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Barry Plant Real Estate - "Gazumping" Clause ???

Discussion in 'Real Estate' started by extradry, 11th May, 2008.

  1. extradry

    extradry Member

    Joined:
    25th Apr, 2008
    Posts:
    9
    Location:
    Adelaide, SA
    Has anyone read the article yet on Barry Plant's gazumping clause in the blog section? What are your thoughts on this? I have always thought that this is illegal. This is going to make life miserable for both vendor and buyer. Only winner in all this is surely the agent!! :mad:

    Barry Plant Real Estate - Gazumping Clause
     
  2. Jacque

    Jacque Team InvestEd

    Joined:
    16th Jun, 2005
    Posts:
    1,885
    Location:
    Sydney
    Perhaps contracts work differently in SA but here in NSW, once the vendor and purchaser sign and exchange contracts the property is off the market and no one else can inspect or make an offer on it, even during the five day cooling off period following exchange (if not waived). The only party who can rescind during this period is the purchaser.
     
  3. nitro-nige

    nitro-nige Well-Known Member

    Joined:
    8th Mar, 2007
    Posts:
    49
    Location:
    Reservoir, Melb
    There was a case in Melbourne last year where a house was sold at auction. After the fall of the hammer someone made a higher offer and the agent accepted it. The original buyer refused to go higher on principal and complained to the REIV (and the media).
    Apparently the sale wasn't deemed complete until the contract of sale had been signed by both parties.
    I believe the REIV has revised the rules and the sale is deemed complete at the fall of the hammer. Some estate agents sooked up about but who cares what those scum bags think, ultimately I think people are better protected under the new rules.