Is it posssible to withdraw(for buyer) from a signed accepted offer? (contingencies, clause)

[locaray7]

The buyer and seller has accepted an offer and it signed with the earnest money with the sellers agent in MA. Is it possible for the buyer to back out at this stage without any issues? The purchase and sale agreement has not been signed.

Thanks

[Rakin]

We don't know your local MA contracts. In TX you have several outs during the process. If you've signed & dated the contract, it's a contract. Many times you have a time period or "Option Period" to terminate.

Do you have an agent or an attorney?

[FalconheadWest]

If nothing is signed, you don't have a "contract" you only have an offer. How are offers binding?

[locaray7]

Yes, the actual purchase and sale agreement is not signed. But the offer is accepted and signed by both parties. Will this need an attorney?

Thanks

[2bindenver]

Is there an agent involved? Why have you put forth the effort to buy this property to try to back out now?

[jdm2008]

Originally Posted by locaray7

The buyer and seller has accepted an offer and it signed with the earnest money with the sellers agent in MA. Is it possible for the buyer to back out at this stage without any issues? The purchase and sale agreement has not been signed.

Thanks

What are the contingencies in the offer? Usually the inspection contingency is used to get out of a deal when you don't want to purchase the home anymore.

[Silverfall]

You are in MA. They do real estate differently out there. Your offer is binding but my understanding is that there is typically a clause that states there is a contingency on mutual agreement of the purchase and sale agreement. Yes you need an attorney or a MA agent to determine when you can step out of your contract if that is what you want.

[NY Annie]

Originally Posted by locaray7

Yes, the actual purchase and sale agreement is not signed. But the offer is accepted and signed by both parties. Will this need an attorney?

Thanks

Originally Posted by Silverfall

You are in MA. They do real estate differently out there. Your offer is binding but my understanding is that there is typically a clause that states there is a contingency on mutual agreement of the purchase and sale agreement. Yes you need an attorney or a MA agent to determine when you can step out of your contract if that is what you want.

You have a signed document; therefore, you have a contract. Read it.

The standard offer used in MA R/E refers to riders and addendums. It states:


NOTICE: This is a legal document that creates binding obligations. If not understood, consult an attorney.

Massachusetts Offer to Purchase Real Estate: A Binding Contract | The Massachusetts Real Estate Law Blog

An Accepted & Signed Offer Is A Binding Contract


Many sellers (and their brokers) are under the misconception that the offer to purchase is merely a formality, and that a binding contract is formed only when the parties sign the more extensive purchase and sale agreement. This is not true. Under established Massachusetts case law, a signed standard form offer to purchase is a binding and enforceable contract to sell real estate even if the offer is subject to the signing of a more comprehensive purchase and sale agreement.

I strongly urge you to consult an attorney. Mass Bar Association has a lawyer referral service. I can also refer you to an attorney who practices r/e in both RI & MA, depending upon which area you are in.

[MikePRU]

Read your offer contract. It will tell you how you can get out. Pay close attention to the contingencies section.

Alternatively, you can just back out and hope that the seller will return your money although they don't have to if you back out for no good reason.

[StilltheSame]

The inspection is usually a good out.