Almost a month past original closing date -should i consult atty?

Question

I will try and make this as brief as possible but I need some advice. You all have been very helpful in the past and I'm hoping you can help me again.

I am selling my pre-owned mobile home on 1.5 acres in the DFW area of Texas. I DO have a real estate agent who is very good. Mobile home is in very good condition and got under contract quickly with well qualified buyers.

Appraisal took FOREVER to come back (and you guys on the board helped me through that long process). That was what originally pushed our September 14th closing date back by a week. Then the loan officer said "oh gee, I'm still waiting on a septic tank inspection report and a well water report." Things that should have been done while waiting for the appraisal in my opinion! So there went another few days, then it went to underwriting, underwriting kicked it back and said we had to put in a driveway! Stupid if you ask me but we got that resolved.

Finally it went back to underwriting for the final time. Underwriting kept it for a week!!! Friday, it came out of underwriting and they said to have the buyers do one more verification of employment since it's been so long. Seems to me the loan officer would have thought of that already and been prepared for that. Monday was a bank holiday and nothing got done, yesterday the buyers were still waiting on their employers to send another VOE to the loan officer, today it's almost noon and I haven't had an update.

Whenever they get the VOE back, hopefully underwriting gives the clear to close and then we can finally get under the 3 day TRID/RESPA but Friday will mark a full month since our original projected closing date! I'm thinking that if we aren't in the 3 day waiting period with the buyers by Friday, I should just pull the plug on this.

In the meantime, we had already moved out a few days before the original closing date, rented PODS for our stuff, had to move in with family, lost out on being able to purchase a few homes we liked, and still of course having to pay for our house. I feel like if we refuse to extend the contract again on Friday, we should have some sort of recourse financially because this has been a nightmare! Does anyone know if the law would be on our side for something like this?

-Sarah

Sarah Pratt · Answer

Wayne, maybe 4, 5, or 6 extensions is reasonable to you but when you're told every week that you will close the following week, you start getting a little irritated. For the past month it has been "a few more days" or "next week" and at what point do we say forget it?

Scott, they put $1500 down and it's an FHA loan. I have read that same language in the TAR contract and didn't understand what it means. It doesn't make it very clear what exactly we would be entitled to.

I don't WANT to do anything except close on my house but even though I understand that mobile home loans are very difficult, this seems to be a little excessive.

Wayne Brooks · Answer

So, you want to pull the plug on this, over maybe a few more days or a week, so you can Start Over, After you find a another buyer? Think about that for a minute, huh? And no, not likely you can get reimbursed for any "expenses", or "distress" if you don't extend.

Scott MacArthur · Answer

How much EM did they put down? Are they goiing FHA or Conv?

If they are in default look at your contract. Per TAR contract...

15. DEFAULT: If Buyer fails to comply with this contract, Buyer will be in default, and Seller may
(a) enforce specific performance, seek such other relief as may be provided by law, or both,
or (b) terminate this contract and receive the earnest money as liquidated damages, thereby
releasing both parties from this contract.

I flipped a pre owned mobile home with land this year in Justin and there were only a few lenders that could get it done when I researched it before purchasing. It sounds like someone is dropping the ball. I will extend the contract typically 1 time for no more than a few days then I start requiring additional EM after that to extend.

Hopefully the get the VOE today and things move forward for you. Best of luck!

Almost a month past original closing date -should i consult atty?

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