Re: CS Contracts killing deals- HELP! - Posted by JPiper
Posted by JPiper on November 30, 1998 at 02:37:16:
I have to agree with Joe Kaiser?s comments below.
It?s entirely possible that the Realtors don?t like your contract because it is not in the seller?s best interest. Further, the Realtor contract undoubtedly contains language required by the State concerning the Realtors agency disclosure, or perhaps language bringing the contract into alignment with Federal law concerning lead-based paint disclosure. Having said this, Realtors are legally required to submit your offer. So this is a battle you can win. But if you win the battle, you?ll lose the war.
So here?s your choice. Continue to struggle with a contract that is lopsided in favor of the buyer?..or join the consensus and use the Realtor contract, as I have for many years. You can modify the Realtor contract in ways that will fully protect you. But let?s not kid each other?..a subordination clause, or a substitution clause aren?t there to protect you. Chances are you may not even have done a deal where they might have been beneficial to you, and if you did, chances are you weren?t aware of some of the OTHER requirements that some states have for such clauses. But certainly, these types of clauses aren?t necessary in every offer, and simply junk up the offer with added verbiage that does little more than scare people.
You can modify the basic Realtor contract with some simple clauses. Things concerning inspections as an example, or perhaps concerning your liability under the contract. Perhaps something giving you the right to enter the property to inspect, show tenants, etc. These are simple modifications that are easily incorporated into most contracts, and that don?t scare the pants off of Realtors. Frankly, most Realtors have probably never really sat down to read and fully understand their contract. But they do know what it looks like?.and I give them exactly what they?re used to looking at, with a few simple modifications made through the use of an addendum.
Really this business is not about some type of slick contract. It?s about locating motivated sellers. The thing you need to be concerned about is locating deals that are truly good deals. And when you do this, you?ll be happy to have the deal without all the clauses that you are currently attempting to use.