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Option Contract or Agreement to purchase? HELP!

Posted on: Mon, 09/20/2010 - 14:31
Option Contract or Agreement to purchase? HELP!

Here's the deal. I have a friend that owns a condo in Florida but he lives in NY. I am not a Real Estate Agent or a Realtor. He asked if I could try and sell his condo and he would give me the 6% commission he would usually give to an agent. My question is..He is not looking to just let the property go for anything, he wants close to FMV for it. Would i be better off having him sign an Option to purchase contract or a Purchase agreement contract? If i understand correctly both of them are assignable. I was under the impression the option contract would be better in this case since he is looking for close to FMV so if i can't sell it the option contract would be easier to wiggle out of, correct? Also how would i find out if the contracts dean has available on the site are legally binding in my state (FL)?
Any help is much appreciated. Thank you in advance.

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Posted on: Mon, 09/20/2010 - 17:55 #1
JGibbons6702

i would go for the L/O myself. yes, it is easier to get out of it, but remember you have a friendship thing going on here too. that can make things a little touchier. if you have questions about Dean's contracts you need to have an attorney look them over.

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Posted on: Sat, 10/02/2010 - 01:18 #2
My vote

I do quite a lot of business in FL and would tell you that the easiest choice would be to draft a L/O. The purchase contract in FL has changed effective 10/1 (today!). It is known as FAR/BAR and has been redrafted. If you use a L/O and it is sold with the help of a RE agent, they will transfer the sale to the new FAR/BAR. If you sell it yourself, you can draft you own sales contract based on FAR/BAR so the closing firm can follow the terms easily and reduce their change of making a mistake. JMHO.

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