Can 17-year-old buyer purchase a home?
Q: We signed a contract to sell our home to a very nice young man. It is a cash deal. We have just discovered that the purchaser is 17 years old. He sure looks older than that. Do we have a deal?
A: Believe it or not, one has the duty to determine that the contracting party is competent. Legally, a 17-year-old is not competent unless they have had their disabilities removed. The contract is voidable at the option of the minor. Will he be 18 when he closes? The title company will probably not close it when they see his driver’s license unless he can prove his disability has been removed. It’s time to start asking some tough questions, or wait until he turns 18.
Q: We have a contract to purchase 8 acres of real property to use for commercial purposes. When we received the title commitment, it showed that there were mineral leases on the property, and the current seller owned none of the mineral rights. Is this really a problem inside city limits?
A: It depends on your city, so check with your city’s legal department. Some cities don’t care and will let you drill, and some are very restrictive. In any event, the mineral owner can come drill on the property unless the mineral owner has waived surface control. This is not a small matter in Texas and must be reconciled. Make sure the lease hasn’t expired, and if it has, then contact the mineral owner.
They may be willing to waive the surface control, given today’s technology.
Q: I am a real estate sales agent. I put a deal together (with a big commission), and the parties “went around” me and signed up a deal not mentioning my commission. I’ve asked my broker to sue for the commission, but he refuses. Don’t I have the right to get paid? I did the deal and it closed.
A: The listing is taken in the name of the broker, so the broker has the right to sue, not the sales agent. Did you have a listing agreement or buyer rep agreement? If not, you’re sunk anyway. Why did they go around you? Could you have done something to offend them? When you sue for a commission, you can usually expect a counterclaim of some kind. These suits for commissions aren’t easy to win, either. Your broker may be right on this one.
Q: I want to seller finance a house for the tenant who is now occupying it. He’s willing to pay 7 percent interest and repay within five years. He’s always been on time with his rent, responsible in taking care of the house and responsive. This sounds too good to be true. Why would I not do this?
A: Well, it sounds like you have a good one. You can also take advantage of installment sale tax benefits. The biggest risk is default and foreclosure, but it sounds like your buyer is very qualified.
You also don’t have to be a landlord anymore. You can’t do this more than five times a year, though.
If you do, another bunch of federal laws come into play. Good luck with it.
To send a question visit www.AskGeorge.net and select the “Ask A Question” button. Answers to questions do not contain legal advice. If you wish to obtain legal advice, consult your own attorney. George Stephens is the broker of Stephens Properties. Charles J. Jacobus, J.D. is board certified by the Texas Board of Legal Specialization in residential and commercial real estate law.
Will he be 18 when he closes? The title company will probably not close it when they see his driver’s license unless he can prove his disability has been removed.