Expert: Karyn Foley - 3/20/2007

Question
I found a TWNHouse that I was going to lease option.  After signing all of the paperwork.  I found out that the HOA may not approve me because the require a 600 credit score, the waiting period for approval went from 3-4 days to 3-4 weeks, and the homeowner's wife did not sign the contract to lease/option.  All the changes made me skeptical so I backed out.  The homeowner is telling me I cannot because I am bound.  The "newfound" information was not listed in the contract nor was it listed in the HOA bylaws.  I do not trust the seller, and I no longer want to lease option.  Him pushing my approval back 4 weeks has caused me to owe more money on my current apartment. DO I HAVE TO BuY/Lease THIS PLACE? HELP!

Answer
Dear Linda:  I am sorry you are going through such trauma about what should have been a happy situation.  Lease options and lease purchases are major problems, however, and so fraught with liabilities that wise agents tell their principals that they are deserving of legal support.  Your example is a case in point.  You should seek immediate legal counsel if you cannot come to an immediate signed agreement with the seller.  I do not have a copy of your paperwork, so I cannot even give minor advise.  All your questions can only be answere by some one who will examine each and every one of your clauses and determine what can and should be done.  You may indeed have recourse because the contract was not signed by the wise and depending on your contingencies, the approval period being changed may be an out as well as new found information that may have caused a reasonable buyer not to want to buy.  Please understand the the money you give to an attorney may save your more money in the long run.  If you do have an agent please have the agent get involved and see if that agent can reconcile the problem or be able to give you direction.  Some agents and companies work with attorneys who may be able to give a small consultation at little or no charge initially.  Real estate agents are ethically bound not to give leagal guidance unless they are attorneys:  We cannot practice law without a law license, so be leery of any agent that acts like a lawyer.  No one can force you to buy, but only an attorney may be able to limit or contain your financial liability.  Sometimes a letter from a lawyer works wonders and can halt litigation.  Good luck, and let me know what happens.  Karyn Foley