1,052,211
I don't like that FRIR buyer having any control over your ability to accept a RWA buyer!
Not with that contingency and the home is not UC.
I don't like those to begin with! Especially now, in this financial climate. Too much can go sideways.
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John Juarez
Fremont, CA
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Jeff Pearl
Lovettsville, VA
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Fred Griffin Florida R...
Tallahassee, FL
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Bob "RealMan" Timm
Minot, ND
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Lyn Sims
Schaumburg, IL
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Ron and Alexandra Seigel
Carpinteria, CA
3,587,960
In the current market? No that is putting seller in a vulnerable spot, so much can go sideways right now. In a hot market? Why on earth would the buyer make the sale contingent on a home selling. At the very least get it under contract, submit the qualifications of the buyer of said home etc. And a non-refundable $1000. No. Way to low. Why would a seller put themselves out there for a measly $1000. As for Z - don't know.
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John Juarez
Fremont, CA
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Diana Zaccaro Broker A...
Cocoa Beach, FL
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Jeff Pearl
Lovettsville, VA
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Fred Griffin Florida R...
Tallahassee, FL
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Bob "RealMan" Timm
Minot, ND
1,844,301
It could work out but in my MLS/area we just do it as house to close but actually it's a house to sell which makes it a loser offer. Will say the agent thought it out for your seller at least with the 1K 'move it or I'll lose' money. I think that they thought this out pretty well. I might learn something from it.
But .... our MLS has no provision for this. Our contingent buyer would have first dibbs anyway in our area to proceed. In fact, our area would ask her to proceed in cash & dump that contingency. That never happens in the real world. Some agents won't show it if they know they are 2nd in line.
Interesting at least Fred.
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John Juarez
Fremont, CA
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Diana Zaccaro Broker A...
Cocoa Beach, FL
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Fred Griffin Florida R...
Tallahassee, FL
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Candice A. Donofrio
Fort Mohave, AZ
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Bob "RealMan" Timm
Minot, ND
2,061,803
Under normal circumstances I would say that changing status to First Right might cause the property to 'not be shown'. But in real estate during the time of Corona, the likelihood is that it may not be shown anyway.
So your exposure is limited, and you are able to accept another offer, should one appear. A full-price offer, during these strange times, is nothing to be sneezed-at. I think I would take my chances and accept
Now, that being said... I would like a lot of information about the buyer's listing... (ie: is their listing price reasonable, is it likely to be sold, what is their plan if they have no offer in 2 weeks, 4 weeks, 6-8 weeks... do they have a schedule for price reductions?... and I'd want to be regularly updated).
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John Juarez
Fremont, CA
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Diana Zaccaro Broker A...
Cocoa Beach, FL
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Bob "RealMan" Timm
Minot, ND
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Fred Griffin Florida R...
Tallahassee, FL
1,543,727
Sounds good to me under COVID-19 circumstances. If it were not a COVID-19Market, I'd agree more wit Candice A. Donofrio and her position. But, if my seller was in favor of it, I don't feel 48 hours would scare off buyer #2 and is worth the "bird in the hand". You are lucky your MLS allows that, ours doesn't. We'd have to go Pending or risk staying active with "subject to cancellation of escrow" in the remarks. It's a grey area but leaning on MLS violation for us in SD,CA.
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John Juarez
Fremont, CA
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Fred Griffin Florida R...
Tallahassee, FL
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Bob "RealMan" Timm
Minot, ND
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Thomas J. Nelson, REAL...
La Jolla, CA
3,854,909
We call that a kick-out clause. Specific time 24 hours, a week, etc when the buyer is notified if an offer without a contingency is received. That buyer has to prove they can move forward with the contract or gets "kicked-out".
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Diana Zaccaro Broker A...
Cocoa Beach, FL
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John Juarez
Fremont, CA
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Fred Griffin Florida R...
Tallahassee, FL
2,390,620
I did that often here Fred Griffin Tallahassee Real Estate and it almost always worked well.
