FHA Buyers Worth The Trouble?

Buying & Selling Real Estate
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FHA Buyers Worth The Trouble?

Ryan Collins
Flipper/Rehabber · Houston, TX · Member since 2016 · 77 posts · 19 votes

Just a general question if anyone is familiar...

If a FHA buyer reaches an agreement with a seller and makes the offer contingent on multiple repairs, the seller agrees and makes the repairs based on that agreement, and then on final walkthrough the day before closing the buyer pulls from the deal on reasoning that they are not pleased with the aesthetic of a minor repair, but does not allow the seller A chance to rectify... Does the seller have no recourse?

I’m being told no but it seems like it completely voids the purpose of earnest money. Just curious to see if anyone has direct experience or knowledge.


This is in Ohio btw

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  • Remington LymanBusiness Member
    Real Estate Agent · Columbus, OH · Member since 2017 · 6k+ posts · 7k+ votes
    6y
    Originally posted by @Ryan Collins:

    Just a general question if anyone is familiar...

    If a FHA buyer reaches an agreement with a seller and makes the offer contingent on multiple repairs, the seller agrees and makes the repairs based on that agreement, and then on final walkthrough the day before closing the buyer pulls from the deal on reasoning that they are not pleased with the aesthetic of a minor repair, but does not allow the seller A chance to rectify... Does the seller have no recourse?

    I’m being told no but it seems like it completely voids the purpose of earnest money. Just curious to see if anyone has direct experience or knowledge.


    This is in Ohio btw

    So you can never really get the EMD if you are the seller unless you want to try to sue or they agree to release it to you

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  • Ryan Collins
    OP
    Flipper/Rehabber · Houston, TX · Member since 2016 · 77 posts · 19 votes
    6y

    @Remington Lyman incredible man... but thanks for that info. So the extent of the damages that can be pursued is only the EMD? Nothing to compensate for the time of tying up the home, making the requested repairs on their behalf, etc?

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  • Remington LymanBusiness Member
    Real Estate Agent · Columbus, OH · Member since 2017 · 6k+ posts · 7k+ votes
    6y
    Originally posted by @Ryan Collins:

    @Remington Lyman incredible man... but thanks for that info. So the extent of the damages that can be pursued is only the EMD? Nothing to compensate for the time of tying up the home, making the requested repairs on their behalf, etc?

     You can sue for anything but that does not mean you will win. It also does not mean you will win more than what it costs you to sue. The purchase contract in Columbus, Ohio is biased towards the buyer.

    *None of this should be taken as legal advice as I am not an attorney and you should see legal counsel.

    I have a list of lawyers I can send you.

    [email protected]614-541-8475Podcast Guest on Show My Job Laid Me Off, So I Replaced My Salary with Rentals
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    WebsiteView Page
    1Reply
  • Ryan Collins
    OP
    Flipper/Rehabber · Houston, TX · Member since 2016 · 77 posts · 19 votes
    6y
    Originally posted by @Remington Lyman:
    Originally posted by @Ryan Collins:

    @Remington Lyman incredible man... but thanks for that info. So the extent of the damages that can be pursued is only the EMD? Nothing to compensate for the time of tying up the home, making the requested repairs on their behalf, etc?

     You can sue for anything but that does not mean you will win. It also does not mean you will win more than what it costs you to sue. The purchase contract in Columbus, Ohio is biased towards the buyer.

    *None of this should be taken as legal advice as I am not an attorney and you should see legal counsel.

    I have a list of lawyers I can send you.

     Got it. Yea if you don't mind that'd be great. 

    1Reply
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