This isn’t the case for one Florida woman though. She’s in a huge legal battle over her home after she signed a real estate contract without fully understanding the terms.

The Lakeland woman, originally from Puerto Rico, heard a radio commercial about a company that buys houses and helps residents relocate. The woman had plans to move to Buffalo, New York. She had lived there almost two decades ago and she has friends there who can help take care of her. She has no one in Florida, so the move seemed like a good idea at the time.

The woman called the number from the ad and reached Problem Property Pals. A salesman went to her home and she signed a contract September 2, 2022. She sold her property for $100,000, with a closing date two months later.

The woman signed in a couple places on a document, but she didn’t know what she was getting into. The contract was written in English, which the woman struggles with reading and understanding.

The woman was under the impression that Problem Property Pals would make arrangements to move her possessions and get her to Buffalo. The company scheduled movers to come to the house on October 28, 2022, which was a few days before the closing date. The woman was told she needed to be out of her home that day.

However, the woman was still not paid for the home. Plus, she thought the company would be taking her to Buffalo.

An agent from Problem Property Pals bought the woman a one-way ticket to Buffalo for three days later, but the woman was not informed about what was going on. She did not know she was flying and nobody offered to take her to the airport. Plus, she had not arranged for a new place to live.

The woman never made it to Buffalo. She was hospitalized the following week due to high blood pressure and chest pain. A month later, the company sued her for breach of contract to force the sale of her home.

Attempts to contact Problem Property Pals were unsuccessful. The woman hired an attorney, who filed a countersuit claiming she was exploited due to her poor English skills. A trial is set for October 17, but the woman is not optimistic. Her lawyer told her that if she goes to court, she will probably lose the house.

Seek Legal Help

It is important that you understand any real estate contract. Anything that is unclear can cause your home to be in jeopardy.

Protect your home and legal rights with help from Fort Lauderdale real estate contracts lawyer Edward J. Jennings, P.A. We have years of experience with Florida real estate matters and can help make sure you are getting the deal you want. Schedule a consultation by filling out the online form or calling (954) 764-4330.

Source:

finance.yahoo.com/news/florida-woman-91-fights-her-134500044.html

The Consumer Federation of America (CFA) examined 43 buyer-broker contracts from 37 states. Most of which were lacking in consumer protections and were written to protect the agent, not the client. One of the worst contracts was the draft from the California Association of Realtors. This draft contract was “virtually unreadable,” as the average person would not be able to understand the terms they are agreeing to. The contract disguises the obligation of the buyer to pay their agent.

Multiple listing services are now requiring that buy-side agents obtain clients’ signatures on representation contracts. The contract from the California Association of Realtors contains problematic provisions related to dispute resolution, dual agency, and commissions. It is recommended that they dump the whole contract and start over. The one from eXp Realty, however, is exemplary and could serve as a model for other groups’ contracts. It is written with the buyer in mind.

Buyer agency contracts should be protecting homebuyers, but they usually don’t. They typically protect only agents and their brokers. The unfair practices include the following:

• Charging unreasonable fees that are not counted as commissions
  Limiting remedies for dissatisfied buyers
• Protecting agents and their brokers from uncoupled commissions

“Coupled commissions” refers to the common practice of buyer-agents collecting commissions from both their clients and from sellers. If commissions are uncoupled, consumers will be able to negotiate lower rates. Agents and their brokers will be able to continue colluding to maintain existing commission rate levels.

What Should You Do?

If your agent asks you to sign a buyer-broker agreement, don’t. Get a copy and take the time to read it over carefully. Ask for a 60-day contract, not one that obligates you to work with the agent for 90 days or longer. Do not allow for any penalty clauses for early termination.

Most contracts allow agents to withdraw from the agreement; buyers should have the same opportunity. Bargain hard on what you’ll pay your agent. Agents should be willing to take a lower commission if you are prequalified for financing, are paying cash, or found the property on your own. If the property is overly expensive, the agent should be willing to take a lower cut as well.

Seek Legal Help

Real estate can be a tricky business. There is a lot of money at stake and you need to make sure you are protected.

Real estate contracts can be unfair. You always need to read the fine print. Fort Lauderdale real estate contract lawyer Edward J. Jennings, P.A. can assist you so you make the right decisions. Call (954) 764-4330 or fill out the online form to schedule a consultation.

