All Forum Posts by: Cathy S.

That HD GE lockbox rusted out (ie buttons wouldn't work) after about a year at a semi coastal rental house I have. I changed to Schlage electronic keypad (great for nicer areas and vacation rental type houses as you can change code easily and instantly and give a code to your cleaners) but battery had to be replaced surprisingly early (about 1 year - supposed to last 3)

Your application dictates which lock is best. Apt building in crummy area totally different from SFH in nice area

Well, Cory, that is why I am so pissed. In TX (and every other state I've bought property in) when you make an offer, it is on a standard boilerplate contract (usually the TAR form) and once they seller accepts it, they sign and it is a binding contract. (Or in the case of the first house I bought, it is a contract I drew up using a stationary store form - yes, I'm dating myself)

In NY, there is no such thing. You make an offer on a "binder" which apparently is a worthless piece of paper accompanied by your good faith check and your signature. Then if the seller accepts, their lawyer (there is always a lawyer involved) draws up a contract and sends it to your lawyer who checks it out and adds their own bit. Then you sign it and then finally the seller signs it. Very involved and apparently seller never has much skin in the game until the contract is signed at the end of everything (kind of *** backwards).

Any monies you have spent on inspection or lawyers or anything is your expense even though deal did not progress. Backing out like this used to be rare (so say the folks involved) but has become more common since sellers are afraid of losing offers (market has been very soft) but now market is getting a little more lively. It is acting in bad faith on their part but apparently not illegal since the contract was only drawn up by their lawyer and sent to our lawyer but never signed by them.

This is essentially to vent and say, the game here in NY is not like it is in other places where when you make the offer and they accept it, it is actually a binding contract. Just because they are drawing up a contract and have accepted your offer, they can still hold out and delay things if they think they will get another offer or they can even shop your offer around! Newbie buyers/investors beware!

So this is my 5th house purchase in 4 states and 2nd in NY. Apparently although we have an accepted offer, that means nothing in NY. NY is not like other states where there is an actual contract submitted with the offer (that the buyers either sign or don't) so the sellers can back out whenever they want as long as it is before closing with no penalty.

We have earnest money at stake but if the sellers get an offer that is $1000 more with similar terms 3 weeks after they have agreed to your price, they can just back out and take the other offer with no penalty.

My realtor says do you want to make a higher offer? I say it's not the money (I might have gone higher, but they accepted the offer!) but why would I want to deal with people who do business in bad faith? If someone asks you to the prom and you say yes, honorable people do not say to you later "sorry, I got a better offer" - they either say no to you and take their chances or man up and say "sorry, I already have a date" to the second asker.

This was a cash, no contingencies, no inspection offer and it is not a "hot market" area but it was a good deal. What's to stop the listing realtor from shopping your price around? Leaves a bad taste in my mouth.

For those in other states who use a contract to make the offer, consider yourselves lucky. In NY, all contracts are done by lawyers after the initial "binder" agreement. I just wonder who gets to pay for the time our lawyer spent on this before the sellers backed out!

Is this really a common thing or are these "bad faith" sellers/listing realtor?