In a PA real estate transaction, the buyer includes a contingency requiring satisfactory results from a sewer lateral inspection. What does a sewer lateral inspection evaluate?
Correct Answer
A) The pipe connecting the property to the main municipal sewer line
A sewer lateral inspection evaluates the pipe that connects the property's plumbing system to the main municipal sewer line. This pipe runs from the building to the sewer main, typically under the yard, and the property owner is generally responsible for its maintenance and repair.
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More Pa Specific Contract Provisions Questions
Under the PAR Agreement of Sale, all of the following are obligations of the buyer under the mortgage contingency EXCEPT:
A licensed salesperson in Pennsylvania mishandles the hand money deposit by depositing it into their personal account instead of the broker's escrow account. The buyer later defaults, and the deposit is not fully available. What are the consequences for the salesperson?
A buyer in Chester County closes on a property and later finds that the seller had an outstanding municipal lien for $8,000 that was not disclosed or satisfied at closing. The title insurance company missed the lien during the title search. Who is likely liable?
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A buyer in Blair County closes on a property and later discovers the seller's real estate agent knew about a major plumbing defect but did not disclose it. The buyer sues both the seller and the agent. If the buyer obtains a judgment against the agent but the agent cannot pay, what is the maximum the buyer can recover from the PA Real Estate Recovery Fund per transaction?
- → A buyer in Montgomery County defaults on a PA Agreement of Sale. The seller wants to pursue both liquidated damages (retaining the hand money) AND actual damages through a lawsuit. Under PA law, can the seller do both?
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- → In Pennsylvania, the Statute of Frauds requires that real estate contracts be in writing. Which of the following contracts is subject to this requirement?
- → Under the PAR Agreement of Sale, which of the following is NOT a standard remedy available to the seller when a buyer defaults on the contract?
- → A buyer in Lancaster County signs a PA Agreement of Sale. The agreement includes a provision allowing the buyer to assign the contract to another party. Under Pennsylvania law, which statement about contract assignment is correct?
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- → Under the PAR Agreement of Sale, the agreement includes a mediation clause for resolving disputes before litigation. If both parties agree to mediate, what is the nature of the mediation outcome?
- → A buyer in Pennsylvania defaults on a PA Agreement of Sale by refusing to proceed with the purchase. Under the agreement, the seller elects to retain the hand money as liquidated damages. What does 'liquidated damages' mean in this context?
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Under the PAR Agreement of Sale, which of the following is NOT a reason that would allow a buyer to exercise the inspection contingency to terminate the agreement?
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A buyer in Pennsylvania asks their agent what happens if the appraisal comes in higher than the purchase price. Under the appraisal contingency in the PAR Agreement of Sale, which statement is correct?