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View Full Version : What do I do? Abig problem















artme
18th March 2009, 12:01 AM
Decide to sell one of our investment houses in order to realise some capital, as I am not working at present.
Contract signed by both parties, then buyer decides he wants 10g off because he alleges he had a dispute with a neighbour. Told to go jump so original price is still the price.
Then buyer tries to get another 2 1/2g off about 2 weeks later. Same reply as before, same result.

Now buyer wants 1g off because under the terms of the contract he was getting the current tenant with a lease that expires about 3 weeks after the settlement date , but said tenant left at the end of last week.

As I understand it the buyer is claiming breach of contract and if he doesn't get the discount he will pull out. I suppose technically he may be right even though this is no doing of mine. I am prepared to look at giving him 23 days rent as a discount as this is the time between settlement and the rental lease expiry.

Trouble is the chancellor of the exchequer is being bloody minded and won't budge claiming a conspiracy and the fact that the buyer has persistently made life a bit complicated.

My view is "bend a little" because we may not get the same price in the current market if we dig our heals in.The property is actually in my name and I can sign off on anything I choose. I have put this to the chancellor and she was not amused.

Waiting to hear from my solicitor tomorrow. Not worried about that bt am worried about the reaction of SWMBO and her pigheadedness.

Rossluck
18th March 2009, 06:41 AM
hear from my solicitor tomorrow.

:2tsup:

Woodwould
18th March 2009, 08:12 AM
I think you are on the right track. Being so diplomatic, I'm sure you'll be able to manage SW(Doesn't Necessarily Have To)BO.

Groggy
18th March 2009, 08:20 AM
Don't let anger or annoyance be a factor in the decision. Look at the original deal on paper and see what has changed, then what that change is really worth.

bluegum30
18th March 2009, 08:30 AM
I would follow your present line of thoughts , you have too keep the sale progressing . Lloyd :)

silentC
18th March 2009, 08:49 AM
How was the tenant able to leave before the end of the lease and not be liable for the rent?

BobR
18th March 2009, 11:13 AM
I think your solicitor will tell you that the sale of the house and the tennant issue are separate. I would assume that the sale agreement does not even mention the tennant. Up until settelment you would be responsible for the rental property and any rent received. If a breach has occurred then you may wish to try and recover the balance of the contract. Good luck. I suspect that all you have is the bond. If you choose to give him the three weeks rent he believed was comming, then that would be good will on your part only. Will be interested to hear what your legal advise is.

Gaza
18th March 2009, 05:39 PM
take the $1000 off this bloke is a tight ????, just get the deal done and get him out of your life.

if the deal falls over might end up costing a lot more than 1k to re advertise etc

artme
18th March 2009, 08:52 PM
My line of thought was correct. Today we had a chat to a lawyer at the REIQ and he confirmed that, despite the tenant's leaving being no fault of ours, the law was on his side. Our solicitor said the same thing.

This sort of thing happens rarely but it does happen.

We settled on giving the buyer the rent he would have collected from settlement date to lease expiry. He can actually install a tenant immediately on settlement. This has the effect of double dipping but that is not illegal, so half his luck.

Several debates with She Who Will Not See have still left her unhappy but accepting.

The tenant was in an awkward position. He has a very small child to support as his partner left him. Even though the rent was about as low as it gets he was unable to keep it up so he quit. We are not in the business of kicking someone who is down so, as he left the bond for us we have accepted that that is as much as we will get.
The real estate agent has also very generously decided not to charge any further fees so things could have been worse.

Glad it's behind me. I can do without the stress.

RETIRED
18th March 2009, 10:51 PM
Glad it's behind me. I can do without the stress. Sometimes worth more than the money.:cool:

Ed Reiss
19th March 2009, 04:03 AM
Stress is a killer...you did the right thing Art:2tsup: