Expert: liznarr - 6/17/2011

Question
Lets say i have signed an offer agreement and the buyer has paid for the home inspection and appraisal. i have decided not to sell my house, i have offered to reimburse the buyer for their out of pocket expense for the appraisal,and home inspection.What consequences am i getting into?

Answer
Hi Trever,

If the buyer agrees to let you out of the agreement between the two of you, get this in writing – but have an attorney draw up the agreement to terminate, spelling out the terms of the termination agreement so that you are completely protected from any possible future litigation.  

With a properly-worded legal termination of your agreement, other than paying for what you agreed to pay to terminate (and as long as the buyer is willing to accept that payment in consideration of terminating the agreement), you should have no other consequences.

If the buyer does NOT agree to terminate the agreement, I would think you could be sued for specific performance – i.e., be forced to sell your property according to the terms of your agreement.

Read your agreement carefully and see what the consequences are for Breach of Contract or Default.

Good luck to you, and feel free to write again if you have additional questions.

Regards,
Elizabeth