When it comes to buying or selling a property, it is essential to understand the concept of implied agreement in real estate. Implied agreement refers to an unwritten or unspecified contract between two parties that is inferred from their actions, conduct, or circumstances. In real estate, implied agreement is often used in situations where there is no formal agreement in writing.
An implied agreement in real estate can be established in various ways. For instance, it can be formed through the behavior of the parties involved in the transaction. For example, if a seller allows a buyer to inspect the property, it could be interpreted as a sign of willingness to sell the property. Similarly, if a buyer makes an offer, and the seller accepts it without any objection, an implied agreement is formed.
In some cases, an implied agreement can arise from the actions of third parties, such as the actions of a real estate agent. For example, if a real estate agent represents both the buyer and the seller, and they conduct negotiations between the parties, it could be inferred that the parties have reached an agreement.
One of the most common forms of implied agreement in real estate is the doctrine of part performance. This principle asserts that if one party has performed substantial acts toward fulfilling a contract, it can be assumed that a contract exists, even if it is not in writing. For example, if a buyer makes a down payment on a property, it could be inferred that a contract exists between the parties.
It is important to note that while implied agreements are often recognized in real estate transactions, they are not always enforceable in court. If the parties dispute the terms of the agreement, a court may require written proof of the agreement`s existence.
In conclusion, implied agreement in real estate is an important concept to understand when buying or selling a property. If you are involved in a real estate transaction, it is recommended to have a written agreement in place to avoid any misunderstandings or disputes. However, if there is no written agreement, the parties` actions, conduct, or circumstances can create an implied agreement. Always consult a qualified real estate attorney if you have any doubts or questions about the existence or validity of an implied agreement.