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When closing on a house can the seller request more money than was agreed upon in the contract?
Wiki User
∙ 17y ago
No you can't ask for more money after negotiating the asking price and any increase or decrease is done during the negotiating stage not after the agreement and closing has occurred.
Wiki User
∙ 17y ago
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The History of Future Contracts and Future Prices?
The future prices represent the agreed upon monetary value for certain assets. The buyer and seller come to a compromise on when the asset will be sold; they also agree to a future date for this transaction. The futures contract is a written document between these two parties for the transaction. There is an exchange that exists solely for the trading of futures contracts. The futures contract is totally different from direct securities. For example, stocks, bonds, and warrants are all examples of direct securities. The purchaser of the futures contract is willing to take a long position for the future prices. The seller in the transaction takes a short position in this transaction. The main influence on future prices is supply and demand. This factor has the greatest influence on the entire process. In addition, the underlying asset does not have to be a commodity. Commodities are things like currencies, financial instruments, and securities. Another factor in the transaction is the delivery date of the contract. This date can also be referred to as the future date. This is the date that the contract must be delivered. The history of future prices can be traced all the way back to Japan in the 1730's. In 1864 the Chicago Board of Trade listed the first forward exchange contract. This contract was based on grain, and this contract also started a trend. A number of futures exchanges were set up around the world. By the year 1875, cotton was being traded in Mumbai. In the next few years the trade expanded to raw jute, jute goods, and edible oilseeds complex. The futures prices are stabilized by the futures contract being liquid. This is possible because the contract is highly standardized. The futures contract specifies the underlying asset or instrument. This can be a barrel of crude oil, or this can be a short term interest rate. The type of settlement is also specified. The settlement can be cash or physical. Another example is the contract in which the futures contract is quoted. Also, the quality and grade of the deliverable is factored into the equation. When it comes to bonds, the contract specifies which bonds can be delivered. Another factor affecting future prices is the credit risk. For instance, the trader must post a performance bond to reduce the risk. The amount of the performance bond is typically 5%-15% of the contract value.
What is the difference between a bank guarantee and a letter of credit?
While both being non-funded or contingent facilities i.e. they depend on the happening of a certain event, the basic difference between the two is that of the parties involved. In a bank guarantee, three parties are involved; the bank, the person to whom the guarantee is given and the person on whose behalf the bank is giving guarantee. In case of a letter of credit, there are normally four parties involved; Issuing Bank, Advising Bank, the applicant (importer) and the beneficiary (exporter). While appreciating the above, a more comprehensive response follows: A letter of credit is an obligation taken on by a bank to make a payment once certain criteria are met. Once these terms are completed and confirmed, the bank will transfer the funds. This ensures the payment will be made as long as the services are performed. A bank guarantee, like a line of credit, guarantees a sum of money to a beneficiary. Unlike a line of credit, the sum is only paid if the opposing party does not fulfill the stipulated obligations under the contract. This can be used to essentially insure a buyer or seller from loss or damage due to nonperformance by the other party in a contract. For example a letter of credit could be used in the delivery of goods or the completion of a service. The seller may request that the buyer obtain a letter of credit before the transaction occurs. The buyer would purchase this letter of credit from a bank and forward it to the seller's bank. This letter would substitute the bank's credit for that of its client, ensuring correct and timely payment. A bank guarantee might be used when a buyer obtains goods from a seller then runs into cash flow difficulties and can't pay the seller. The bank guarantee would pay an agreed-upon sum to the seller. Similarly, if the supplier was unable to provide the goods, the bank would then pay the purchaser the agreed-upon sum. Essentially, the bank guarantee acts as a safety measure for the opposing party in the transaction. These financial instruments are often used in trade financing when suppliers, or vendors, are purchasing and selling goods to and from overseas customers with whom they don't have established business relationships. The instruments are designed to reduce the risk taken by each party.
What is the difference between CFR and CNF?
