the first place
Why a buyers market turn into sellers market?
a buyers market turns into a seller's market when the houses are worth more than the buyers paid for them in the first place
What determines how the burden of tax is divided between buyers and seller?
The burden of tax is divided between buyers and sellers by the forces of supply and demand.
Show the characteristic of monopoly competition?
* A large number of buyers. * Only one seller/producer. * The producer/seller want to maximize his profit.
Which economic markets describes a situation with many buyers but only one seller?
monopoly
What are monopoly?
Standard Oil is one
Is it buyers or sellers responsibility to smog a car in the state of California?
It's the seller's responsibility
Who pays the agent when buying a house?
It is the seller that pays the commission to the agent from the buyers funds.
Why is owner of record listed as the seller on a contract for sale and purchase of a house and not the buyers name?
Until the sale is closed and funded the seller is still the owner.
