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Updated about 9 years ago on . Most recent reply

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PG Henderford
  • Investor
  • Houston, TX
0
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16
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Seller, foolish & broke, relisted property "to get" EM

PG Henderford
  • Investor
  • Houston, TX
Posted

OK, BP-Landia, to pass the time waiting to hear back from my lawyers, allow me to share the following tale, edited here for brevity (believe it or not):

Duplex in Houston TX, listed at $X68k; after extended negotiations, which purportedly included a new tenant on a year lease at $1400/month and promised repairs, went under contract for $X56.5k w 3d party financing. SD was a week+ late. Seller agreed to extend OP & closing bc lease "not ready"; Seller informed that  delay was holding up appraisal bc I wasn't "putting out" without pre-agreed baseline disclosures. Eventually I received an almost-valid lease that Seller executed without my written approval (not ok). Idk, I thought (not really, but this is a family show), but the deal would put me right where I wanted to be for the right dollar amount, even w questionable tenant. Besides, my research suggested additional negotiations if property didn't appraise for several reasons. 

Skip to last week. Seller is freaked by news of new delay based on no-shows by appraiser. Listing agent calls my rep to demand additional $3k in EM "bc Seller needs to pay contractor." ?!!?? Why not arrange for mechanic's lien settled at closing? Response: Seller can't wait, won't acknowledge amendment re new closing, plans to relist property and "use EM to settle with contractor." Wtf? Two days ago, Seller's agent relisted property. Yesterday, Seller called title company to request EM and got feelings hurt. Sent me letter requesting release of EM. We are through the looking - glass. I am mightily annoyed, not least bc this will now cost Seller and everyone way more than Seller can possibly understand.

Anyway, I do not seek legal advice in this forum, but solicit comment. Is there some above-board way in Texas for Buyer to offer Seller a short-term loan to cover costs of poor planning, etc., to be settled from proceeds at closing? My realtor won't touch the topic. I would love to find a way to assist this jewel of a Seller from wreaking more havoc than she can comprehend. I'd much rather complete transaction than pay lawyers/sue for damages, etc.

Opinions?

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3,801
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4,466
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Cody L.
  • Rental Property Investor
  • San Diego, Ca
4,466
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3,801
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Cody L.
  • Rental Property Investor
  • San Diego, Ca
Replied

I try to stay away from making any negative comments, but honestly, I read your post twice and have no clue what you're talking about.

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