My bank went from offering me one interest rate, then increased it to another rate and now want to increase it to another. I refuse to pay such a high interest rate! Will my earnest money be reinbursed if the appraiser and surveyor have already completed their work???
When is it too late to back out of buying a house?
2007-06-12 06:59:40 · 6 answers · asked by Smiles 4 in Business & Finance ➔ Renting & Real Estate
It depends on whether your offer to purchase contained a financing contingency specifying the maximum rate of interest you would pay. Such contingencies are regularly used where I do business.
In a nutshell, the part of the offer to purchase covering this contingency says "this offer is contingent upon the buyer being able to obtain financing for X amount amortized over not less than X years at a maximum (fixed or variable) rate of X percent.
If there is no such contingency, your earnest money is probably lost, and you can possibly expect to pay the survey and appraiser fees as well.
As a side note, the first respondent is correct in that you can back out right up until the moment of closing, but NOT without repercussions in terms of money and potential litigation on the part of the seller.
2007-06-12 07:05:50 · answer #1 · answered by acermill 7 · 2⤊ 0⤋
Always make your contract based on getting financing. If the terms are different than originally told to you then you should be able to get your earnest money back.
2007-06-12 16:39:29 · answer #2 · answered by Brian E 1 · 0⤊ 0⤋
It's never too late until the documents are signed. You won't be reimbursed for what you paid the appraiser and surveyor, but a lot of times you can get your money back. Depends on how far along in the transaction you are and how understanding the seller is, tho, so good luck!
2007-06-12 07:10:10 · answer #3 · answered by cbatey73 1 · 0⤊ 0⤋
Your earnest money is most likely lost.
Every state is different.
You did not indicate what state you live in.
Earnest money is to prove to the seller you are
"earnest" in your offer for the propery.
As liquidated damages, the seller usually get's to keep your earnest money in return for not suing you for specific performance. (buying their house)
Terry Smith
http://www.Welcome2Arizona.com
2007-06-12 10:48:07 · answer #4 · answered by Terry S 5 · 0⤊ 0⤋
Get Money Taking Surveys - http://OnlineSurveys.uzaev.com/?CvZP
2016-07-08 05:45:42 · answer #5 · answered by ? 3 · 0⤊ 0⤋
you can back out until right before you sign the papers
call your escrow officer and explain the situation, many times they can help you or negotiate back the interest the bank quoted you
2007-06-12 07:03:51 · answer #6 · answered by Anonymous · 0⤊ 0⤋