Source:

miamiherald.com/news/business/real-estate-news/article289860509.html

If a person doesn’t know what to expect when selling their home, they can experience a lot of headaches. For example, one thing that the average homeowner does not know about is the possibility of a lis pendens.

Lis pendens is Latin for “suit pending.” It is an official public notice of a pending lawsuit against a home or other real property. A lis pendens was created to protect the interests of parties involved in a legal dispute. However, in some cases, a lis pendens is filed maliciously in an effort to severely burden property owners attempting to sell their property.

A lis pendens puts potential buyers on notice of a dispute over the house’s title. However, a lis pendens is not considered a lien on a property, so it does not prevent a party from selling it. What a lis pendens does do, though, is cloud an owner’s title and constrain their right of alienability, which refers to the ability to transfer or sell a property right or piece of property from one party to another.

A lis pendens can also cause a sale to fall through. Knowing that a property has a legal action against it can cause a potential buyer to stay away and essentially look elsewhere. At the very least, it will discourage buyers from proceeding with purchase until the dispute is resolved. Because of this, lis pendens are most common in cases where a third party, such as a lender, seeks protection of their legal rights. Examples include foreclosure cases, divorces, and contract disputes.

However, it is also possible for a lis pendens to be filed on a property for no purpose other than to prevent the homeowner from selling the property. This may be done in cases where a person or entity desires to preserve the property as an avenue for collecting a future judgment.

Luckily, Florida law allows for a lis pendens to be expunged in one of three ways:

1. Automatically after one year when no extension is filed
2. By a court finding that the lis pendens is improper and should be resolved
3. When a lawsuit has been filed and subsequently resolved

To prevent a lis pendens from being expunged, it must be proven that the person filing it has ownership rights in the property. Ownership can be shown through a lien or other recorded instrument or lien. If there is no recorded instrument, then there must be a fair nexus, which means making “a minimal showing that there is at least some basis for the underlying claim.

Seek Legal Help

A lawsuit on your home can really put a damper on a sale. Make sure you understand how Florida law can help you if you are a homeowner.

Contact Fort Lauderdale real estate lawyer Edward J. Jennings, P.A. for help with your real estate issue. Whether you are buying or selling a home, make sure you are aware of the things that can cause delays and other problems. Call (954) 764-4330 or fill out the online form to schedule a consultation.

Source:

floridabar.org/the-florida-bar-journal/protecting-interests-or-hindering-real-estate-deals-impact-of-a-lis-pendens-when-selling-real-property-in-florida/

Some are disheartened by the current real estate situation, with 20% of those looking to buy a house thinking they will never save enough to do so. However, some are trying to rise above the situation. This has caused millennials and others looking for a place to call home to be a little creative with their home buying journey.

One solution is rent-to-own homes, which allow tenants to put monthly rent payments toward purchasing property. Celebrities such as Will Smith and Jay-Z have invested in this concept, so it’s likely not just a passing trend.

With rent-to-own, you start as a tenant and can eventually end up as a homeowner. You work toward buying the home you already live in. You’re building up part of your eventual down payment through your rent checks.

Sounds good? There are some things you should know before signing a contract.

Two Parts Involved

A rent-to-own arrangement usually has two parts: the rental lease agreement and the purchase option. The lease agreement portion stipulates that you pay a set amount of rent on a regular basis while you live in the home. It sets conditions as to what you can and cannot do to the property.

The purchase option gives you the right to buy the home before your lease runs out. The option spells out the price of the home if you decide to purchase it and how your rent payments apply toward the purchase.

However, this type of agreement is not automatic. You might need to pay an upfront fee to have it included, with a fee ranging from 1 to 5% of the total purchase price.

With a rent-to-own property, you originally move in as a renter. Depending on your agreement, though, there may be different rules involved, so be sure to familiarize yourself with the contract.

For example, some agreements may require the tenant to be in charge of managing repairs and maintenance, much like a homeowner. Also, understand the penalties of a late or missed payment because this may be grounds to terminate your contract.

Your best bet is to hire a lawyer to review the contract before signing. Make sure you understand how the whole rent-to-own process works so you don’t end up losing money.

Seek Legal Help

Rent-to-own may seem like a great idea, but make sure you understand the terms of the contract. Otherwise, you could be sued or penalized for not meeting your obligations. Review the pros and cons carefully.

