question archive Running head: HOME APPRAISAL 1 HOME APPRAISAL 4 h HOME APPRAISAL Rasmussen College Home Appraisal A home appraisal is an efficient way of estimating the fair market value based on the house's condition, location, and recent sales of comparable homes in the neighborhood
Running head: HOME APPRAISAL 1 HOME APPRAISAL 4 h HOME APPRAISAL Rasmussen College Home Appraisal A home appraisal is an efficient way of estimating the fair market value based on the house's condition, location, and recent sales of comparable homes in the neighborhood
Subject:BusinessPrice: Bought3
Running head: HOME APPRAISAL 1
HOME APPRAISAL 4
h
HOME APPRAISAL
Rasmussen College
Home Appraisal
A home appraisal is an efficient way of estimating the fair market value based on the house's condition, location, and recent sales of comparable homes in the neighborhood. The scenario indicates that the house contracted to sell goes for $50,000, but the expert believes it should go for $80,000. The expert knows that his sister has been searching for a home in the same house, but most of them cost over six figures. The specialist mentions that the sister would buy it at $60,000. The study explores the legal and ethical factors involved in the business scenario. It will examine the elements of a valid contract in real estate transactions, whether the comment to the owner constitutes a valid contract, the court that would listen to the breach of contract case if an initial buyer wants to sue homeowners, and the ethical issues involved in the situation.
Real estate transactions require a contract to make them valid. Various elements make a contract legal or not in a court of law. The contract should include an offer and an acceptance where the offer to buy a property by a buyer and accept the request by the owner of the home (Guarini, Battisti, & Chiovitti, 2018). The acceptance can be in the form of a handshake in front of a witness in some states. However, I would recommend a written contract with the signatures of those involved.
The second element is a consideration: anything of legal value, such as money, that can swap to finish the contract. In this case, the sister might agree to pay $60,000 for the home, which is considered. After spending the agreed amount, she gets the house while the seller receives the money, and the property ceases to be owned by him.
The third element is consent, indicating that each party to the contract should knowingly and willingly consent to the contract terms. The seller and the buyer should have permission in their undertaking so that their action doesn't amount to undue duress, fraud, and misrepresentation (Hamidzadeh & Salehi Mazandarani, 2020). If a seller forces the buyer to sell the house to her, then that amounts to undue duress, and the contract cannot be valid.
A contract should have a legal purpose or intent, and the parties should aim at making the agreement legally binding. In real estate, the seller must be the home's legal owner for the contract to have a lawful purpose. Further, the contract should adhere to the regulations and laws in the state and country where the transactions exist.
Lastly, the parties to the contract should be competent and understand the terms and conditions of the agreement. Both the seller and the buyer should be of legal age to sign a contract, have the mental capacity to understand the contract they're signing, and are not impaired by drugs or alcohol when signing the contract.
The comment of the professional home appraisal doesn't comprise a valid contract. The statement doesn't constitute a valid contract as it misses critical elements of a valid contract. For example, the contract misses an agreement and an offer from legally competent parties. It also lacks consent from the buyer as the sister is not aware of the existing offer. Therefore, it cannot be enforceable in the court of law and not binding to the parties.
A buyer can sue a homeowner for a breach of contract in any court with jurisdiction. However, if part of the agreement is ruled unenforceable, the home buyer can file it in a federal or state court. Nonetheless, the home purchaser can increase the chance of succeeding if he points the case in the home state or the state where they negotiated the contract.
An international buyer can sue an expert for intentional interference with contractual links. However, the buyer must prove that a valid contract existed and the professional knew about the agreement's existence. According to Geary (2018), the defendant acted improperly and intentionally, and the plaintiff was injured or financially impacted by the expert's decision. The initial purchaser can sue the company if the company is aware of the contractual agreement made by the buyer on their behalf. The ethical issue involved in the study includes employees not acting professionally in the home buyer's transactions. Also, the professional is not working in the best interest of the firm but the sister.
The study has explored the legal and ethical factors involved in the business scenario. It has examined the elements of a valid contract in real estate transactions, such as offer and acceptance and consideration. The paper has found out that comment to the owner doesn't constitute a valid contract. Also, it has identified the court that would listen to a breach of contract case if an initial buyer wants to sue homeowners and the ethical issues involved in the situation.
