How To Cancel 1% Otp After 2nd Viewing

[Jason1977 0]

Hi,

I just pay the 1% amount cheque for a 10 years old condo, but now I want to cancel the deal and don't want to exercise OTP for the 4% along with bank and lawyer.

The owner did not bank-in the check yet to his account of 1% of agreed price.

How I can save my 1%.

Regards,

Jason

[therat 18]

1% deposit is non-refundable

[yoongf 11]

Actually it's not even a deposit.

The 1% buys the validty period of the OTP. Even if chq not cleared, seller can issue statutory demand when bank in the chq and it bounce.

The 1% is consider gone.

[leechaorui 2]

Actually it's not even a deposit.

The 1% buys the validty period of the OTP. Even if chq not cleared, seller can issue statutory demand when bank in the chq and it bounce.

The 1% is consider gone.

Agree with yoongf. If you want your 1% back, go quickly to discuss with the seller. Maybe he will just say okay. Cheers.

[Aiky 0]

Have you talked to the seller?

Maybe remote chance that he also changed his mind about selling.

Maybe in the interim he received a better offer and does not mind rescinding your OTP.

Maybe can grovel and negotiate some settlement on whatever personal reasons.

Just my thoughts on how to get out of a hole dug in haste. As others have pointed out, it would appear you have no other legal recourse.

[Jason1977 0]

Have you talked to the seller?

Maybe remote chance that he also changed his mind about selling.

Maybe in the interim he received a better offer and does not mind rescinding your OTP.

Maybe can grovel and negotiate some settlement on whatever personal reasons.

Just my thoughts on how to get out of a hole dug in haste. As others have pointed out, it would appear you have no other legal recourse.

I think he did not got a better offer yet, so chasing for 1%, what legal action he can take ?

[therat 18]

I think he did not got a better offer yet, so chasing for 1%, what legal action he can take ?

it is not regarding he did not got a better offer.

1% is his right to take

[yapyap 0]

Hi,

I just pay the 1% amount cheque for a 10 years old condo, but now I want to cancel the deal and don't want to exercise OTP for the 4% along with bank and lawyer.

The owner did not bank-in the check yet to his account of 1% of agreed price.

How I can save my 1%.

Regards,

Jason

you paid for the option to exercise in 90days. if you dont exercise, your option fee is not refundable.

To exercise or not, it is your decision.

For example, if you found another place you like after paying for this option. You can choose not to exercise the option and buy the other property.

But the seller is already bounded by the OTP to hold the property for 90days for you so you are paying his opportunity costs during this period.

To be blunt, there is no free lunch in this world, bro.

[kardtoon 0]

you paid for the option to exercise in 90days. if you dont exercise, your option fee is not refundable.

To exercise or not, it is your decision.

For example, if you found another place you like after paying for this option. You can choose not to exercise the option and buy the other property.

But the seller is already bounded by the OTP to hold the property for 90days for you so you are paying his opportunity costs during this period.

To be blunt, there is no free lunch in this world, bro.

90 days option? The OP didn't say it was that long. If it is, that's amazing and worth 1% as most option must exercise in 2 weeks.

[leechaorui 2]

90 days option? The OP didn't say it was that long. If it is, that's amazing and worth 1% as most option must exercise in 2 weeks.

You are right, I think the standard market practice is for the option to be exercised withiin 2 weeks. However, the buyer can negotiate with the owner to extend the time to exercise the option. I extended the time to exercise the option because I was away overseas when I bought my house. Even then, extension by 90 days is quite unusual as the whole transaction can be completed in about 90 days.

Cheers!

[Plastic3 0]

Standard time period to exercise option is 14days.

Your 1% is in exchange for the Seller to grant you the OTP, it is non-refundable, please do not put down 1% option fee if unsure of purchase.