I took a potential buyer to one of their subdivisions Monday to put a deposit on a lot. During the contract-signing, she was handed a 50-page "disclosure statement" and was told to "sign here agreeing that you received it". As I read the front page of the packet, which said that, by intialing the referring section on the contract, you are agreeing to the conditions outlined in the disclosure packet. When asked if my buyer could get her earnest money back if she disagreed with any of the information in the packet, we were told that she could not.
This seemed unfair that someone was handed a 50-page document that outlines terms and conditions, but they cannot have 1) time to read it thoroughly and 2) cannot have their money back if they completed the section of the contract that only stated that she'd received the packet. The builder agreed that she could receive her money back if she did not like the statements in the disclosure packet, but this was another instance where the buyer could unknowlingly agree to something that they would disagree with.
I think buyers should be granted sufficient time to have their lawyer read over the conents. Buyers often think they should not use agents when purchasing from a new home builder, but they do not realize that they are essentially unrepresented. In some new home subdivisions, the price and terms of the contract can be negotiated.
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