Looking for some advice and input. My grandfather ( & uncle and siblings, due to inheritance) own a home in Portugal. It’s been a long and arduous process to get all the paper work in order (probably close to 2 years!), but we’ve finally received the contract from the agent. We have never met the agent, he was a referral from someone we’re not close with and have been communicating via email. My family wants to be sure everything is legitimate and “normal” for a real-estate contract in Portugal as we only have experience buying/selling homes in Canada. There are a few clauses that concern us. We are wondering if these are simply differences in the way things are done vs. Canada or we are being taken advantage of?
The big ones we identified are the following:
* Clause 5th #3 (page 3) – Never seen commissions owed with an accepted offer. In this case it’s saying 50% with accepted offer 50% at closing. What happens if the sale falls apart? If the sale falls apart due to issues from the buyers side (ie. financing, death, change their minds etc.) are we still liable to pay? If the sale falls apart due to something with inspection are we still liable to pay the 50% commission? Or this does this only apply if we accept an offer and then the we (seller) change our minds?
* Clause 6th #3 (page 9) – We have to pay a commission and they have the right to be reimbursed for expenses? What expenses? Is there a limit? In Canada the realtor pays any and all expenses related to marketing, travel, listing fees etc.
1 comment
Hey Everyone.
Looking for some advice and input. My grandfather ( & uncle and siblings, due to inheritance) own a home in Portugal. It’s been a long and arduous process to get all the paper work in order (probably close to 2 years!), but we’ve finally received the contract from the agent. We have never met the agent, he was a referral from someone we’re not close with and have been communicating via email. My family wants to be sure everything is legitimate and “normal” for a real-estate contract in Portugal as we only have experience buying/selling homes in Canada. There are a few clauses that concern us. We are wondering if these are simply differences in the way things are done vs. Canada or we are being taken advantage of?
The big ones we identified are the following:
* Clause 5th #3 (page 3) – Never seen commissions owed with an accepted offer. In this case it’s saying 50% with accepted offer 50% at closing. What happens if the sale falls apart? If the sale falls apart due to issues from the buyers side (ie. financing, death, change their minds etc.) are we still liable to pay? If the sale falls apart due to something with inspection are we still liable to pay the 50% commission? Or this does this only apply if we accept an offer and then the we (seller) change our minds?
* Clause 6th #3 (page 9) – We have to pay a commission and they have the right to be reimbursed for expenses? What expenses? Is there a limit? In Canada the realtor pays any and all expenses related to marketing, travel, listing fees etc.
Thanks in advance!