Closing delay bcs of Seller....what are my options
I m purchasing a house cash.
Everything was on track to close. On the day of closing my title company emails me to reach out to the seller bcs they have not responded to any emails.
There s a mortgage that needs to be released from the seller. They were informed weeks ago and the seller claimed that it would not be a big deal, "their company will take care of it". Two and half weeks later and it's Still not taken care of. They are offering no potential deadline of when it will be done.
This is slowing me down bcs I have to travel to a different state to deal with the remodel, meanwhile I have other projects I can't really get started on bcs of this delay.
Do I have any options?
Do either cancel the contract or renogogiate???
♦️♦️Details - No realtors or Lenders involved, it was a low budget Properties from a large wholesaler LLC.♦️♦️
It was going to be my first experience flipping. Great price, okay location. I m not in love with the deal but took it on as a great opportunity to keep up momentum of making real estate transactions.
I have options for better deals now which I didn't have then.
Thanks
Most Popular Reply
If you are not in love with the deal, you MAY be able to just walk away from the purchase.
Typically your contracts will have an "out" if someone doesn't close on time. You typically have the option to extend, but it does not automatically happen. The iffy part though is since you are buying from a wholesaler, you are at the mercy of the contract they presented to you. Your options are entirely based on the way their contract is worded and whatever terms it has in it. A lot of wholesalers make the wording of their contract so that they will almost always get to keep earnest money.
My best advice would be to re-read your purchase agreement and see if there are any options for you based on that. If it isn't specifically spelled out in the contract, you will most likely loose your earnest money if you back out regardless of the reason.