Seller backs out when buyer is late and wants deposit money.

[attiken]

state? California

I am buying a home. Due to lender issues, we were 5 days late of closing date, and found out we would have to wait another 2 weeks to close.

Seller decided that they no longer want to sell home and are pulling out of escrow and are not re-listing. They are asking for me to pay all of there termite inspections, tenting, and repairs. ($1800)

Do I have any standing to not pay them? Our funding is coming through and we still want to purchase. They have gotten sellers remorse during the escrow period and jumped on this oppurtunity to stick me with all their costs and make like it never happened. I of course still have all of my own non-refundable costs, such as inspections, appraisals, etc.

 

[HomeGuru]

state? California

I am buying a home. Due to lender issues, we were 5 days late of closing date, and found out we would have to wait another 2 weeks to close.

Seller decided that they no longer want to sell home and are pulling out of escrow and are not re-listing. They are asking for me to pay all of there termite inspections, tenting, and repairs. ($1800)

Do I have any standing to not pay them? Our funding is coming through and we still want to purchase. They have gotten sellers remorse during the escrow period and jumped on this oppurtunity to stick me with all their costs and make like it never happened. I of course still have all of my own non-refundable costs, such as inspections, appraisals, etc.

**A: the termination and costs of same must be pursuant to the contract and/or negotiated by the parties.

 

[attiken]

Thank you for the response.

Are we in default because we did not close in 30 days and because our loan wasn't met by the loan contingency date as stated on the Purchase Agreement?

We did not request for an extension as we'd figure we'll close within reason.

There's a $7k deposit. Do the seller's have a right to all of the money?

They told our agent that they'll sell, but not now. They can use the termite report and don't have any termite costs if they sell to another within 6 months of the report and repairs.

They found themselves that they can't afford to pay for anything and want to cancel while we're waiting for our loan AFTER the loan contingency date without a signed agreement for an extension.

 

[HomeGuru]

Thank you for the response.

Are we in default because we did not close in 30 days and because our loan wasn't met by the loan contingency date as stated on the Purchase Agreement?

**A: yes, most likely, if there is no closing extension provision in your contract.
********

We did not request for an extension as we'd figure we'll close within reason.

**A: so there you go.
********

There's a $7k deposit. Do the seller's have a right to all of the money?

**A: I don't know. What does your contract state?
********

They told our agent that they'll sell, but not now. They can use the termite report and don't have any termite costs if they sell to another within 6 months of the report and repairs.

They found themselves that they can't afford to pay for anything and want to cancel while we're waiting for our loan AFTER the loan contingency date without a signed agreement for an extension.

**A: talk to your agent some more.

 

[attiken]

Sorry for the late reply.

To clarify: we have $7k in deposit. The sellers are asking we pay all their termite costs. (In the neighborhood of $1800) It would appear as best I can tell that the contract gives the sellers the right to collect on their expenses if we fail to produce.

My question is this: If we were to take this to court, is their any possibility that it would be weighed on the merits of intention rather than to the exact letter of the contract?

We would have closed, and we have the documentation to prove it, but the sellers decided to no longer sell their home. They get to keep and live with all the repairs that were done, and we have to pay for them.

Should I go to court or should I take my lumps and learn the lesson?

 

[HomeGuru]

Sorry for the late reply.

To clarify: we have $7k in deposit. The sellers are asking we pay all their termite costs. (In the neighborhood of $1800) It would appear as best I can tell that the contract gives the sellers the right to collect on their expenses if we fail to produce.

My question is this: If we were to take this to court, is their any possibility that it would be weighed on the merits of intention rather than to the exact letter of the contract?

**A: no, unless the contract language was confusing and unclear and there was a "meeting of the minds" where such was not in writing contained in said contract.
**********.
We would have closed, and we have the documentation to prove it, but the sellers decided to no longer sell their home. They get to keep and live with all the repairs that were done, and we have to pay for them.

Should I go to court or should I take my lumps and learn the lesson?

**A: have a real estate attorney review your contract.