Q&A

A rural subdivision has the preliminary plat and is waiting for the final plat since it is yet unbuilt. The only thing the developer is waiting on is zoning and waiting for the final plat. How should advertising and offers be handled?

Wis. Stat. § 236.31 provides an agent can list properties based on a preliminary plat where the preliminary plat has been submitted for approval with the town or municipality in which the subdivision lies. An offer can be proposed on that property if the offer is contingent upon approval of the final plat and shall be void if such a plat is not approved. The agent should recommend the prospective buyer seeking to write an offer on the property consult with the buyer’s attorney to make sure all contingencies are properly drafted.

A valid listing contract must describe the property. If there are no street addresses yet, identifying the parcels according to the preliminary plat may be sufficient if a third party could identify the property based on the description in the listing contract....