What happens when a buyer breaches the contract? It is worth noting it is not always clear whether or not a party has breached. For this article, we will assume the buyer did breach and the seller stood ready to perform. The current SC Real Estate Commission contract in use in Horry County contains …
A seller breach can take many forms (e.g. failure to allow inspections, failure to make required repairs, failure to deliver vacant premises, failure to deliver marketable title, etc.). The question above concerns a seller’s absolute refusal to close – this form of breach brings the transaction to a complete stop and best illustrates the options …
Disclaimer: The answers below are not legal advice nor are they a substitute for legal advice. They are presented strictly as a courtesy and are based on the general real estate contract currently in use rather than your particular contract. If you do not understand the contract, you should consult with a licensed South Carolina …
FAQ’s – (Buyers – Due Diligence & Contract Termination) Read More »
Though the “new” contract presents the due diligence procedure without alternatives, the parties can alter or eliminate the due diligence procedure through an addendum. As-Is Offers: To begin, the buyer can make an as-is offer. If this is the Buyer’s wish, simply strike through paragraph 8 of the contract (have it initialed) and prepare an …
The “new” contract going into common use on June 13th is actually the same contract Horry County agents have been using, except the “repair procedure” and “as-is” options in paragraph 8 are gone. The “newness” is that “due diligence” is brought into the mainstream. Therefore, it will be a good idea to closely examine the …
Click here to Print Article Solar Panel Purchase/Lease Plans and How They’re Handled at Closing The existence of solar panels will probably not be found in a title search because solar panel agreements are not recorded at the courthouse. Solar panels very definitely should be addressed in the transaction because the after-effects of not …
What is a Tenant Estoppel? A “tenant estoppel” is a document signed by an existing tenant in which the tenant acknowledges certain things about the status of the lease and the landlord-tenant relationship. It is significant because a purchaser of the property will step into the seller’s shoes and will inherit the seller’s landlord …
Are Electronic Signatures Binding? First, let me explain the controlling law. A version the Uniform Electronic Transactions Act was adopted in South Carolina several years ago and appears as SC Code §26-6-10 et seq. This Act governs electronic signatures, which are defined in the Act as “an electronic sound, symbol or process attached to …
What Are FHA/VA Allowable v. Non-Allowable Costs? “Allowable” and “non-allowable” are terms unique to FHA and VA loans (also USDA, but we don’t see many of those). An “allowable” cost in a VA loan is a cost the veteran is allowed to pay, whereas a “non-allowable cost” cannot be paid by the veteran, but …
What is a Tax Sale Deed? A “tax deed” is issued by the Delinquent Tax Office – it is not a warranty deed and title is not deemed to be either “marketable” or “insurable.” You own the property subject to any imperfectionsin the tax sale process. The tax sale process is rigidly specific and, …
Click here to Print Article The Dodd-Frank Act (“Act”) limits the situations in which seller-financing and/or private third-party financing may make take place. Under the Act, any person who offers and/or negotiates the terms of a residential mortgage loan is deemed to be a “mortgage loan originator” and must be licensed. In that most sellers …
Seller Financing and Private Third-Party Financing Under the Dodd-Frank Act Read More »
A “vacation rental” refers to a rental period of less than 90 days in duration. Most commonly, “vacation rental” situations are weekly rentals of a resort condominium. The sale of residential property rented for periods of less than 90 days where that/those rental(s) is/are managed by a third-party management company or are self-managed falls under …
The Vacation Rental Act (SC Code §27-50-210 et seq.) Read More »
NOTE: Even though “short-term” can refer to any rental period of 90 days or less, this memo deals only with true vacation rentals in which rentals are weekly or monthly. If the rental periods are greater than this, refer to the memo on “Long-Term Leases (Managed)” Things to Know: The Vacation Rental Act applies. [The Vacation …
NOTE: Even though “short-term” can refer to any rental period of 90 days or less, this memo deals only with true vacation rentals in which rentals are weekly or monthly. If the rental periods are greater than this, refer to the memo on “Long-Term Leases (Managed)” Things to Know: The Vacation Rental Act applies [See …
Things to Know: The Management Agreement will continue to control after closing. If the buyer wishes to have another company manage the property, the buyer will need to know whether the existing Management Agreement can be terminated. Some Management Agreements can be terminated upon written notice, but others cannot be terminated so long as the …
Things to Know: The buyer steps into the seller’s shoes as landlord. This means the buyer will be: a) subject to a claim by the tenant that the seller has breached (i.e. failed to repair, etc.); and b) is responsible for the Security Deposit at the end of the lease term.** **IMPORTANT: SC Code §27-40-450 …
Where there is more than one purchaser, those purchasers must decide how they will hold title. Some may wish to hold title in the name of an LLC in which they are members, but where they wish to hold title in their individual names, title is “joint” and the purchasers must select from among the …
Some people will lie to get what they want and some of those people want you to buy their home. Over many years of legal practice, I have consulted with many clients who believed they were victims of fraud. Each situation turns on its own facts, but the applicable law and basic approach is very …
They Lied!! | Evaluating Fraud In A Real Estate Transaction Read More »
This office has been asked about the following rumor: As with most rumors, it is followed with, “I heard about a guy …(insert tragic ending)” “A real estate agent cannot legally give a gift to a client.” A variation of the rumor is an agent cannot give a gift valued in excess of $25. And …
As in most places, Horry County residents enjoy a reduced property tax on their primary residence. That’s as it should be. What’s not as it should be is the fraudulent claim of primary residence in order to pay less taxes than the law requires. Specifically, Horry County authorities have caught on to the fact that …
Crackdown On Fraudulent Primary Residence Exemptions Read More »
If you are selling a vacation/rental home, there is a chance you will need to obtain a Certificate of Tax Compliance from the South Carolina Department of Revenue prior to closing. To begin, I am obligated to state I am not a tax attorney nor a CPA and nothing discussed here is intended as tax …
Selling Your Vacation Home? Here’s Something To Consider. Read More »
On occasion, we are asked to close a transaction in which the seller purchased the real property at a tax sale and, therefore, holds only a “tax deed.” A tax deed is issued by the Horry County Delinquent Tax Office roughly 1-year after the tax sale (unless the property is redeemed) to the high bidder …
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