Finalizing the Option/Purchase Transaction with Bob Howard
December 8th, 2009
Judi and I signed an agreement with Bob after negotiating for two months on the exact terms. Jim Wiens, my business lawyer at Clifford & Brown, was a great help. This agreement loaned Bob enough money to pay off the existing second mortgage on all three of his lots, and gave us the option to convert the loan into a purchase of lot #2. Additionally, the agreement included incentives for Bob to complete the utilities (water, power, cable, phone) to our lot.
During this time I also had numerous conversations with engineers, geologists, planning experts, and lawyers to make sure that there were no legal or engineering obstacles to building the house. This is the sort of due diligence that prudent buyers should always perform.
It is a fair agreement, and once it was signed, Bob and I immediately began working together to get the necessary permits.