The lawyer warns against signing a takeover protocol when buying a home
For the purchase and sale of second homes, most real estate agents want you to sign a takeover protocol to end the home equity and document that all formalities have been completed.
Depending on how the protocol is formulated, it may weaken the buyer’s appeal, but there is no requirement that it be signed in order for the housing transaction to end..
– In principle, there is no duty to sign a takeover protocol, and it is difficult to see that an unsigned protocol itself will have some legal effect, says postdoc at BI Norwegian Business School, Harald Benestad Anderssen.
If you purchase a new residence, however, it follows from the bus registration act that you are writing a protocol. Purchases of second homes are, however, governed by the Dispute Act, and there is no mention of the takeover protocol.
– The system of protocols for second-hand purchase is something the real estate industry has established, emphasizes Benestad Anderssen.
May lose the right to appeal
In an interview with the lawyer Advokaten, lawyer and real estate agent Petter Mortvedt warns housing buyers against signing a takeover protocol. He refers to protocols where you must sign that the residence has been taken over in contractual terms and without any need.
– Optionally, you can sign that the house has been cleaned, keys received and meters read. No more, he says to the lawyer.
He further emphasizes that requirements for signing protocols could put the parties in a difficult situation.
– This is one of the phases of life where you are most stressed, and then you are not going to give a statement that the residence has been taken over in contractual terms, “he says..
– At worst, you may lose your right to appeal later, he warns.
– It is the Dispute Act that regulates this and detects missing post-acquisition issues, it is important to advertise as quickly as possible.
Did not want to transfer funds before the protocol was signed
In a case click. no know, the real estate agent would not transfer the sales price to the seller before the acquisition protocol was signed. The reason for the broker’s point of view was disagreement between the seller and the buyer if the accommodation was cleaned sufficiently.
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The seller was thus put in a depressed situation where he felt he had to sign to get the sales sum transferred.
Such detention is, according to one of the major players in the market, DNB Eiendom, not legal.
“Broker has no basis for holding back billing and settlement if the protocol is not received. Then broker must otherwise ensure that the acquisition of the property has really been completed, “says DNB Communication Advisor, Kristin Iversen, in an email to Click. no.
Director of Legal Department of the Homeowners’ Association, Anders Leisner, emphasizes that it is the actual acquisition of the housing that is essential, not signing the protocol.
– But if a buyer refuses to sign the protocol, it can be interpreted as an expression that he wishes to cancel the agreement, he adds.
Need to document acquisition
According to the CEO of Real Estate Norway, Christian Vammervold Dreyer, the use of acquisition protocols indicates that the real estate agents want documentation that the sales process has been completed.
You will hardly get this information in a value tag
In an email to Click. no, he emphasizes that brokerage as far as possible has the need to ensure that both the buyer and the seller are respected in respect of their rights. He emphasizes that this applies in particular to taking over the housing and paying the purchase price.
– In this context, it is important to be aware that it is not a broker who decides whether the purchase price can be transferred, but the buyer gives a clear signal.
Buyer may be charged a delay rate
However, even if it is a buyer who decides whether to transfer the money, he or she still has a limited opportunity to keep the purchase price back by for example a dispute.
– You must be aware that, as a buyer, you can easily be in a liability if the proportion of the purchased amount is greater than what will cost the deficit, “explains Vammervold Dreyer..
– If a buyer retains an unreasonably large amount, it may escalate the conflict, for example, by a homeowner refusing to hand over the keys to the home. It is therefore sensible to sign a protocol with possible submissions, although this is not a legal requirement.
Signing a takeover protocol must not be based on an agreement between buyer and seller. Both parties can make their entries in the minutes and then sign.
Do not be fooled by fine furniture and lit candles
– For this reason, the use of a takeover statement makes sense because you have documented a disagreement in writing, “says Vammervold Dreyer, who believes that a signed acquisition protocol does not impair the buyer’s right of complaint.
– In that case, it will depend on what is stated in the protocol and what the buyer has become aware of at the takeover, “says Benestad Anderssen..
– The more general formulations are in the protocol, the stronger the right of claim will be. But then you can wonder why the brokerage industry means that you should at all have very general terms in a protocol if they do not have any value.
Signed Acquisition Protocol Requirement
In some cases, however, the acquisition protocol must be signed before the purchase price can be transferred, keys handed over and crossed to be sent to court.
This should be remembered if you sell the house yourself
– If it is agreed in the purchase contract that a signing protocol will be signed, you will not get out of it, says Benestad Andersen.
– In the contrary, it will be considered a breach of contract, and the buyer or seller has breached his obligations by failing to sign.
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