Village Living Magazine - MIDTOWN - February 2019

LIVING
Dear Realtor,
HELP!!!! I really do not understand
what the big deal is - I only
signed a piece of paper, and I
changed my mind. My agent
took me out to view multiple
properties. I fell in love, and we
drew up the contracts (a firm
and unconditional offer). I really
thought I wanted it and it felt
right. But...later that day, I got
cold feet and changed my mind.
Not a big deal. I did not drop
off the bank draft or anything. I
only signed the paperwork. Now
everyone is really very mad and
saying that I am “contractually
obligated.” I thought there
needed to be ‘consideration’ for
the whole thing to be binding.
And, as I said, I did not drop
off the cheque. My agent said
she could try to get a ‘mutual
release.’ What the heck is that??
Is there a problem here??? What is
the big deal?! It’s only paper!!!!
Signed Indecisive or
In Hot Water??
Dear Indecisive or In Hot Water,
At this point, you might be both. The big deal is
that, yes, it’s only paper. But…what you signed
on that paper (actually, a contract) is legally
binding. Then, you submitted that contract to a
seller to review. Did you understand that what
you were signing and submitting were firm and
binding contracts? Were you aware that the tiny
printed seal on the signing page is considered
‘consideration’? By signing a contact under seal,
without conditions, you are submitting a firm and
binding offer for someone else to accept /reject/
counter. At that point, it is no longer within your
control to change your mind. They may take pity
on you and offer a mutual release, if they do not
want to move forward with someone who is no
longer wanting to complete the transaction. They
might decide to cut their losses early without
time. Or, they could hold you legally responsible to
the terms of the contract you submitted to them,
and additionally, possibly sue you for losses or
damages caused by your actions. It is much more
serious than you think. Sometimes, when buying
or leasing a property, the paperwork can seem like
a simple formality. In fact, they are very serious
terms and conditions that hold everyone involved
as strictly responsible to fulfil their obligations.
As these transactions become more common, it
is understandably easy to lose connection to the
seriousness of these contracts and the obligations
and promises held within. It is always your right
to slow down and take your time. Carefully
consider what you are signing. Make sure you
clearly understand all the terms and conditions
that you are committing to before you submit
your offer to be reviewed. Once it is out of your
hands and in the world, you are bound by those
commitments.
JENNIFER GREENBERG is a broker with Royal LePage Real Estate Sales Services, a mom and an active supporter of the
St. Clair West Community.
8 VILLAGE LIVING MIDTOWN