A Sale Gone Bad. What Can I Do?
The day before the closing date (May 30th) I was told that the buyer's financing could not be approved for the FHA loan due to a judgement on his credit. I am now being told by my realtor that I can not sell the house to another buyer until the 1st buyer releases the escrow money. However, he is refusing to release the 2k in escrow. He believes that the judgement will be removed any day now and he will be cleared for the FHA loan.
Qualified Buyer
As a flipper, I was counting on a banker's approval letter as confirmation that the proposed buyer's credit had been reviewed and (that for that moment) they qualified for the loan.
How can I get my house released so that I can sell to another Buyer?
Pre-qualify the Offer
Has anyone heard of running prospective buyers through a seller's choice of a pre-determined bank to get a solid review of their credit? I no longer consider prequalified letter from bank as something to be trusted. If I had known that there was issues with his credit, I would not have accepted his offer.
Suggestions?
I am wanting to get this home sold. Has anyone else experience this when selling (in Texas)? How can I handle this situation better?
Thanks in advance for the advise.
Most Popular Reply
Texas answer. While this title company would not close while the earnest money is pending, another will. Cancel and put the property back on the market and move forward. Additionally, send a demand letter to the buyer for the earnest money if they failed to obtain approval within the required period in the contract. Very dissapointing answer from your agent