Getting Gazumped during Cooling Off Period?

[jmillar]

I thought the cooling off period was an option to pull out of the deal which only the buyer can exercise, but someone has told me that you can be gazumped before a deal goes unconditional.. Is this true? (in NSW)

Can the owner simply pull out of the deal during the cooling off period?

Thanks

 

[monalisa]

I thought the cooling off period was an option to pull out of the deal which only the buyer can exercise, but someone has told me that you can be gazumped before a deal goes unconditional.. Is this true? (in NSW)

Can the owner simply pull out of the deal during the cooling off period?

Thanks

I am pretty sure this is not the case ie vendor is unable to pull out during cooling off, it is only the buyer who can pull out, and loose 0.25% deposit.

 

[twobobsworth]

Purchaser can pull out, vendor cannot - although they can refuse to settle but that's a whole different story.

 

[htopg]

If you have paid a holding deposit, seller CAN still accept higher offer.
To avoid being gazumped, you might want to EXCHANGE CONTRACTS QUICKLY and use the cooling off rights to pull out of the contract if needed.

 

[jmillar]

Thanks. I didn't think the Vendor could pull out once contracts are exchanged (even during CO).

Cheers

 

[travelbug]

If you have paid the deposit but not yet exchanged (ie the sellers haven't signed) then it hasn't exchanged. Only then can the seller pull out. Once both have signed (ie exchanged), they can't.