CFR/CNFCost and Freight (named destination port) - Seller must pay the costs and freight to bring the goods to the port of destination. However, risk is transferred to the buyer once the goods have crossed the ship's rail. Maritime transport only and Insurance for the goods is NOT included. Insurance is at the Cost of the Buyer.CIFCost, Insurance and Freight (named destination port) - Exactly the same as CFR except that the seller must in addition procure and pay for insurance for the buyer. Maritime transport only.CIPCarriage and Insurance Paid (To) (named place of destination) - The containerised transport/multimodal equivalent of CIF. Seller pays for carriage and insurance to the named destination point, but risk passes when the goods are handed over to the first carrier.CPTCarriage Paid To (named place of destination) - The general/containerised/multimodal equivalent of CFR. The seller pays for carriage to the named point of destination, but risk passes when the goods are handed over to the first carrier.DAFDelivered At Frontier (named place)- This term can be used when the goods are transported by rail and road. The seller pays for transportation to the named place of delivery at the frontier. The buyer arranges for customs clearance and pays for transportation from the frontier to his factory. The passing of risk occurs at the frontier.DDPDelivered Duty Paid (named destination place) - This term means that the seller pays for all transportation costs and bears all risk until the goods have been delivered and pays the duty. Also used interchangeably with the term "Free Domicile". The most comprehensive term for the buyer. In most of the importing countries, taxes such as (but not limited to) VAT and excises should not be considered prepaid being handled as a "refundable" tax. Therefore VAT and excises usually are not representing a direct cost for the importer since they will be recovered against the sales on the local (domestic) market. DDUDelivered Duty Unpaid (named destination place) - This term means that the seller delivers the goods to the buyer to the named place of destination in the contract of sale. The goods are not cleared for import or unloaded from any form of transport at the place of destination. The buyer is responsible for the costs and risks for the unloading, duty and any subsequent delivery beyond the place of destination. However, if the buyer wishes the seller to bear cost and risks associated with the import clearance, duty, unloading and subsequent delivery beyond the place of destination, then this all needs to be explicitly agreed upon in the contract of sale.Delivered Duty Unpaid (named destination place) - This term means that the seller delivers the goods to the buyer to the named place of destination in the contract of sale. The goods are not cleared for import or unloaded from any form of transport at the place of destination. The buyer is responsible for the costs and risks for the unloading, duty and any subsequent delivery beyond the place of destination. However, if the buyer wishes the seller to bear cost and risks associated with the import clearance, duty, unloading and subsequent delivery beyond the place of destination, then this all needs to be explicitly agreed upon in the contract of sale.DEQDelivered Ex Quay (named port) - This is similar to DES, but the passing of risk does not occur until the goods have been unloaded at the port of destination.DESDelivered Ex Ship (named port) - Where goods are delivered ex ship, the passing of risk does not occur until the ship has arrived at the named port of destination and the goods made available for unloading to the buyer. The seller pays the same freight and insurance costs as he would under a CIF arrangement. Unlike CFR and CIF terms, the seller has agreed to bear not just cost, but also Risk and Title up to the arrival of the vessel at the named port. Costs for unloading the goods and any duties, taxes, etc… are for the Buyer. A commonly used term in shipping bulk commodities, such as coal, grain, dry chemicals - - - and where the seller either owns or has chartered, their own vessel.EXWEx Works (named place) - The seller makes the goods available at his premises. The buyer is responsible for all charges. This trade term places the greatest responsibility on the buyer and minimum obligations on the seller. The Ex Works term is often used when making an initial quotation for the sale of goods without any costs included. The buyer pays all transportation costs and also bears the risks for bringing the goods to their final destination.FASFree Alongside Ship (named loading port) - The seller must place the goods alongside the ship at the named port. The seller must clear the goods for export; this changed in the 2000 version of the Incoterms. Suitable for maritime transport only.FCAFree Carrier (named places) - The seller hands over the goods, cleared for export, into the custody of the first carrier (named by the buyer) at the named place. This term is suitable for all modes of transport, including carriage by air, rail, road, and containerised / multi-modal transport.FOBFree on board (named loading port) - The seller must load the goods on board the ship nominated by the buyer, cost and risk being divided at ship's rail. The seller must clear the goods for export. Maritime transport only. It also includes Air transport when the seller is not able to export the goods on the schedule time mentioned in the letter of credit. In this case the seller allows a deduction of sum equivalent to the carriage by ship from the air carriageclose
Who inspired Giuseppe Arcimboldo?
