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purchased house without contigency of selling my home

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dkjack

Guest
What is the name of your state? NH
We purchased a home without putting in a contingency to sell our home because the sale of our current home was moving along so well and the sellers of the other home wouldn't accept a contingency. We have signed the purchase and sales on the new house and had the inspection as well as placed a down payment the day of the signing of the purchase and sales agreement. However, the people buying our house just had the inspection and even though we the inspection came back clean (other than the siding will need to be replaced soon), they backed out of the purchase - it was within their window to do so - I just don't understand why they backed out like that though. However, I cannot afford to pay for two houses and I don't know what to do because we are 'locked into the other house' and as I mentioned put a 5% down payment down. We have another week to secure our financing and I am wondering now if our financing will be denied and we can get out due to the mortgage/finance clause because we will not have the 20% we intended to put down as well as now carrying the debt of the other home we haven't sold.

I am so scared and don't know what to do - I just can't see being able to afford two houses until this one sells again.
 
Last edited:


Souix

Senior Member
dkjack said:
What is the name of your state? NH
We purchased a home without putting in a contingency to sell our home because the sale of our current home was moving along so well and the sellers of the other home wouldn't accept a contingency. We have signed the purchase and sales on the new house and had the inspection as well as placed a down payment the day of the signing of the purchase and sales agreement. However, the people buying our house just had the inspection and even though we the inspection came back clean (other than the siding will need to be replaced soon), they backed out of the purchase - it was within their window to do so - I just don't understand why they backed out like that though. However, I cannot afford to pay for two houses and I don't know what to do because we are 'locked into the other house' and as I mentioned put a 5% down payment down. We have another week to secure our financing and I am wondering now if our financing will be denied and we can get out due to the mortgage/finance clause because we will not have the 20% we intended to put down as well as now carrying the debt of the other home we haven't sold.

I am so scared and don't know what to do - I just can't see being able to afford two houses until this one sells again.

**Gosh, I agree with IAAL. You had no clause protecting you in case your house didn't close? You may have an out with regard to the financing, but thats only if you can't qualify for 2 mortgage payments. Call your lender on Monday and find out.

Does the seller know what going on? Maybe you can work something out and do an addendum so that you can change your contract to include a contingency agreement.
 

BrokerRE

Member
Okay, Okay

take it easy.

All of the previous posts rightfully pointing out your obvious errors aside, here is some useful advice.

You want to get denied for financing. Most purchase contracts have a financing contingency, although I cannot speak for yours specifically, there is a good chance it does.

If your financing is denied, then you're unable to follow through with the financing, and you're protected with a contingency.

Did I read the previous posts correctly? Are you not represented by a Real Estate Agent, or a Real Estate Attorney?

Do you mind if I print these posts to show clients?
 

I AM ALWAYS LIABLE

Senior Member
My response:

I can hear our original writer saying, "Oh, great. I screw myself, and all these guys can do is use my post to teach some other poor schmuck about what not to do!"

IAAL
 

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