Asked by Anonymous
Hi I would like to consult the expertise in PG for the following situation :
We are keen to purchase a terrace at 2.8mil. Due to the new loan curb and TDSR, bank can loan us 1mil. We need to sell our existing house and top up the diff in cash.
We are asking for the sellers for a 3mth time frame before we exercise the option (so that we can use these 3 mths to sell our existing hse and avoid the 7% ABSD).
In the event if we are unable to sell our hse within these 3mths, what are the consequences?
a) Lose the option fee to the seller as we are unable to exercise ?
b) Or can we still go ahead to exercise and pay the 7% ABSD and still continue to put our hse in the mkt for sale, but how will we settle the payment since we have not gotten the money from the sale of our existing hse ?
What is the standard/usual procedure for buyers in this situation ?
Thank you very much.
We are keen to purchase a terrace at 2.8mil. Due to the new loan curb and TDSR, bank can loan us 1mil. We need to sell our existing house and top up the diff in cash.
We are asking for the sellers for a 3mth time frame before we exercise the option (so that we can use these 3 mths to sell our existing hse and avoid the 7% ABSD).
In the event if we are unable to sell our hse within these 3mths, what are the consequences?
a) Lose the option fee to the seller as we are unable to exercise ?
b) Or can we still go ahead to exercise and pay the 7% ABSD and still continue to put our hse in the mkt for sale, but how will we settle the payment since we have not gotten the money from the sale of our existing hse ?
What is the standard/usual procedure for buyers in this situation ?
Thank you very much.
1135 views
