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agreement for sale

DaveReynolds

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Oct 1, 2007
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If you buy with an Agreement For Sale(AFS)
1. do you need to fund the whole mortgage amount when you sign the AFS, or do you just need to come up with the funding when you actually purchase the property which could be years from the date you signed the AFS...

2. if you dont purchase the property in the agreed time frame you would loose your deposit...

are these 2 points correct

Thanks Dave
 

Thomas Beyer

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Aug 30, 2007
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QUOTE (DaveReynolds @ Oct 27 2009, 08:54 PM) If you buy with an Agreement For Sale(AFS)
1. do you need to fund the whole mortgage amount when you sign the AFS, or do you just need to come up with the funding when you actually purchase the property which could be years from the date you signed the AFS...
you pay the seller some agreed upon $s today, money monthly so he can pay the underlying mortgage, and then the balance on teh agreed upon future date, usually a date that lines up with his/her mortgage discharge date !
QUOTE (DaveReynolds @ Oct 27 2009, 08:54 PM) 2. if you dont purchase the property in the agreed time frame you would loose your deposit...

yes of course AND can be sued for breach of contract !!
 
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