New Condo Purchasers should beware of Clause in Purchase Agreement
I recently heard from a potential buyer of a new condominium who stated that the developer put a clause in his purchase agreement saying it is binding only after the seller signs the agreement and that it is an irrevocable offer. Buyers of new condominiums should definitely be on the look out for such clauses and statements.
This may very well be in violation of the nine (9) day business rule of the Michigan Condominium Act, which allows a purchaser to withdraw from the condominium and, in my view, that agreement would be unenforceable. Too many purchasers sign agreements for the purchase of condos without obtaining the services of a knowledgeable condominium attorney to insure that the purchase agreement is in conformity with the condominium statutes and laws. Without proper advice they could find themselves faced with the prospect of wanting to be extricated from the agreement and find that they may not be able to do so because of an unconscionable clause. You are best advised to seek redress at your earliest convenience.