Don’t move forward without contacting Fort Lauderdale real estate contracts lawyer Edward J. Jennings, P.A. We can assist you with your contract and prevent breaches. Fill out the online form or call (954) 764-4330 to schedule a consultation.

Source:

bankrate.com/real-estate/how-rent-to-own-works/#ideal-candidates

Real estate encompasses many aspects. You want to make sure you get a home that is in working order. Finding out it has issues a week after you move in can be a huge disappointment. Don’t let this happen to you.

If someone is buying real estate, they need to know what property they are buying and how much they are paying. They need to know what the purchase entails. This means that a home buyer needs to consider “everything else” when negotiating, preparing, and reviewing legal documents. But what exactly does that mean?

A real estate contract is much more nuanced than your everyday contract. There may be a lot of questions about what is being sold and what is included in the contract. There are just so many variables involved. For example, you may need to know what appliances and fixtures are being sold along with the house. You may be curious as to whether you can assume the current mortgage. Or maybe you are concerned about who is paying for the repairs that need to be made. All of these elements should be included in the contract.

You need to know what is included in the purchase price. For example, who is paying for the real estate broker commission for seller’s and buyer’s brokers? Who is paying for the closing costs? What about taxes and preparation fees? Are there property taxes to consider? It’s important to take all these things into consideration, as they can add tens of thousands of dollars to the purchase price.

“Everything else” may also include:

• How the contract can be modified
• The extent to which one party can bind the other to a contract
• Confidentiality or privacy requirements
• Whether the contract is exclusive or whether the parties may contract with others
• Insurance requirements
• How the parties will communicate formal notices
• How the parties will resolve disputes as well as the city or county where any dispute resolution will take place

It’s important for both parties to take a close look at  “everything else.” This forces both parties to improve their relationship and make the transaction smoother, which ultimately results in fewer disputes.

Seek Legal Help

If you are buying or selling a home, the contract has all the details. Don’t overlook anything. You may be focused on one aspect, but if you don’t focus on all the aspects, you’ll likely end up with an unfavorable outcome.

Fort Lauderdale real estate contracts lawyer Edward J. Jennings, P.A. can explain all the contract provisions. We’ll make sure you know what to expect. To schedule a consultation, fill out the online form or call (954) 764-4330.

Source:

jdsupra.com/legalnews/pay-attention-to-everything-else-in-5538581/

You may think you’re ready to leave the familiarity of your home for something newer and more exciting in a different location, but sometimes things change. We may suddenly get cold feet, especially when considering a move out of state or perhaps even in a different country.

But you’re in a contract now. Somebody wants to buy your home, which should be great news, but now you’re having second thoughts. What can you do? Do you have any legal rights? What will be the repercussions?

Can You Back Out of a Contract?

Once your home is under contract to be sold, getting out of it is not an easy or straightforward process. You may not even be able to get out of the contract unless you pay steep penalties.

Generally, the most common ways to get out of a real estate contract involve the buyer not performing. What exactly does this mean? It could refer to anything that the buyer needs to do on their end in order for the home to close, but has failed to do so. Examples include missing a deadline, not being able to secure a mortgage, or not paying a deposit.

If there is any reason that you may not want to sell your home, a seller’s best bet is to have contingencies drawn up in the contract ahead of time. This means that you can make the sale contingent on certain conditions. For example, backing out of a sale is very common for sellers during a hot housing market, when their home sells quickly and they have not yet secured a new home. Or maybe you signed a contract with one buyer but received a much higher offer from another buyer.

In any case, if you are a home seller and have no contingencies in place, you will have to pay penalties for canceling the contract on your end. The seller may be ordered to:

• Return the buyer’s earnest money deposit.
• Pay back any fees the buyer paid for inspections and appraisals.
• Reimburse the listing agent for the lost commission and marketing costs.
• Pay any other reasonable expenses the buyer incurred.

Keep in mind that until there is a contract in place, you have no obligation to any potential buyers. The contract to sell real property must be in writing; it cannot be oral.

Seek Legal Help

Buying or selling a house is an important decision. There may be hundreds of thousands (or even millions) of dollars at stake, so of course you want to make the right move. This can cause one party to have buyer’s (or seller’s) remorse.

Sometimes parties have to back out of a contract. Is it a breach of contract? Will there be penalties? Fort Lauderdale real estate contract lawyer Edward J. Jennings, P.A. can help you understand the downsides of backing out of a contract. Fill out the online form or call (954) 764-4330 to schedule a consultation.

