16. A broker has listed a property for $225000. An offer of $210000 contingent upon inspection comes in the first week and the seller accepts it. Another offer of $205000 comes in the second week. The seller accepts it as a secondary offer contingent upon the termination of the first offer. The first offeror demands the seller spend $5000 in repairs before going through with the purchase. The seller may do any of the following EXCEPT
Answer: D
The seller may not ignore the demand and sell the property to the second offeror.
While the seller has the option to consider multiple offers, they cannot simply ignore the demand from the first offeror and proceed with the sale to the second offeror without addressing the first offeror's request for repairs.
A) agree to do the needed repairs and consummate the transaction with the first offeror
This option is valid as the seller can choose to agree to the repairs requested by the first offeror. By doing so, they would fulfill the conditions of the first offer, allowing the transaction to proceed as agreed.
B) refuse to do the repairs and still proceed with the sale in as is condition
The seller has the right to refuse to make repairs and sell the property in its current condition. However, they must first communicate this decision to the first offeror, as ignoring the offer could lead to legal complications.
C) terminate the first agreement in writing and sell to the second offeror
This option is permissible as well. The seller can formally terminate the first agreement, provided they do so in writing, and then proceed to sell the property to the second offeror. This is a valid way to navigate multiple offers.
D) ignore the demand and sell the property to the second offeror
This option is incorrect because the seller cannot ignore the first offeror's demand regarding repairs. Doing so would violate the terms of the first agreement, potentially leading to legal repercussions.
Conclusion
The correct answer is D, as the seller must respect the terms of the first offer and cannot simply disregard the demand for repairs to sell to the second offeror. Options A, B, and C all present valid actions that the seller may take within the bounds of the existing agreements, highlighting the importance of adhering to contractual obligations in real estate transactions.