Hi good people,
I'm under contract for my first property in Florida since september 2020 !! That's because there was some work without permits on the property and the bank wants that to be rectified by seller before closing. He is in the process of getting the permits. In the meantime market exploded and i have a feeling the seller is not so eager to sell it to me cause he can get a better price now. He's been pretty slow in signing the extension. Since we're under contract my broker told me that he can't sell it to someone else unless i back out.
Is there a way that he walk away or contract expires if we don't have extension signed??
I don't want to back out if this deal,(its a good deal!) especially since i invested time/flights to FL/inspections..etc
This happened to me last March. Seller changed his mind and let the contract expire. I got my earnest deposit back and lost the property. It was a huge disappointment.
@Marko Bukva Yes, the seller has an easy out. He can’t “deliver clear title” to meet your lender’s requirements. I believe he’s only obligated to try for 10 days or so to “clear title” and permit issues are not really even a title issue, it’s take it or leave it on your part......your FARBAR contract spells this out in specific detail. I think the current FARBAR contract even addresses permit issues in the inspection contingency....as in they are not a title defect and need to be addressed through the inspection clause. Your broker seems to be overly optimistic, or just misleading.
@Nicole Heasley its kinda bummer if it’s happens..well I guess it’s also learning experience. This is my first deal and as time is passing I’m not so emotionally attached to it as I was in the beginning.
thank you Nicole
@Wayne Brooks we already had a few extensions as he is willing to sell (his words)
If he backs out, will I be able to recuperate some of the expenses ?
Flights, hotel, inspection, cleaning of the septic tank??
what do you think?
thank you Wayne
@Marko Bukva No, he has no obligation to correct the permits so he is not breaching the contract. You can’t close because of Your lender, a cash buyer could have already closed.