Walk Away From Purchase Agreement

Outside of contingent periods, it is easier to postpone the purchase of a home before signing the purchase contract. If you decide to leave after this period or after the expiry of the contingency periods, you will find it much more difficult to do so without finding yourself in legal or financial difficulties. There`s almost always a way out of the contract, but the question that worries you the most is whether you can do it without losing your serious money. Serious money is the money you pay when you submit the purchase agreement to show that you are serious about buying the home. Depending on why you want to leave, you may lose that amount. Usually, when people decide to walk away from a purchase agreement, it`s because the home isn`t right for them, but there are occasions when homebuyers realize that their own situations or other issues are preventing them from easily proceeding with the purchase of the home. Here are some examples of circumstances that can cause a buyer to get “cold on your feet” after signing a purchase agreement: At some point, there must be extreme circumstances in which the seller will let you get away with the serious money – something like illness, job loss, or other catastrophic event. Pay particular attention to the quota periods set out in the agreement. For example, you may need to have your home inspected (and request repairs/credits) within seven to 14 days of ordering. A financing case may need to be satisfied within 30 days to obtain the final credit authorization. If you need more time to complete an emergency task, your real estate agent will likely need to file a contract supplement that the seller will need to approve to get an extension.

The short answer: yes. If you sign a contract for the sale of real estate, you are legally bound by the contractual conditions and give the seller a deposit called serious money. Serious money shows the seller that you are serious about buying the house and consider sticking to the agreement. But if there are contingencies, withdrawing an accepted offer is completely legal while ensuring that, in most cases, you get your serious money back. If you withdraw due to an emergency issue, because the seller has not revealed a known problem with the home, or because of a force of nature, you will likely get a serious refund. If the reason you want (or have to) leave is because you`ve changed your mind, you risk losing serious money. If a home inspection reveals problems, usually based on your specific contract, you can either ask the seller to do the repairs or walk away from the company. .