Resale Procedure

[mpat]

Hallo friends

Can anyone advice what should be the correct procedure for resale? I am a bit confused as some agents are asking to put money in their personal account,though they are registered agents,can I trust them?

Has anyone done any resale buying selling like this?

What should be the best way of doing it ?

THANKS IN ADVANCE.

[Sixgun]

Originally Posted by mpat

Hallo friends

Can anyone advice what should be the correct procedure for resale? I am a bit confused as some agents are asking to put money in their personal account,though they are registered agents,can I trust them?

Has anyone done any resale buying selling like this?

What should be the best way of doing it ?

THANKS IN ADVANCE.

mpat,
The flat I'm buying in Stadium Point is a re-sale.
The process of sending money was held up because (Profile told me) they had to change all their accounts to Rera approved escrow accounts.
OK, sounds good.
When I eventually received the account I should send to however, it was a personal PROFILE PZZ account.
When I questioned this, they told me:
"The money you are paying has to go to pay off the guy selling, because if we put yours into escrow, we can't remove it to pay him.
His money (30% of price) is already in escrow, and paid off the flat, so when contract is exchanged to your name, it is exactly the same".

It sort of makes sense doesn't it.

[Roshan]

Originally Posted by mpat

Hallo friends

Can anyone advice what should be the correct procedure for resale? I am a bit confused as some agents are asking to put money in their personal account,though they are registered agents,can I trust them?

Has anyone done any resale buying selling like this?

What should be the best way of doing it ?

THANKS IN ADVANCE.

Mpat,

I will contact a few agents in the industry as to what the procedure is. The resales are usually done on the basis of goodwill I'm told.

I witnessed a sale for a friend where the real estate agent drafted a MOU and each party was told to give a deposit ( which they call earnest deposit ). The agent collects the cheques from both the parties. The agent in this case is the broker or executor. If any party defaults then that money is irrevocable and considered lost.

A friend of mine sold a flat in Downtown and I will ask him what is the procedure.

Watch this space for more details.

Regards

Roshan

[mpat]

Originally Posted by Roshan

Mpat,

I will contact a few agents in the industry as to what the procedure is. The resales are usually done on the basis of goodwill I'm told.

I witnessed a sale for a friend where the real estate agent drafted a MOU and each party was told to give a deposit ( which they call earnest deposit ). The agent collects the cheques from both the parties. The agent in this case is the broker or executor. If any party defaults then that money is irrevocable and considered lost.

A friend of mine sold a flat in Downtown and I will ask him what is the procedure.

Watch this space for more details.

Regards

Roshan

Thanks six gun and Roshan.

I will be waiting for more details,

bye

[Lsab]

Me too! I want to sell our studio in International City and have absolutely no idea of the process or how long it takes. I look forward to your reply Roshan.

[uaerealdeal]

There are so many doubts as to the resale procedure as there is not fixed step wise instruction as to the procedure, even i have a few doubts:

1. Usually a First Buyer pays 5% or 10% to the developer and gets the unit registered in his name. So in the developers list it will be the First Buyer who will be registered (If I am not getting it wrong)

2. For example if the First Buyer wants to sell at a premium, this is where things are unclear, will the second buyer who is buying from the first buyer get his name in the register? why does a developer charge transfer fees of 2% or etc? is the developer legally allowed to charge??? as it is no sale and purchase agreement would have been drawn up or signed by then... As most developer will draw up a sale and purchase agreement only after 20% to 30% depending on the developers...

3. In this case what happens the sale from 1st buyer to the 2nd buyer happens only on paper.

I would appreciate if any of the more experienced people on the forum and experts would put in a step wise flow chart kind of message which shows how exactly the resale procedure takes place....

[DAYFox]

Great idea! Hope someone can help us all out!

Originally Posted by uaerealdeal

There are so many doubts as to the resale procedure as there is not fixed step wise instruction as to the procedure, even i have a few doubts:

1. Usually a First Buyer pays 5% or 10% to the developer and gets the unit registered in his name. So in the developers list it will be the First Buyer who will be registered (If I am not getting it wrong)

2. For example if the First Buyer wants to sell at a premium, this is where things are unclear, will the second buyer who is buying from the first buyer get his name in the register? why does a developer charge transfer fees of 2% or etc? is the developer legally allowed to charge??? as it is no sale and purchase agreement would have been drawn up or signed by then... As most developer will draw up a sale and purchase agreement only after 20% to 30% depending on the developers...

3. In this case what happens the sale from 1st buyer to the 2nd buyer happens only on paper.

I would appreciate if any of the more experienced people on the forum and experts would put in a step wise flow chart kind of message which shows how exactly the resale procedure takes place....

[New_Investor]

RERA has mentioned in an earlier article that the 2% transfer fees charged by the developers are NOT LEGAL, and soon they are going to ban it as it should be a fixed amount.

[Roshan]

Originally Posted by mpat

Hallo friends

Can anyone advice what should be the correct procedure for resale? I am a bit confused as some agents are asking to put money in their personal account,though they are registered agents,can I trust them?

Has anyone done any resale buying selling like this?

What should be the best way of doing it ?

THANKS IN ADVANCE.

mpat,

Beware, I heard some horrific stories. It's not that deals are not done, I have seen so many deals go through without any problems, but the seller can turn nasty if he wants to.

Met a lady who bought a house in the secondary market, through an A1 real estate agent ( the ones we usually call the best in Dubai, one of the top three ).

The seller refuses to transfer for obvious reasons as the flat has appreciated.

The buyer is stuck with her down payment and lawyer fees...and so far the real estate authorities cannot force the seller to honour his committment.

She has been shuttling between all places and she has got no one to help.

Does anyone know of a good lawyer

Regards

Roshan

[mpat]

Originally Posted by Roshan

mpat,

Beware, I heard some horrific stories. It's not that deals are not done, I have seen so many deals go through without any problems, but the seller can turn nasty if he wants to.

Met a lady who bought a house in the secondary market, through an A1 real estate agent ( the ones we usually call the best in Dubai, one of the top three ).

The seller refuses to transfer for obvious reasons as the flat has appreciated.

The buyer is stuck with her down payment and lawyer fees...and so far the real estate authorities cannot force the seller to honour his committment.

She has been shuttling between all places and she has got no one to help.

Does anyone know of a good lawyer

Regards

Roshan

Hi Roshan

I came across following lawyer ( carol alderson at Midfa associates ) and is good ,though a bit expensive.


Office 1004, Al Reem Towers, Al Maktoum Rd, Deira, Dubai
P.O Box: 32367, Dubai

Tel: + 971 4 2272701

Fax: + 971 4 2277422

midfaadv at emirates dot net dot ae