Topic 6 - Buying a property: an overview Flashcards
1
Q
Principles of a contract
A
- Agreement
- Offer and acceptance
- Consideration
- Capacity
- Intention
- Bound by terms
2
Q
Agent
A
Estate Agent
3
Q
The principal
A
The vendor
4
Q
Sole selling rights
A
Agent has exclusive rights, if sold elsewhere agent still gets a fee
5
Q
Sole Agency
A
Only 1 agent can sell , if someone else sells they do not get fee
6
Q
Joint sole agency
A
Two agents agree to market, high commission
split commission
7
Q
Multiple agency
A
A number of agents market, seller gets the fee
8
Q
Buying process
A
Establish a budget Find the property Make an offer Formal mortgage application Exchange of contracts Completion
9
Q
Offer of advance
A
A formal statement of the terms and conditions on which the lender is prepared to enter into a Mortgage contract
10
Q
Gazumping
A
When the vendor having accepted an offer, accepts a better offer. It is legal but may be seen as unethical
