We back out cause buying the house was putting strain on our marriage. I really feel that no house is worth my marriage or my family. We understand that we are losing the earnest money we out up. We just want to walk away.
2007-05-08 04:07:00 · 5 answers · asked by ethan_tonya 1 in Business & Finance ➔ Renting & Real Estate
You can back out at anytime before you pay the full down payment on the house. Read your papers--does it state non-refundable earnest money? If it DOES you will lose the all of the money, plus you will have to pay the administration fees for the process to the escrow company.
If is DOES NOT state non-refundable, you can get the earnest money back minus the administration fees.
2007-05-08 04:29:22 · answer #1 · answered by D S 4 · 0⤊ 0⤋
Legally, you might not be able to back out of the deal. Many areas, have laws that state once you put up a down payment or deposit, then you agree to buy the property. About the only way you can back out of the deal is if you can prove with letters from several different banks that you can't get financed on the home and don't have the rest of the money.
If even one bank say yes to financeing, you are legally obligated to buy the house.
My guess is that the strain on your marriage is either coming from the fact that your spouse thinks you can't afford the property or doesn't really like it...in that case the spouse should have made his or her feelings known before the
deposit or downpayment was made....and you should have listened.
2007-05-08 04:37:38 · answer #2 · answered by txharleygirl1 4 · 0⤊ 0⤋
If you have already made an offer, and it was accepted, then there could be an issue. You can always walk away from a deal, however, there might be some financial implications. The seller can come after you for any difference in what you were going to pay, and what it actually sold for, and any cost in between.
For example, say you made an offer for $200,000. However, you cancel the deal. If the seller is only able to get $190,000 you are directly responsible for the other $10,000 (if they decide to take you to court). Also, if the real estate agent/seller has to spend anoth $1,000 to sell the property, you are also responsible for that.
Remember, you are only responsible once the seller has sued you for breach of contract. And of course, if the seller makes more than what you offered, you are not responsible for any monies at that point.
2007-05-08 04:22:34 · answer #3 · answered by drp2505 2 · 0⤊ 0⤋
It all depends on how the contract is written and what state you were in.
If you don't legally terminate or cancel the contract before you walk away the seller can sue for specific performance. Which means they can force you to uphold your agreement.
At this point I would stop depending on the realtor and speak to a contract attorney, who can analyze your contract and explain to you the legal repurcussions of not upholding your side of the deal.
The seller is often within legal grounds to go after much more than just the earnest money.
2007-05-08 04:48:35 · answer #4 · answered by Anonymous · 0⤊ 0⤋
No one can force you to the 'table' to close on your agreed offer to purchase. However, you CAN be sued quite successfully for any losses you caused to the seller by your actions. A valid accepted offer to purchase is a legally binding contract between you and the seller of the property. If you elect to walk away from your legal commitment, litigation is quite possible, and not uncommon.
Absent any decent excuse to 'walk away' (marital stress is not considered a decent reason by judges/juries), the outcome of any such potential litigation would doubtlessly be in the favor of the seller.
2007-05-08 04:25:59 · answer #5 · answered by acermill 7 · 0⤊ 0⤋