An Ontario buyer's offer has a standard financing condition: unless the buyer gives written notice that the condition is fulfilled within five business days, the offer is null and void. On day 4 the lender declines the mortgage. What is the buyer's safest course?
Correct Answer
B) Do not waive it; without notice of fulfilment the offer ends
Under the standard wording the offer is null and void unless the buyer gives written notice of fulfilment or waiver by the deadline, so the buyer protects themself by not waiving. Waiving would make the agreement firm with no financing in place. Many buyers still sign a mutual release with the seller so the deposit can be returned without dispute.
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A buyer's offer includes a condition for financing approval within 10 business days. On day 8, the buyer's mortgage application is denied, but they find a private lender willing to provide financing at a higher rate. What are the buyer's options?
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