Is this a violation of the R.E. agents license and its accompanying state regulations? Can my friend back out of his "signed" contract. He moved in yesterday and boy is he upset because drilling companies are making offers in the neighborhood to lease, including right under him. He has not gotten and offer...yet. What, if anything can he do?
2006-12-30 13:39:56 · 5 answers · asked by Paul 3 in Business & Finance ➔ Renting & Real Estate
I don't believe the RE agent is required to disclose that specifically. If he signed the contract and the mineral rights were not included as his own then unfortunately he is probably out of luck. If the contract he signed explicitly reads out that the mineral rights are separte from the house he bought then there really isn't anything he can do. He might make some good money off of royalty payments though from an offer. if the contract doens't say anything about the mineral rights then check your records office any sale must be recorded and they would be the ones to have the info .
Best of luck
2006-12-30 14:02:17 · answer #1 · answered by fw_lm045 2 · 0⤊ 0⤋
Prior to your friend purchasing the property he should have received a property disclosure. This disclosure should have been completed by the seller and not the seller's agent. Your friend should have had to initial each page and sign the last page. Every state has a different property disclosure but all have some statements in the land section of what rights that were not being sold with the property. If the seller did not disclose the fact that they were retaining mineral rights and they knew about it, then would be considered fraud and your friend would probably have a case against the seller. The agent is not responsible for seller non disclosure. If your friend has not gone to the closing on the property and this is not disclosed on the property disclosures make sure your friend does not sign anything giving up their mineral rights at the act of sale and question the closing attorney about this. The closing attorney works for the buyer. Use him!
Good luck
Michael
2007-01-03 10:55:50 · answer #2 · answered by Bestbank Real Estate 3 · 0⤊ 0⤋
Probably not violation of the RE Agents. Acutally your friend should of received a copy of the Title Search produced by the Title Company and read the Title Report. If he/she did this than this would of been disclosed. Talk to the Title Company or your friend should open that big packet that they received at Title and review this. Good luck!
2006-12-30 23:17:24 · answer #3 · answered by Openthathouse.com 4 · 2⤊ 0⤋
The laws differ according to the state you're in. I think I'd hire a lawyer who does real estate closings -- they're the guys who know the ropes, and could tell you right away if the R.E. agent violated the rules, and would also know the remedies available.
2006-12-30 22:14:46 · answer #4 · answered by Joseph J 2 · 0⤊ 0⤋
It should have been in the purchase contract. The title company is responsible. Also complain to the state board.
2007-01-02 17:22:55 · answer #5 · answered by sm4125 3 · 0⤊ 0⤋