WA Offer rejected on property

Discussion in 'Property Law Forum' started by V3lissia, 17 July 2018.

  1. V3lissia

    V3lissia Member

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    We placed an offer on a property and signed an offer and acceptance form. The sellers rejected our original offer and counter offered 5k higher and placed this amount on the offer and acceptance form. We rejected their counter offer (we didn't sign the form) and began to have doubts on buying the property.
    The next day the sellers changed their minds and the real estate agent sent us a text saying "congratulations the sellers have accepted your offer, you got the house!" referring to the original offer we placed. I was under the impression that when they rejected our offer the first time the contract was over and that a new offer and acceptance has to be signed? The real estate agent is assuming that we are accepting the counter offer without asking approval. Can he do this?
     
  2. Rob Legat - SBPL

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    This is the standard manner in which contract works. I can’t find anything off a quick look which says it would be any different in WA:

    Counteroffer is not a continuation of the previous offer. It is actually a rejection of the first offer, and a new and separate offer. The act of crossing out the original price and writing in a new figure is indicative of that. You can’t unwind the crossing out and reinstate the figures - a new document would need to be signed.

    The need for clarity of the process in real estate where multiple offers and counter offers can be quite normal is the reason why contracts for the sale of land must be in writing by law (at least in the Australian jurisdictions I’m aware of).

    I suggest telling the agent that your original offer was rejected and you haven’t made another one, therefore there is nothing available to accept.
     
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