PDA

View Full Version : Resale purchase payment question


cvo
03-12-2012, 07:27 PM
After you make an offer that is accepted on a resale, or just go with an asking price, through a resale broker I assume a deposit is taken. Does anyone know what the deposit would be? And secondly after that, when is total payment due? Is it put in escrow until passing ROFR or once it passes ROFR is balance then submitted from buyer directly to broker then to seller? Looking for a time frame from deposit to ending owed balance.

Thanks for any help.

Missyrose
03-12-2012, 10:00 PM
For my resale (Broker was Fidelity and title co. was First American), which just closed last week, I gave a credit card number for a $500 deposit when I sent back the signed contract. And then put another $2000 on my credit card and a cashier's check for the remaining balance when I sent back my closing documents.

GrnMtnMan
03-13-2012, 09:13 AM
There's no strict due-date for final payment, other than your money has to be there by the agreed upon closing date, or risk losing your deposit.

The reality is that many buyers get the money to the title company as soon as possible after getting closing docs from from title company (which are done with a few days or so of receiving ROFR from Disney). But the sellers process is a little more complicated, and often they do not get the docs in for a good while. So you can send the final payment in whenever you want....it's just that the transaction is not closed until both the sellers docs are in and your funds are there. And the buyers/broker could legally take the deposit if your money is not there in time.

Caren
03-13-2012, 09:26 AM
There's no strict due-date for final payment, other than your money has to be there by the agreed upon closing date, or risk losing your deposit.

The reality is that many buyers get the money to the title company as soon as possible after getting closing docs from from title company (which are done with a few days or so of receiving ROFR from Disney). But the sellers process is a little more complicated, and often they do not get the docs in for a good while. So you can send the final payment in whenever you want....it's just that the transaction is not closed until both the sellers docs are in and your funds are there. And the buyers/broker could legally take the deposit if your money is not there in time.

If what I read in here, sellers seem to be a frequent holdup to the process. You'd think the prospect of getting money would hurry them up a bit.

KS_Disney_Dad
03-13-2012, 10:12 AM
For my resale (Broker was Fidelity and title co. was First American), which just closed last week, I gave a credit card number for a $500 deposit when I sent back the signed contract. And then put another $2000 on my credit card and a cashier's check for the remaining balance when I sent back my closing documents.

I'd say there is no rhyme or reason. We are currently in the process with Fidelity and they wanted $1000 CC deposit on $1350 sale. Funny thing is that when I asked about it a week later they said the card won't be processed until it passes ROFR. :confused3

GrnMtnMan
03-13-2012, 10:29 AM
If what I read in here, sellers seem to be a frequent holdup to the process. You'd think the prospect of getting money would hurry them up a bit.
That's what I thought too.

I have a suspicion that the title companies aren't doing a good job of explaining exactly how the documents have to be prepared to be executable in Orange County, FL. There have been quite a few stories on these boards of how sellers got the docs in, but they weren't prepared correctly. Now it could be sellers aren't paying attention to the instructions, but if it happens often enough, the title companies need to do a better job instructing the sellers.

That being said, they don't have much incentive to do so. Most of the time, contracts have an extension clause that the title company can invoke if there are administrative problems.

zavandor
03-13-2012, 10:51 AM
I'd say there is no rhyme or reason. We are currently in the process with Fidelity and they wanted $1000 CC deposit on $1350 sale. Funny thing is that when I asked about it a week later they said the card won't be processed until it passes ROFR. :confused3

I had the same with Fidelity.
I sent my credit card number to the title company immediately when signing papers, then I passed ROFR last week and only Friday the title company took the money from the credit card.
Now I'm waiting the closing docs, so it seems that they take the money as soon as the contract passes ROFR but before they receive the estoppel letter (needed to write the documents).

backyardponder
03-13-2012, 11:10 AM
If what I read in here, sellers seem to be a frequent holdup to the process. You'd think the prospect of getting money would hurry them up a bit.

My situation, from a few years ago, was the sellers were getting a divorce. Their relationship was such that they wouldn't get together to go sign and notarize the sales documents. I told my agent that if they didn't meet the contracted closing date, I'd cancel the contract. They got their paperwork together.

So, the prospect of getting money may not be enough for sellers to get their act together. :confused3

Crazy4Disney06
03-13-2012, 04:46 PM
I purchased through Fidelity. We paid $500 deposit on our contract via check. Once we got the closing documents (about 5 to 6 weeks later) we paid the rest with a cashiers check. We had the option of using a credit card for the deposit and part of the purchase, but you don't "have" to. Our contract went through closing very fast without using a credit card.