Has Anyone Had An Experience With Sell House Fast, LLC
Hey BP,
So I am having an issue with this Sell House Fast company based out of Scottsdale, AZ. Here is the gist of what is going on... We put a property under contract in PA, where I am located, and here the seller already signed a contract with Sell House Fast. Their original contract was set to close on 8/26/16 but it never happened. The partner or rep for Sell House Fast that was dealing with the property completely screwed them over. He said they were going to personally buy the property and what they did was try and wholesale it. Needless to say they could not procure a buyer and the sellers never heard from the guy again. They actually went to settlement without hearing from the rep and completely wasted their time doing so because no one showed up.
Now we come in to play and put the property under contract but the seller failed to let us know the original contract wasn't set to expire until 9/26. So I reached out to the company and tried to settle the situation. Here they went to county recorder office and filed an addendum to the contract which gives them equitable ownership of the property. I asked if they would be willing to sign off on the contract because they weren't able to close or procure a buyer and he told me he would for a fee!!! This fee of course was 30k!! Now, it is definitely the sellers fault for not reading the whole contract before they signed it because there were some very interested contingencies in it. So what the company did seems legal but at the same time very unethical because it allows them to be paid for not doing any work or procuring a buyer. Here is the clause...
TIME IS OF THE ESSENCE with this agreement. Each contingency contained herein shall be satisfied according to its terms by the closing date or this contract extends to provide time for satisfaction of said contingencies. Each party shall diligently pursue the completion of this transaction. Each warranty made herein survives the closing of this transaction
PROHIBITION: this agreement established a prohibition against transfer, conveyance or encumbrance to the property.
Now I am not a lawyer and neither are my partners, but when we read this we see that this company feels they should be paid despite if they find a buyer or not. They have not diligently pursued the completion of this transaction. It sounds and feels like a scam. Now mind you, the sellers have not heard a word from this company in a month or so which leads me to believe they are scamming them. If anyone has experience with this please reach out. Thanks!