Oftentimes, the issue of a mutual driveway will come up in discussions and sometimes Buyers and Sellers alike will wonder where they stand. Question: If the title was searched by …
Buyer Negotiating Partial Refund of Deposit
Question: I’m the Listing Agent. According to my Seller’s lawyer, the Buyer has changed his mind and doesn’t want to close… and would like half the deposit back! Should we …
What is RECO’s Real Role?
Sometimes, that’s not entirely clear. Lets have a look at a publication from RECO appearing on the RECO website. It appears in the public section of the website. It’s there …
Deposit Forfeiture Clause: Does it have any Meaning?
Question: What do you think on this clause from a Seller’s perspective? “The Buyer hereby acknowledges that in the event of the buyer’s breach of the agreement of purchase and …
Full Purchase Price Paid as a Deposit
Question: A property sells for $750,000.00 and the Buyer’s agent brings a deposit for $750,000.00 with the balance of the purchase price paid on closing. Are there any implications here, …
Inspection Condition and Leverage
Scenario: Seller accepts buyers offer which is conditional upon an inspection (with right to remedy clause). Buyer agent states to the Listing agent the condition is satisfied but would like …
The Magician’s Deposit Clause
A few Brokerages have been using a clause which they find helpful. From time to time a Buyer decides not to proceed with a real estate transaction. So, they take …
Execution of the Mutual Release in Real Estate Transactions
The issue presents itself with every failed transaction. Sign the Mutual Release, give the Buyer his deposit and move on. But, is that really the best idea? In a number …
Returning the Deposit in a Failed Transaction
What documents do you need? You are going to have to have some paperwork for the file. If the deal fell through and the deposit is to be returned to …
Is a Deposit a Requirement for a Valid Contract?
Question: Is a Deposit a Requirement for a Valid Contract? Answer: A valid contract in Ontario requires either: 1) consideration, or 2) a seal. All standard form OREA contracts are …