This week the Property Poser panel considers a property transaction, which has come to a halt due to the seller’s sudden reluctance to sell.
The prospective buyer writes that he concluded an agreement of sale with the seller for R1.6 million. It has since transpired that the outstanding mortgage bond on the property is R1.58 million and that there are outstanding rates of R80 000.
The seller’s monetary obligation thus exceeds the amount that would be realised from the sale of the property. However, she refuses to pay a cent more than the selling price, which is hampering the transaction.
The reader is keen to proceed and besides his contractual obligations such as attaining an approved mortgage bond and paying a deposit, he has also obtained the electrical certificate of compliance, which is usually the obligation of the seller.
Because of the seller’s refusal to pay the required amount, the rates clearance, which would allow the transfer to go through, has not been issued.
The reader has furthermore demonstrated his eagerness to proceed with the transaction by offering to cover the outstanding amount required for the rates clearance.
This would be subject to the seller signing an acknowledgement of debt and making arrangements to repay the loaned monies to him in time. However, the seller is unwilling to enter into such an arrangement.
The reader would like to know what his rights are in this situation. He has taken a look at the agreement of sale and suspects that his remedy