Source:

bankrate.com/real-estate/ways-home-sellers-can-back-out-of-contract/

This can be problematic. If you’re in a position where you’re in a hurry to buy a home, you may overlook some steps, like a thorough inspection. No matter what situation you’re in, you should never take the homeowner’s word.

What you think is your dream home now may become a living hell in a matter of months. A house is likely the most expensive asset you will ever own, so it’s worth it to slow down and take your time. Otherwise, you’ll have regrets later. Here are some red flags to avoid.

Cracks in the Foundation

Your foundation is the most important part of the house. Without a strong foundation, your house could fall apart. Cracks in the foundation are no laughing matter. If you see them, ask questions or better yet, move on.

Water Stains

Water stains could indicate water damage in the home. You may have to remove walls and ceilings in order to really see the extent of the damage. If you see even the smallest water stain, walk away. The problem will only get worse with time.

Moldy Smell

Moldy smells in the home can be a sign of a more significant issue, such as water damage. Mold is often hidden, so you may not see it but it still exists. If you smell mold, be wary. Mold

Is often linked to respiratory problems and unsafe living conditions. Plus, once you know about mold issues in the home, you have to disclose them should you sell your home later. This can make it hard to see your home.

Standing Water

Standing water on your property could signal poor drainage. That’s not an issue you want to be dealing with after buying a house. Low spots can lead to flooding, which means water can get

Pest Problems

Of course, you want your home to be pest-free. If you notice damaged wood in the home or are being attacked by wasps as you visit the property, you need to have the homeowner get the damaged fixed before you proceed. Damage caused by termites or carpenter ants can be costly and time-consuming to repair.

Seek Legal Help

Buying a home is an exciting process, but make sure it’s the one you want. Don’t be in a hurry to make an offer or you could regret it.

Fort Lauderdale real estate contract lawyer Edward J. Jennings, P.A. can ensure you get the house you expect to get. We can help you understand the contract limitations and provisions so there are no misunderstandings. Schedule a consultation with our office today by filling out the online form or calling (954) 764-4330.

Source:

gobankingrates.com/investing/real-estate/dont-buy-a-house-if-it-has-any-of-these-10-problems/

This can also lead to real estate litigation. You might have to take the legal route when you experience disputes with property-related matters and you cannot come to an agreement with the other party. Real estate disputes can be costly and complex, but  a real estate litigation lawyer can guide you through the process. Here are some common causes of real estate litigation that you should know about.

Breach of Contract

Breach of contract occurs when there is a contract in place and one party fails to uphold their responsibilities as outlined in the agreement. For example, failure to make payments or deliver the property as promised could constitute a breach of contract. These breaches can result in financial losses. Having comprehensive contracts in place can help prevent misunderstanding, which often lead to these disputes.

Non-Disclosure

To avoid lying to you about a certain issue with a property, a real estate agent or home seller may just refuse to disclose it. When a seller doesn’t provide the buyer with important information about the property, this is misrepresentation and it can lead to costly issues down the line. Non-disclosure may include hiding known defects or property damage that could influence the buyer’s decision. When buyers discover these issues after the purchase, they will likely feel deceived and take legal action against the seller. You can avoid this by getting an inspection on the property before agreeing to purchase it. Both parties need to be transparent and honest.

Property Disputes

Property disputes are also common. Common issues include property boundaries, easements, or property rights. You can avoid these issues by being proactive and doing your homework before buying any property. A qualified real estate agent can help you conduct a comprehensive property survey and title search so you can verify the exact boundaries and ownership rights.

Zoning Issues

Zoning can be an issue for commercial properties, as it can affect land use. If you want to use the property for agriculture, for example, you need to ensure you can legally do so. You’ll need to adhere to zoning restrictions or else you could face legal complications as well as project delays. A lawyer can help you understand local zoning regulations so you are in compliance.

Seek Legal Help

Real estate costs a lot of money. It is an investment that can lead to a lot of headaches if rules are not followed and homebuyers and real estate companies act unethically.

There are a lot of nuances and complexities regarding this type of litigation. Fort Lauderdale real estate litigation lawyer Edward J. Jennings, P.A. has several decades of experience helping Florida clients with their real estate litigation needs. Call (954) 764-4330 or fill out the online form to schedule a consultation.