A banana seller
What is the name of a person that sells food?
A food seller!
Does a real estate contract become void if the buyer does not show on closing day?
It doesn't become void unless the other party wants to void the contract. The seller can use that failure to show up at the closing to void the contract but there are further consequences for the buyer. Not showing up for the closing is a breach of the contract and generally the seller can keep any deposit as long as that provision was recited in the sales contract. You should consult with an attorney.It doesn't become void unless the other party wants to void the contract. The seller can use that failure to show up at the closing to void the contract but there are further consequences for the buyer. Not showing up for the closing is a breach of the contract and generally the seller can keep any deposit as long as that provision was recited in the sales contract. You should consult with an attorney.It doesn't become void unless the other party wants to void the contract. The seller can use that failure to show up at the closing to void the contract but there are further consequences for the buyer. Not showing up for the closing is a breach of the contract and generally the seller can keep any deposit as long as that provision was recited in the sales contract. You should consult with an attorney.It doesn't become void unless the other party wants to void the contract. The seller can use that failure to show up at the closing to void the contract but there are further consequences for the buyer. Not showing up for the closing is a breach of the contract and generally the seller can keep any deposit as long as that provision was recited in the sales contract. You should consult with an attorney.
When a seller has agreed to supply all of the needs of a buyer there is a?
requirements contract
Will a real estate contract be vaild if the owner dies before closing in Georgia?
The contract will be valid. Generally, the death of the seller will delay the closing until a probate procedure is filed and the court allows the sale of the real estate by the estate representative.The contract will be valid. Generally, the death of the seller will delay the closing until a probate procedure is filed and the court allows the sale of the real estate by the estate representative.The contract will be valid. Generally, the death of the seller will delay the closing until a probate procedure is filed and the court allows the sale of the real estate by the estate representative.The contract will be valid. Generally, the death of the seller will delay the closing until a probate procedure is filed and the court allows the sale of the real estate by the estate representative.
Can you cancel the contract after closing on a house?
If a buyer is allowed to get out of a home purchase after a closing, it will state that in the contract. Discovering a shocking defect with the property that was not disclosed can potentially get the buyer out of the contract after the closing.
If after a contract has been signed and agreed upon for buying a home can the seller back out of the deal?
Yes they can if it is done in accordance with the terms of the contract. If it is done in breach of the contract, the seller can actually have legal action taking against them. Not always Unless the buyer agrees, the contract remains enforceable, and a court can order the sale to proceed.
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.
What is financing concession?
Usually it means that the seller has agreed to pay all or a portion of the buyer's closing costs. This is very common in new construction sales.
Is it legal for a buyer to request the seller who has offered credit for repairs to have a statement in the final paperwork indicating that the credit is for closing costs NOT repairs?
No how can it be leagel
What is a seller pursuant?
Those words have been taken from a contract or agreement out of context. Examples of their use in contract language are as follows: The Buyer will pay one-half of the closing costs of the Seller pursuant to the agreement signed by the parties on 9/01/2008. The bank has no claims against Seller pursuant to the Note or otherwise.
What is the definition of a seller's concession?
Seller's Concessions or seller contributions are the amount or percentage of closing costs that the seller agrees to pay from his or her proceeds. This amount should already be included in the contract. If you need any further help with this feel free to call my office (214)607-1445.
Who signs the contract first the seller or the buyer?
Typically a real estate contract begins with a written offer from the buyer. The offer, to be official is signed by they buyer. From there there seller may make amendments and sign and amended contract, that needs to be approved and the changes are either initialled by the buyer and the seller or a new contract containing agreed upon amendments is resigned by both parties. The signing continues until a final agreement with all agreed changes has been signed by both parties. For further information, see the related link below.
What is Payment terms in law?
Payment terms in law refer to the conditions under which a payment is to be made, such as the due date, method of payment, and any penalties for late payment. These terms are typically outlined in a contract or agreement between parties. Failure to adhere to the payment terms can result in legal consequences.
