House transaction amounts can easily reach millions or tens of millions of dollars. Transaction security cannot only be based on the trust between buyers and sellers. Only by establishing a control mechanism for cash flow and transaction processes through performance guarantees can buyers obtain property rights with peace of mind and sellers securely obtain the price, providing an additional layer of protection for existing home transactions. (Photo/data photo provided)
House transactions often cost millions or tens of millions of dollars. What should I do if I sign a contract but can’t move in? An Xinjian was reminded that some real estate properties involve a third party’s right of first refusal. If it is not confirmed before signing the contract, it may be blocked during the transfer. Only through a performance guarantee and a third-party special account to keep the price, can both buyers and sellers be protected.
From negotiating the price, signing the contract to completing the transfer, it seems that as long as you follow the process, you can successfully obtain the property rights of the house. However, in actual transactions, some real estate may involve a third party's right of first refusal due to co-ownership, base lease or other rights relationships. If it is not fully confirmed before signing the contract, and problems are not discovered until the transfer of property rights is carried out, the originally negotiated transaction may be blocked.
Real estate transactions cannot only confirm "whose name it is registered under." The rights relationship in the transcript and the current status of the transaction object are also important aspects that cannot be ignored before signing the contract.
An Xinjian Economic South District Business Manager Liu Sushen shared that in practice, some homeowners have sold farmhouses and land. Among them, the farmhouse is located on three lots. Only one lot is owned by the owner, and the rest of the land is leased to others. After the buyer and seller signed the contract, the transaction originally went smoothly. However, it was not until the transfer of ownership that the issue of the right of first refusal was not dealt with in advance.
Liu Sushen said that the sale of existing houses usually requires multiple procedures from signing, sealing, tax payment, property rights transfer to handover. During this period, the buyer will pay the price one after another in accordance with the contract, and the seller also needs to cooperate with the transfer of property rights. Once there are rights flaws or the transaction conditions are not fulfilled, all It may affect the subsequent process. Judging from the above cases, some preemptive rights have the effect of real rights. Even if the buyer and seller have signed a contract or even completed the transfer of ownership, the right holder may still claim the rights according to law. If the price has been paid to the seller at this time, the impact on the buyer will be even greater.
In this regard, Liu Sushen suggested that a performance guarantee mechanism should be added to the transaction process, with a third-party account to keep the transaction price, and disburse the funds in accordance with the contract and transaction progress. This can avoid the buyer from directly delivering the price to the seller before successfully obtaining the property rights; for the seller, the seller can also confirm the payment of the price in accordance with the transaction procedures, reducing risks for both parties.
An Xinjian reminded that the amount of housing transactions can easily reach millions or tens of millions. Transaction security cannot only be based on the trust of buyers and sellers. Only by establishing a control mechanism for cash flow and transaction processes through performance guarantees can buyers obtain property rights with peace of mind and sellers securely obtain the price, providing an additional layer of protection for existing home transactions.
