Writing Clauses for Real Estate Offers (3)
On the Clause Writing Course, here are the next five (11 to 15) questions:
William Weston, your Buyer client is from Toronto. He wants to purchase a rural property. He is not familiar with septic systems whatsoever. The Listing Agent is not particularly helpful and has simply indicated that there have not been any issues.
Is this sufficient? Do you want to include a clause which might be of some further benefit to your client? If so, what would that be?
William Weston has selected a particular rural property. An elderly gentleman has lived on the property alone for years. William would be moving there with his wife and 5 children.
The Listing Agent can only tell you that the supply of water from the well has been adequate to meet the needs of the Seller.
What issues do you see? Is there a clause which you would like to include in an Offer? How would you draft such a clause, if one is to be included?
You are acting for the Buyer, John Butler and you see a note on the MLS that the Owner has appealed their taxes for 2017, 2018 and 2019. The matter is still unresolved and the matter is apparently going to Court.
How would you handle this? What are the risks? Is the existing Agreement sufficient? What clause would you add, if you needed one?
Your client, Albert Leonard is about to purchase a property. You find a very suitable property but it has a Tenant in the basement. Albert has sufficient funds to purchase the property without the income from the Tenant. However, if he “likes” the Tenant, then he is prepared to let him stay on. The Tenant is month to month at this point.
What clause might you add for Albert’s protection? Please draft the appropriate clause for inclusion?
Retaining Wall Support
Jonathan Lowry is your client and you have been looking for properties in this neighbourhood for about six months. Finally, you have a very suitable property, but there is a retaining wall which looks like it’s fallen over at the end of the lot. You are not sure where the property line is located and apparently, there’s no survey available which would show the location of the retaining wall. The property is an estate sale, so there doesn’t seem to be anyone who can provide any background information. It is clear that the retaining wall is no longer holding back the earth from the higher elevation lot at the rear.
Do you see any possible issues here? If so, what type of clause would you draft for inclusion in an Offer?
Let me know if you have any suggestions for other types of issues which may arise in a real estate transaction?
Brian Madigan LL.B., Broker