Posted by test2 on July 09, 2007 at 17:50:38:
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seller wanting to cancel purchase - Posted by Stacy
Posted by Stacy on July 09, 2007 at 11:10:39:
I’ve read some of the archives and in most of these cases a seller wants to back out so they can sell for a higher price. My situation is not like that. My husband and I made a hard decision to sell and move out of California when he was injured at work and couldn’t get a new job which he was physically able to do and make enough money to live. We recently began escrow on our home after the buyers accepted our counter offer. However, two days later my husband was called for a job interview. This is his dream job and would drastically change our financial future and security without the physical strain. We immediately called our realtor and told her to put the sale on hold until we knew about the job. The buyer’s broker threatened to sue us for specific performance to collect his commission if we cancel. Being typically scared of legal threats and not even knowing if the job was for sure yet, we proceeded. Two weeks into the contract we got confirmation that my husband got the job and in that time we decided that if he did get it we would stay and not sell. (Due to the much higher prices and taxes in California from when we bought our home it would be a hardship to have to buy another house here even a smaller one). So I wrote a letter to the buyers explaining all of this and offering them double their out of pocket costs if they will withdraw the offer and let us stay. They aren’t investors- just a young unmarried couple who are planning a wedding in a few months and really liked our house. It’s not a money making deal for them because they are going 100% financing and the prices here are dropping. They have responded to us by saying they don’t want to back out. I now know by reading the archives that they could try to force us to close. My question is: what is the most likely scenario if we stick to our guns and say we’re not selling anymore- not to anyone? My brother-in-law who is a broker seems to think the courts wouldn’t force us out since we have a “legitimate” reason and we haven’t signed any escrow instructions or the grant deed. We are willing to pay above and beyond the buyers expenses from this. A RE attorney who spoke to me briefly on the phone suggested that it would take them a year to get us out if they wanted to and our house may not appraise for the purchase price anymore making the loan impossible??? I’d appreciate any advice.
Re: seller wanting to cancel purchase - Posted by Rich-CA
Posted by Rich-CA on July 09, 2007 at 13:52:08:
Read through your copy of the sales contract carefully. There might be something in the wording that allows a seller to back out. There are quite a few for buyers, so it stands to reason that a seller should have something that lets them not complete the sale. If not, perhaps the contract states what the liquidated damages are for backing out of a sale. It may be less than you think.
After you go through the contract carefully yourself, then contact a couple of RE attorneys with specific questions about what you have found.
Re: seller wanting to cancel purchase - Posted by test23
Posted by test23 on July 09, 2007 at 17:52:01:
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Re: seller wanting to cancel purchase - Posted by test
Posted by test on July 09, 2007 at 17:49:35:
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