Extend Exercise Of Option - Safe?

[marvin 0]

Hi all,

I just place an option fee for the purchase of a unit, but have not yet exercise it.

The 14 days is up soon. But the valuation report is not out yet.

Agent told me its ok, they will wait etc even if the 14 days deadline are not met.

So should I just exercise first or continue to wait till valuation is out ?

Safe to wait as per advised by the agents?

Just being paranoid....

[yoongf 11]

OTP is issued by the seller.

Only Seller can authorise extension.

If u do not exercise by end of OTP period.. ur $ bye bye.

Agent tell u ok is not valid, must get agreement in writing by seller.

This is not paranoid. this is chop carrot head.

[charles.lee 0]

The agent you are refering to is your side or selller's side?

you have 14 days to exercise it.

it will expire on the 14th day 4pm.

at that point of time , the seller isn't legally oblidged to sell to you.

Verbal agreement is by and large useless if there is a conflict to resolve.

Should have waited for the valuation report to be out before you make the purchase.. . if the agreed selling price is below valuation , then you would be happy , if the agreed selling price is above valuation , then i don't think you will be pleased and have to fork out addition $$.

[dean 5]

The agent you are refering to is your side or selller's side?

you have 14 days to exercise it.

it will expire on the 14th day 4pm.

at that point of time , the seller isn't legally oblidged to sell to you.

Verbal agreement is by and large useless if there is a conflict to resolve.

Should have waited for the valuation report to be out before you make the purchase.. . if the agreed selling price is below valuation , then you would be happy , if the agreed selling price is above valuation , then i don't think you will be pleased and have to fork out addition $$.

what do you mean If u do not exercise by end of OTP period..

Option Expiry Date and Time : 10/05/2009 - What does this mean?

i waiting for 1st appointment next month.

[bluesky76 0]

should ask them draft another OTP if they want to extend and no more additional option $$ should be paid.

[Leb 0]

hi, need some urgent advise pls....

our parents (seller) had received the option fee from buyer and were asked to fill up the OTP which we were not given a carbon copy. Subsequently, we found out from our parents that the form is not duely filled up with the date. The option date and the expiry date were left blank and returned to the buyer agent. We checked with our agent and he says he thought we are not eager to move out and the buyer need some more time for their documentation thus he decided to leave the option date open without advising our parents that this will affect the option expiry date. In this case, can we consider this OTP still valid? How about the option fee that we had already banked in? appreciate some advise. Thks

[eurostar 0]

actually u can go down HDB to get a verbal valuation

normally out after 1 wk

the black and white normally take ages.....

[Potluck 0]

Hi Leb, i smell fish. Both parties seller and buyer has to be present during the signing of OTP. Correct me if I'm wrong, any old bird out there. Most importantly both parties have to sign, this type of legal doc, it best to put everything in black and white. In this case, I think the buyer can back out anytime..the most they forfeit their deposit. But it's not fair for your parents too cos if they not sincere with their offer, your parents could missed out on any genunine buyer.

My situation is is worst of then you. The seller out of town, the part time agent conveyed our offer he accepted in overseas, we want to secure the hse quickly put deposit..seller's agent said no problem no problem sign and witnessed. My agent kept asking for proof of ownership which he can't produce. Tot ok lah based on trust and wait for seller to come back and complete the OTP. We tot we finaly got our house, seller come back from overseas cannot sign OTP cos needed spouse signatory which wasn't highlighted to us. In the end, kenna ransom, seller said wife not agreed to selling price, must top up money. Wat to do, our signatory in the OTP..seller even tho agreed to initial selling price but he didn't sign so not considered..no choice we have to top up cash and even after we top up, we are still at the seller mercy of accepting our offer, cos ugly divorce case, both spouse dun see eye to eye and we became involved in their family dispute. Like you we dun have the OTP, all with the seller's agent, so they can just write something else which is not to your advantage too. In our case, they reissue OTP form where got proof?

I dun understand market situation now, either times are bad or the standard of prop agent has gone down. I met alot of unscrupulous agents, got integrity problem.

[Leb 0]

thks for the advise. i think most disputes arises from agent's miscommunications or worse still, manipulations in a way they want it to be.

right now, it seems like an indefinte waiting for buyer to exercise the option

how to determine when exercise of option has taken place as we don't even have a copy of the OTP? based on the acceptance date on the OTP or when the seller cash in the option fee and exercise option fee?

[Potluck 0]

thks for the advise. i think most disputes arises from agent's miscommunications or worse still, manipulations in a way they want it to be.

right now, it seems like an indefinte waiting for buyer to exercise the option

how to determine when exercise of option has taken place as we don't even have a copy of the OTP? based on the acceptance date on the OTP or when the seller cash in the option fee and exercise option fee?

Ask the agent y they not exercising the option? Could it be they need to sell of their place in order to buy your parents place? All these must be communicated to avoid any unpleasant experience right. Are your parents hurry to sell of their place? Like I said, they can change their mind and it's not fair for your parents to wait for them.

[Leb 0]

my agent says the buyer need somemore time to settle their loan so he DECIDED to leave the option date and expiry blank and it is a common practise. is this a common practise?? i doubt so...

our parents are not in hurry to sell and are only willing to sell if the price is right... now we are not sure whether to start looking for a new hse and we might even missed other genuine buyers... headache

[therat 18]

my agent says the buyer need somemore time to settle their loan so he DECIDED to leave the option date and expiry blank and it is a common practise. is this a common practise?? i doubt so...

our parents are not in hurry to sell and are only willing to sell if the price is right... now we are not sure whether to start looking for a new hse and we might even missed other genuine buyers... headache

It is not a common practice

think this way

OTP w/o a date.

Buyer gain time to shop around. And if they find a cheaper house and don't want to exercise ur OTP. U had nothing to say

While Seller got hold on it. Don't know when to sell, when to move. Seller got control by the buyer.

Ask what u had mention.. headache.

Tell ur agent to put a date. INSIST.

But take note, understand the agent will still collect commission from seller b'coz they did find you a buyer.

I'm not agent, better ask another agent for 2nd opinion.

[eurostar 0]

TS, no date in OTP ?

but did you put a deposit?

[raincole 0]

Why make things so difficult.

If wanted to OTP (option to purchase), then put down deposit & date. If after 14 days, buyers didn't exercise, then their deposit forefited. If sincere, they will exercise. If not, then seller got way out to make another deal. If buyer after 14 days still interested, then talk lor.

If buyer wanted OTP but no date due to their financial status not finalised, then no point in holding the flat for them cos there is a chance they may not be able to buy.

Seller aim is to sell right.

[Potluck 0]

Hi Leb..any update with the OTP. Based on alot of advice given here..you know it's not to your parents advantage.