Source:

strangebuildings.com/common-causes-of-real-estate-litigation/

Real estate agents will often work in their best interests. They don’t really care about their clients; they just want to make a commission. This desire to make money could cause them to be dishonest about the home or not explain the terms of the contract. It’s not uncommon for an agent to put a homebuyer in a tricky position by making the contract confusing on purpose.

Homebuyers were jumping through hopes in order to cash in on the housing market frenzy that happened over the last couple years. Now the market has slowed down and buyers now have the upper hand. Real estate agents are having to work harder now to sell a home and make a commission, so they may engage in devious plans to get buyers to lock in on a purchase quickly. This has happened before and already led to regret.

Don’t regret your home purchase. Look for these red flags in your contract.

No Right to Cancel

Some agents are persistent — to the point where they may not even allow you to cancel your contract. You don’t want this type of agreement. You want to be able to walk away at any time. That’s why it’s essential to ensure any contract signed with an agent includes a right to cancel clause. With such a huge purchase like a house, you don’t want any strings attached.

Unsavory Fee Agreements

Agents may get a 6% commission when selling a home. However, some contracts may require you to pay the commission even if the sale doesn’t go through. Look for this before you sign.

Conflict of Interest

Sometimes a real estate agent may represent both the buyer and the seller. Beware of these double-dealing agents, as they can’t possibly act in good faith for both parties. While this may seem illegal, it’s not in real estate. And agents may push hard for you to agree to this because they get double the fee. Don’t agree to this because you won’t get a deal.

Affiliated Business Arrangements

As a buyer, you should work with the lender and title company you want. Don’t let your agent pressure you into using their affiliate — they just want to profit off the referral. This affiliated business arrangement is not ideal. The lender or title company is not looking out for your best interests. Look for an independent title company to ensure a safe transaction.

Seek Legal Help

When buying a house, you want to avoid mistakes that can cost you thousands of dollars.

Fort Lauderdale real estate contract lawyer Edward J. Jennings, P.A. can assess your contract and help you understand the terms. We’ll protect your legal rights every step of the way.  Schedule a consultation by calling (954) 764-4330 or filling out the online form.

Source:

businessinsider.com/real-estate-attorney-home-contract-tips-2023-2

However, the market has been cooling down in recent months. Interest rates are going up and with huge layoffs happening almost on a weekly basis, affordability is becoming an issue. Houses are just not commanding top dollar anymore. A buyer may think they want a house, but after much thought and consideration, they decide to change their mind.

So this begs the question: what happens when a buyer (or seller) changes their mind? Can they cancel a real estate contract?

Yes, a party can cancel a contract, but it typically comes with some consequences. These consequences will vary based on the wording of the contract.

Reasons for Canceling a Contract

One common reason for a contract cancellation is a failed home inspection. If the buyer finds out about something such as a structural deficiency, they may choose to cancel. Buyers may also cancel the contract if they experience a job loss or are unable to obtain financing. The results of the appraisal could also lead to a canceled contract if the home doesn’t appraise high enough.

What Happens to the Deposit?

As a buyer, you provide a deposit when you make an offer on a home. The deposit is credited toward your down payment or given back to you if the contract is canceled for legitimate reasons. However, your contract will usually include contingencies that must be satisfied by a specific date or else your deposit will be returned. Some terms include:

• A satisfactory home inspection
• A title survey
• An appraisal
• Financing
• Sale of the current home

Some home buyers may waive contingencies to make their offer more competitive. This often works out in the buyer’s favor but it can have repercussions for those who later decide to back out of their contract. If you want to get out of a real estate contract and don’t have any contingencies available, you will likely lose the deposit. You will also breach the contract, which the seller can sue you for.

If you are a seller and you have changed your mind about selling your house, you may have an out if your contract is written with an escape clause that allows you to accept a better offer. But if you don’t have this clause and you have signed a contract with a buyer, you could be used.

Seek Legal Help

Things happen in the real estate market. Ideally, both parties will go through with the contract, but sometimes life happens and the contract needs to be canceled for some reason.

When things get complicated, Fort Lauderdale real estate contract lawyer Edward J. Jennings,  P.A. is here to help. We’ll help you protect your legal rights. Schedule a consultation, call (954) 764-4330 or fill out the online form.

Source:

realtor.com/advice/buy/can-cancel-real-estate-contract/#:~:text=If%20you%20want%20out%20of,inspection%20and%20a%20title%20survey