buyer walked out one week befor closing? (mortgage, sale, settlement)
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Thank you for your input. Yes,We had a house for sale and a week befor the closing I got the phone call that said,"due to the buyer getting a loan for a car" lowered something that the loan fell through. Do I have any grounds to get any money for the time it stayed off the market?
What happened is the buyers debt to income ratio (aka DTI) changed when he bought the car. If the payment was 450 bucks and that was free to use on the house now it's reallocated to the car purchase. Unless the buyer got a 450 dollar raise to offset the purchase he now can't afford the house as far as the bank is concerned.
Kind of stupid because buyers are told not to go and make any large purchases such as cars furniture or shopping sprees.
The buyer most likely forefeited any deposits but I would go see a lawyer because you may have all sorts of legal venues to use.
Thank you for your input. Yes,We had a house for sale and a week befor the closing I got the phone call that said,"due to the buyer getting a loan for a car" lowered something that the loan fell through. Do I have any grounds to get any money for the time it stayed off the market?
I don't think that there is any monetary damage for the time that it stayed off of the market because after all, what exactly did you lose ?
Normally, the sales agent would have been taking backup offers if the house falls out of escrow that would step in place.
I don't think that there is any monetary damage for the time that it stayed off of the market because after all, what exactly did you lose ?
Normally, the sales agent would have been taking backup offers if the house falls out of escrow that would step in place.
the biggest thing one could lose, A PROSPECTIVE BUYER. Honestly most people will not fool with placing back ups offers, most houses close and people don't want to be disappointed.
the biggest thing one could lose, A PROSPECTIVE BUYER. Honestly most people will not fool with placing back ups offers, most houses close and people don't want to be disappointed.
I understand your perspective but in Southern California, it's a standard practice to take back up offers since there is a probability that something will happen in escrow that will negate the sale and no listing agent wants to go back to square one with remarketing their listing. It's a hedge option especially in areas that are highly desireable neighborhoods that don't have a high turnover rate like within a couple miles of the beach.
Plus, in a lot of times, the backup offer may be better.
However, I'm not advocating any agent to adopt these business practices if it's not a common practice in their area as this type of market is not probably not prevalant in other states.
I understand your perspective but in Southern California, it's a standard practice to take back up offers since there is a probability that something will happen in escrow that will negate the sale and no listing agent wants to go back to square one with remarketing their listing. It's a hedge option especially in areas that are highly desireable neighborhoods that don't have a high turnover rate like within a couple miles of the beach.
Plus, in a lot of times, the backup offer may be better.
However, I'm not advocating any agent to adopt these business practices if it's not a common practice in their area as this type of market is not probably not prevalant in other states.
backups are just not something outside a hot market I have seen, its always an option though.
most folks just move on though as I would even with a multiple bid, I would not get dragged into
a bidding war, there is always something better or just as good around the corner or coming around in short. I put an offer on a house last year and it been sitting for a few months, lol of course someone
else gets involved during counters, now we have multiple offers. I just backed on out let the others
have it, then got a call from realtor asking if I wanted to submit another offer, no I don't.
in retrospect I am happy I didn't get it, has an HOA and I am now firm on never getting into HOA
properties again.
the biggest thing one could lose, A PROSPECTIVE BUYER. Honestly most people will not fool with placing back ups offers, most houses close and people don't want to be disappointed.
Backup offers are common here. Things fall out of escrow all the time, and the buyer gets to keep looking in the meantime. There is no disadvantage for a buyer to be in backup position.
Backup offers are common here. Things fall out of escrow all the time, and the buyer gets to keep looking in the meantime. There is no disadvantage for a buyer to be in backup position.
in my opinion why have a standing offer when if the house loses favor you might get it cheaper
down the road. outside a hot market I can not see why anyone would put in a backup unless they
were emotional about the house and that not a smart buy.
in my opinion why have a standing offer when if the house loses favor you might get it cheaper
down the road. outside a hot market I can not see why anyone would put in a backup unless they
were emotional about the house and that not a smart buy.
Investors do it all the time. Even in the down market they did it because those really good deals are worth it.
Thank you for your input. Yes,We had a house for sale and a week befor the closing I got the phone call that said,"due to the buyer getting a loan for a car" lowered something that the loan fell through. Do I have any grounds to get any money for the time it stayed off the market?
You and your real estate agent need to sit down and read the contract. There is a possibility of being able to retain the earnest money deposit but it all goes back to the contract. I'm sorry this happened to you; how frustrating for all involved.
Investors do it all the time. Even in the down market they did it because those really good deals are worth it.
I am really speaking to a buyer that is buying a home to live in, one that they can get a decent price
on and not get into backups, multiple bids, just purchase smart. Investors that is a whole other catagory.
They are in the know on short sales and foreclosures, I am sure they back up and fight for cheap properties.
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really?
