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PaulParanoia

Is It Possible To Have Enforceable Preliminary Contracts

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Whilst having been a HPC Bear since 2004 I've decided that my family and I need a larger house now and am looking to move to a larger property. With asking prices on the rise, I'm wondering if it's possible to create a legally enforceable preliminary contract between buyer and seller upon offer? Such a contract would penalise either party if they pulled out of an agreed sale (with certain exclusions) by 5-10% of the agreed sale price.

Does anyone know if this would be a feasible approach to buying a property and if so would it be legally enforceable?

Paul.

Edited by PaulParanoia

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That would be a futures contract where the seller promises to deliver a physical house and the buyer promises to pay cash.

I'd LOVE to be able to pay cash!!

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I've always wished that a system was established whereby both the buyer and seller put a bond with the EA which would cover the costs of the other party were one side to pull out. It would mean both sides are serious and deter gazumping etc.

I suppose the tricky situation arises where the buyer pulls out as a result of something from a survey - who would be liable?

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I'd LOVE to be able to pay cash!!

In soap operas cash is king. Vast expenses are paid with suitcases of filthy lucre, and people in menial jobs can afford to drink in pubs day and night normally chirping 'keep the change' .

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  • 242 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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