Does Virginia have cooling off period for real estate contract? (sales, homeowners association)

[TheSugarRush]

Hello all,

I just signed a purchase contract with a builder this past Saturday. The contract is for a townhome that will be completed by Nov this yr. It is located off route 50 in Loudon County.

I think I am going to back out of the contract. Since I am not going to relloc to that area until 3rd quarter of next yr, I think I'd rather wait what happen to the housing market in between now and may mid of next yr. Anyway, inventories are high in that area.

I recall there is a 3 day cool-off period for all real estate transaction in VA, no?

Can I just email/fax the cancelation request to the builder's sales representative? Or do i need to draft the cancelation form/letter and Fedex?

Anyone have a draft or perhaps link for a template of such letter?

Thanks!

[mojo_1979]

Originally Posted by TheSugarRush

Hello all,

I just signed a purchase contract with a builder this past Saturday. The contract is for a townhome that will be completed by Nov this yr. It is located off route 50 in Loudon County.

I think I am going to back out of the contract. Since I am not going to relloc to that area until 3rd quarter of next yr, I think I'd rather wait what happen to the housing market in between now and may mid of next yr. Anyway, inventories are high in that area.

I recall there is a 3 day cool-off period for all real estate transaction in VA, no?

Can I just email/fax the cancelation request to the builder's sales representative? Or do i need to draft the cancelation form/letter and Fedex?

Anyone have a draft or perhaps link for a template of such letter?

Thanks!

I take it your an impulse shopper?

[TheSugarRush]

Originally Posted by mojo_1979

I take it your an impulse shopper?

The builder gave me a good deal, at least that's what I thought at that moment. Close to $20K off from listing price of $370K + $20K free options and $10K closing cost help. But after I came home and did a bit more research, I think it will be better if I wait to buy when it is closer to my actual reloc date. I will get a better outlook on the housing market (mess) the longer I can postpone this purchase. I agree if I am going to live in that townhouse as soon as it is built in Nov08, then now is an ok time to buy. Being in the buyer's market and all.

In my circumstances, I am tempted to wait at least closer to my actual reloc date and hoping to get a better deal .

3 days cooling off period after the signing of a real estate contract in Virginia, exists or no?

[5stones]

that's what I thought at that moment. Close to $20K off from 'actual' price, $20K in option and $10K closing cost help. But after I came home and did a bit more research,

yes, you are an impluse buyer and nopw you have buyer remorse. most people do the research before purchasing A MAJOR appliance let alone a HOUSE!

this is part of the reason the housing market is a mess.
sorry, you won't get any sympathy from me.

BUT...I do think there is a 48hour back out clause...I call my realestate agent and get on it pronto.

[car54]

There is no cooling off period or rescission period unless it is written into the contract. Once the contract is signed and accepted by both parties, it is a legally binding document.

[Margery]

If the new home is in a "common interest community", i.e., has a homeowners association, you have 3 days from receiving the information packet to cancel the contract. Usually, the builder's representative has you sign the receipt when you sign the purchase agreement. Read the receipt, it will tell you how to cancel. You better get on this immediately if you signed it Saturday, today is the third day.

If there is no HOA, you are SOL and will need an attorney to get out of this, if indeed you can. Why would you rush into such an important decision without doing your homeowrk first? Sometime I think people do more research before buying a car than they do before buying a home.

[VRE332]

Originally Posted by Margery

I think people do more research before buying a car than they do before buying a home.

Depends on what type of home, because mobile homes can be crash tested. okay, just laugh and move on

[TheSugarRush]

Originally Posted by 5stones

yes, you are an impluse buyer and nopw you have buyer remorse. most people do the research before purchasing A MAJOR appliance let alone a HOUSE!

this is part of the reason the housing market is a mess.
sorry, you won't get any sympathy from me.

BUT...I do think there is a 48hour back out clause...I call my realestate agent and get on it pronto.

I am sorry, but this is my 1st home. Lesson learned.

[TheSugarRush]

Originally Posted by Margery

If the new home is in a "common interest community", i.e., has a homeowners association, you have 3 days from receiving the information packet to cancel the contract. Usually, the builder's representative has you sign the receipt when you sign the purchase agreement. Read the receipt, it will tell you how to cancel. You better get on this immediately if you signed it Saturday, today is the third day.

If there is no HOA, you are SOL and will need an attorney to get out of this, if indeed you can. Why would you rush into such an important decision without doing your homeowrk first? Sometime I think people do more research before buying a car than they do before buying a home.

I see the clause in the contract, it says 3 days are given to allow cancelation from receiving the HOA doc. I did received the hoa doc on the same day I signed the contract. The hoa doc were given to me on the spot. ..I am going to get on it right away. Thanks for the help!

[ShannonMilligan]

Go NOW to cancel it. Today is the third day and you don't want to have them hold you up. RUN to that office...leave work and go there NOW.

ANd everyone else remember that first time home buying is very exciting and you can get caught up in the moment. ESPECIALLY at new home builders...the pressue is enourmous and they entice you with great incentives and it is hard to say no. I think he learned his lesson.