As a buyer can I back out of real estate deal after the papers have been signed?

Answer 1

If you are speaking of an accepted offer to purchase, you have signed a legal binding contract with the seller to purchase a property. If you default on this agreement, you will most assuredly lose any earnest money you placed in escrow, and may as well be sued for specific performance of the contract by the seller.

If you are talking about backing out AFTER the closing of the purchase (believe it or not, I've had people think they have a three day recission on real estate purchases), the answer is NO. If this is your situation, your only option is to relist the property for sale and find a buyer for it.

Answer 2

If you have an real estate agent that knows what they are doing, there should be a few contingency clauses written in. If it's not too late, you may be able to get out without having to sacrifice earnest money. How long ago did you sign the papers? Have you had all the necessary and agreed upon inspections? There are usually ways to get out of it, unless you are near closing time. You need a buyer's agent or attorney to represent you and help you with this. You may lose your earnest money, but you could be sued. It's called a "suit for specific performance." The sellers could sue you and force you to go through with the deal, plus pay legal fees. I could help you more if I knew more details.

Answer 3

Look over the papers. There are normally conditions or contingencies in the contract. You might have the right to inspect or you might have to find and qualify for the right kind of loan.

Failing everything, a seller might allow you to back out as long as you request it very soon after signing the contract.

If you are the seller it is more difficult to back out but again you can ask and perhaps the buyer will let you back out or "buy your way out" by paying some sort of fee.

Remember it is very common to have second thoughts (wedding day jitters, buyers remorse, whatever) and it does not mean you made a bad choice. Think about about it and don't jump out of the deal just because you are in a panic because "there might be something better if I just wait long enough".

Now on the other hand if the papers you are talking about are the closing papers...if it is legally your house now...I don't think you can back out of that.

Answer 4

It depends on WHY you want to back out, and how the contract is written. Many times contracts have contingencies with specific penalties written in.

You should also ask your self if besmirching your name and credit in this way is worth backing out of the deal. If you just found a better deal, or don't like the house, or don't like the neighbors, then I dont think it is worth it. If you have incured some serious life-changing event between the time you signed the papers and now, then I think it is legitimate to back out.

If your contract does not have an explicitly written "out" you can still back out if you really have to. But you should retain a reputable real estate attorney, because you may be the target of legal action, depending on who loses money in the deal.
(was this a private party deal, direct from builder, did you have an agent? Was this a matter of you not getting the right loan?)

Answer 5

If you have signed the note and mortgage on a purchase, along with the other documents, then the deal is done and there is no turning back. No exceptions, ever, unless you can prove you were somehow "forced" to sign closing papers under duress.
Good Luck.

Answer 6

Listen I do not know for how long, but by law there is supposed to be a grace period on mortgage papers, for example...it's like a "remorse clause" but it's just a few days or a week....on a real estate deal where you've paid cash, I do not know....I would call my attorney if you cannot find your rights in the fine print of your contract...

Answer 7

What papers? If it is a loan offer, then yes, but you'll probably loose your earnest money deposit. Are you talking about the loan papers.... if so, then the answer is no. You should seek the advise of a good real estate attorney to see what your options are.

Answer 8

You need a real estate attorney. I am not an attorney but generally there is a right of rescission for contracts. If you are beyond the three days, consult your Realtor and an attorney.

Answer 9

can i ask please why do you want to back out ??
is it something that can be resolved ?
is there a problem with the house or something in it ?

how long ago did you sign the papers ?

how much did you pay for the house ?

if it was a lot then they may not want to refund the money

have you actually paid for it yet ??

if not dont pay it yet see a lawyer first

Answer 10

Most REPC (real estate purchase contracts) are contigent on you getting financing. You might lose your earnest money, but I suggest not getting a loan. ie you didnt get financing.