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John Juarez
Fremont, CA
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Kathleen Daniels, Prob...
San Jose, CA
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Fred Griffin Florida R...
Tallahassee, FL
644,025
Current environment with the circumstances mentioned, depending on the location/condition/price I would not be opposed to it, with the condition I would be able to market it also, the confidence/opinion of the other agent not a factor.
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John Juarez
Fremont, CA
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Fred Griffin Florida R...
Tallahassee, FL
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Bob "RealMan" Timm
Minot, ND
5,772,575
Fred,
I agree with Candice A. Donofrio
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Fred Griffin Florida R...
Tallahassee, FL
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Bob "RealMan" Timm
Minot, ND
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Candice A. Donofrio
Fort Mohave, AZ
5,216,398
It depends on your seller. Are they gamblers? Because, yes or no, they are rolling the dice.
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Diana Zaccaro Broker A...
Cocoa Beach, FL
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Fred Griffin Florida R...
Tallahassee, FL
7,836,134
I would not grant a first right of refusal.
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Diana Zaccaro Broker A...
Cocoa Beach, FL
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Fred Griffin Florida R...
Tallahassee, FL
911,338
Sellers shouldn't accept such offers. It is not in sellers best interest. After "buyer" actually sells, if sellers house is still available, and they are still interested in it, I bet the buyers offer will look much different.
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Diana Zaccaro Broker A...
Cocoa Beach, FL
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Fred Griffin Florida R...
Tallahassee, FL
763,883
Crap, that is what I think of it. Crap
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Bob "RealMan" Timm
Minot, ND
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Fred Griffin Florida R...
Tallahassee, FL
2,781,173
It has the flavor of an option to purchase. If you go that way, it is pulled from the market during option period unless specified otherwise. Make it an option and add more money and time to it and if exercised option money can be credited (or not) toward purchase. Option money is not contingent on anything just a promise to hold for a specified time. If you do go along as presented, either you get a qualified buyer of which the first right to purchase triggers and if not that buyer prevails. The thing is that that buyer should not have to "wait". That means you are not really a seller or so can it be argued. Keep this simple. Stay tight with your seller who holds the key to all as to when and who to sell.
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Fred Griffin Florida R...
Tallahassee, FL
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Bob "RealMan" Timm
Minot, ND
1,311,397
A contingent sale is doable under the right circumstances. It is up to you and your seller to weigh the options and for your seller to make the best decision possible after you have give the best advice that you can provide.
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Fred Griffin Florida R...
Tallahassee, FL
613,494
Is it that he can't qualify for 2 mortgages or does not want to?
See if there is another way for him to quality.
I would be inclined not to take the deal. I think you will kill any showings.
$1000 dollars is not enough for your seller to loose to a real buyer if they came along and decided not to look at it.
Eve
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Margaret Rome Baltimor...
Pikesville, MD
900,128
It seems that the 2-day first right of refusal negates the contingency clause. That clause should be taken out of the offer; as a listing agent, I never accepted those. With both provisions in, the document is contradictory and confusing. The first right of refusal seems fair and is up to the seller to accept, but must be disclosed to potential new bidders, as your MLS suggests. Get rid of the contingency clause or agents may not bring their buyers.
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Fred Griffin Florida R...
Tallahassee, FL
3,416,038
It is great when their are few buyers and lots for sale. Great for a hard to sell property. Not so great if you get 5 hours in 3 days.
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Fred Griffin Florida R...
Tallahassee, FL
1,090,637
Fred, I am confused. The only times I know of FROR being used is in some condos where the docs outline the process and occasionally in a lease where the tenant may want first option to buy if the landlord later decides to sell.
What you describe sounds like a Kickout Clause vs. a First Right of Refusal and we see 72 hour kickouts frequently here.
Am I missing something?
To answer your question, with everything so unsettled I would suggest that the buyer take a bridge loan and buy the house now then deal with selling their home. Lots of unanswered questions about this scenario but at a minimum would need much more than $1,000 deposit.
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Fred Griffin Florida R...
Tallahassee, FL