THE DEAL THAT NEARLY FELL

A broker was about to close what seemed like a smooth, straightforward condo sale. He dealt directly with both the seller and the buyer, so he prepared a one-page offer letter—simple and efficient.

The seller reviewed it and gave the green light. All seemed set for a seamless closing.

On the day of turnover, the three parties met in the unit. Documents were laid out, pens were ready. But just as the buyer began reviewing the paperwork, things took a sharp turn.

Issue #1: The Size Discrepancy

The buyer pointed out that the unit was smaller than what he had been told. The broker said 74 sqm. The title read 71 sqm. The buyer, visibly upset, demanded a P500,000 discount based on the discrepancy and zonal value.

Issue #2: The Missing Couch

Then he noticed something else—the couch was gone. He had assumed it was part of the sale. The seller pushed back, saying it had been verbally agreed that all personal items would be removed.

Tempers flared. Tension filled the room. After a round of on-the-spot negotiation, the sale finally pushed through—but the buyer left feeling shortchanged.

This deal could’ve easily collapsed. So how could this have been avoided?

Lessons from the Frontlines

1.⁠ ⁠Floor Area Must Be Verified

Cross-check the unit size against official documents like the title or tax declaration. If the seller is reluctant to share the title, you can use:

•⁠ ⁠Association dues billing (based on floor area)

•⁠ ⁠Documents from building admin

Be cautious: sellers often round up measurements (e.g., 43.54 becomes 44 sqm). And some developers count balconies and columns, while others don’t.

2.⁠ ⁠The Offer Letter Shouldn’t Be a Guessing Game

a. Property Details

b. Offer Price

c. Title Condition

d. Turnover Condition

e. Payment Terms

f. Option to Purchase Clause

g. Terms for Refund or Forfeiture

h. Milestone Deliverables

i. Breakdown of Costs

j. Validity Period

This deal could’ve easily fallen apart—and it all came down to assumptions that weren’t written down. Your offer letter should leave no room for interpretation.

In Wednesday’s post, we’ll break down what a well-drafted offer should include—point by point. Stay tuned.