You are here:
- Home
- Real Estate
- Home Buying/Selling
- Buying or Selling a Home
- Cancelled Home Agreement
Buying or Selling a Home/Cancelled Home Agreement
Advertisement
Question
My Grandparents have sold their home and it is a month and a half before the closing date. Because they sold their home, they decided to build a new home and had to put down a large amount of money on the new home. Last night, the buyer said he lost his job and must now back out of the deal. As a result, my Grandparents can not afford the place they are building and are looking at losing all the money they put down. What are my Grandparents options? What legal responsibilities do all parties have?
Dear Bob;
The sales contract should be carefully reviewed. If the sale was subject to loan approval (assuming that the Buyers of your Grandparent's home were getting a loan) then there is nothing that can be done. However, most contracts have dates associated with contingencies and if those dates are met, then the buyers cannot back out of a purchase regardless of changed conditions. The point I am making is, they should have an attorney review the contract. If they are within their rights to demand that the Buyers go forward then they can exercise that right. However, if they do not have the right, then their other option is to put their home back on the market. They can also talk to a lender to see if they can get a "bridge loan" until their home sells.
~Jessica Bryan
Related Articles
- Bridge Loans - What are Bridge Loans - How Do Bridge Loans Work
- Home Equity Loans - What are Home Equity Loans
- Purchase Money Loan - What is a Purchase Money Loan
- Buying a Home - Buying Your First Home - Tips for Buying a Home
- If Your Home Doesn't Sell - When You Can't Sell your House - Alternatives to Home Selling
Answers by Expert:
- Dick Dennis
- Jessica Bryan
- liznarr
- Hans Weber, Licensed Broker Associate
- Sue Bernstein
- Karyn Foley
- Dottie Worthington
- Jim Root
- Russel Ray
- Connie Wildasinn-Broker,GRI,RealtorŪ
- Todd C. Menard
- Diann Tonnesen
- John Hendricks
- Jay Denit
- Matt Heisler
- Lisa Webber
- John
- Laurie Stephenson
- Marvin G. Bobbitt, III
- Nori J. Muster
- Sharon Huneycutt, Realtor, Associate Broker, GRI, e-PRO
- CJ Brasiel
- Jeff Kessler
- Kathryn Hisert
- Emily
- Ted Lewis
- Kerrin Kostelic, FL Broker Associate, GRI, AHWD
- Tim Norris
Jessica Bryan
Expertise
buying and selling process such as:
General questions from first time buyers
How to market a home
Why choose a REALTOR
How do I find a REALTOR
Should I consider buying or selling without a REALTOR--how much can I save
Should I remodel or move
How much can I expect to gain by fixing up my home before selling
Helpful tips when selling
Helpful tips when buying
finding a good mortgage loan
what is the difference between banks, mortgage bankers, and mortgage brokers
Questions from the general public, people thinking about getting their real estate license, newly licensed.
Fellow professionals who have interests in networking and how to get started
What is a market evaluation and how does it differ from an appraisal what are the different loan programs
services a REALTOR can perform
when to use a lawyer
when to use escrow
what are the regional differences in the buying and selling process
what is the MLS and how does it work
how can the layman access information on the web--listings and other information
These are just a few of the questions. I can suggest that if I am unable to answer a question I will refer the inquiry to a source that can.
Experience
Anyone who is in this business and who dedicates oneself to professionalism has continued to take classes and along with it,additional credentials, awards and honors. I can list a host of them, but my greatest accomplishments happen to be those of getting first time buyers (who didn't think they could afford to buy a home)into a home of their dreams. The look on their faces when I hand over the keys is worth all of the hard work.
©2012 About.com, a part of The New York Times Company. All rights reserved.