Virginia Beach, VA · Member since 2014 · 31 posts · 0 votes
I got a property on MLS under contract. I just realized the rehab cost would be more than the estimate. I have 3 days to closing. The comps that the hard Money lender are using is lower than the accual comp.
a) Can I renegotiate the contract(price) or I cannot change it.
Flipper/Rehabber · Bryan, TX · Member since 2014 · 258 posts · 170 votes
11y
what does your contract say? That will tell you your options. Why are the rehab costs higher than expected? What was discovered after your option period that change things? Can you fail them back? What do your comps say? Why does it matter what your lender says the comps are? Is it requiring more money down than you expected? Do you have a financing adendum that could get you out of the contract or you can use to leverage the price?
Severna Park, MD · Member since 2013 · 7k+ posts · 7k+ votes
11y
You can try to renegotiate , I dont see it happening , 3 days before , I would look at my contract line by line you may find something . But it sounds like you are going to doing some sweat equity .
Investor · Bethlehem, PA · Member since 2015 · 84 posts · 34 votes
11y
i don't know your market or property, but cutting back on your rehab to only include necessities and then holding the property as a rental could be an option as well.
Investor · Waynesville, NC · Member since 2014 · 408 posts · 121 votes
11y
You can always walk, but you will lose your earnest money. Waking out on a contract is definitely not something you want to do unless you have to. You don't want to develop a bad reputation.
Virginia Beach, VA · Member since 2014 · 31 posts · 0 votes
11y
Thank you all for your feed back. I just withdraw from the Deal . The seller has not sign on the contract just told my realtor to withdraw from the deal.