Any legal obligation for real estate agent to reveal to buyer that property has a caveat over probate?

jeeg on 15/12/2016 - 09:52
Last edited 15/12/2016 - 09:57

Hi, we put an offer on a property which is a diseased estate and the contract clearly stated that executors have been appointed as part of the will. I specifically asked if there are any other contestants to the will before putting the offer down and was informed the will is set and there are no other family members contesting. So the Grant of Probate process went ahead on the seller side.

2 months passed and the grant of probate is not forthcoming. I later learned that one of the seller family had put a caveat on the property. But I learned this not from the seller/agent.

I wanted to ask if the agent has a legal obligation to disclose if someone else has placed a caveat on the probate to the buyer. If so, can I take legal action against them for wasting my time and money…given I have now spent money for a house building inspection and get council plans and what not.

Thanks

Home & Garden

Comments

  • glassyan on 15/12/2016 - 10:14

    That question should go to your solicitor, if you don't have one you really should get one now imo.

    Was a title search conducted after the offer becomes unconditional? I thought caveat would show up in a title search.

    • jeeg on 15/12/2016 - 10:27

      Thanks. We are in the process of finding a property lawyer but thought I should ask given many of ozbargainers are experienced property people. We have done a title search after the offer but apparently the caveat only happen in the last month or so.

  • [Deactivated] on 15/12/2016 - 11:01

    I think probate overlapping the settlement period is pretty common on deceased estates. I can't really see how an agent can say anything other than the present state by title check. I can't see them being responsible for future developments beyond their control as probates can and do get messy. Where does the date of the caveat fit in? Part of probate is public notice/advertisement, almost an invition to place caveats and contest wills.

    • jeeg on 15/12/2016 - 11:57
      +1

      Thanks. The title that was included as part of the original offer clearly indicated the name of the executors for the property. I have also done a title search following the offer and it is all good.

      However, the claim on the property by one of the seller family member only came to light about 1 month ago and I did not know about this if not from some other sources.

      I was under the impression that the REA must disclose the fact that there are other contestent to the will and if they put a caveat to the property, the REA should at least tell the buyers about this.

      I am getting in touch with property lawyers but not sure how soon I can get an appointment…

  • BigTed on 15/12/2016 - 14:06

    From what you have said you specifically asked about claims on the estate and were given an answer.
    That answer may well have been correct at the time.
    Given you had specifically raised that issue it may have created an obligation to advise of new developments - but that's not clear.
    In any event, what are you concerned about? Is the house due to settle? Are they not ready willing and able?

    • jeeg on 15/12/2016 - 14:15

      Thanks. I am ready to settle 21 days after the Grant of Probate but the Probate is not forthcoming and everytime I rang the REA, the REA said they are not in the liberty to disclose any info re. the Probate and because of this, I have been waiting 2 months. I indicated that I want the seller and ourself to mutually terminate the Contract so I can move on in life but they say this is subject to the Seller and the Seller wanted to sell to me as part of the agreement.

      So in the meantime I can only wait which is frustrating. I then learned from another source that a caveat has been imposed on the property and therefore Probate is not coming anytime soon and because of that I dont think they can settle and able to settle..but they are not telling me anything….which is frustrating

      • [Deactivated] on 15/12/2016 - 15:12

        I was in the seller position while probate got delayed only due to an administrative error and I was very nervous. The seller will have paid large advertising costs and will likely be keen to complete the sale. You might even be able to put in a reduced offer if the settlement falls through. It's hard waiting, but I'd much rather be in your shoes than the seller.

        • jeeg on 15/12/2016 - 16:36

          Thanks Frugal. I am only thinking that the least the REA/Seller can do is to tell the buyer because keeping the buyer in the dark is just not ethically right….this is more so when I requested a mutual termination and they say no….

          Also the REA challenged me to get legal counsel when I requested a mutual termination…we felt being bullied and victimized in a way.

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