Posted by Dave T on September 19, 1999 at 21:59:54:
On HUD foreclosures only your earnest money is at risk. If you back out of the deal, HUD does not sue for specific performance, rather, you just forfeit your deposit and the property goes back on the HUD list.
HUD question:What if I back out? - Posted by Robert_PA
Posted by Robert_PA on September 19, 1999 at 19:42:23:
I have been doing some flip deals using discounted notes.
I presently have a buyer that is very interested in purchasing a home from me that is listed with HUD. I am doing simultaneous closes. Although, I have no experience with HUD.
I am concerned that she might back out after I get my offer accepted by HUD. I will use her money to put down the earnest money…so no money lost. But, beyond HUD keeping that earnest money, do you see any situation where they might sue me for performance, etc.
Any one have any experience with this type of situation?