Expert: Ray Beggs - 2/12/2007

Question
I signed a contract to purchase a new home but did not give deposit.  Can i back out?

Answer
Hi Eric,

Tricky question. Typically though, if escrow is not open and the buyer has not given his deposit it isn't too tough to stop a contract from going forward. You want to make sure that you put it in writing to EVERYONE involved, your intention to not go forward with the contract. I'd even take it a step further and do it by registered mail. If you're using a Realtor, they can also take care of the cancellation paperwork.

Best of luck,

Ray