STRAIGHT TO BINDING PURCHASE AGREEMENT
We submitted an LOI. Structure and consideration were accepted, but the seller wants us to move straight to a purchase agreement. That means we are paying legal expenses before confirmatory due diligence is even started. This is for a property management business and moving straight to a purchase agreement is rare, but does happen in choice locations like this one.
Anyone have experience moving to a purchase agreement before starting confirmatory due diligence? Any pitfalls that we should be aware of (e.g. broken deal costs)?