new construction contract

[[email protected]]

We signed a new construction contract with a builder. The bank appraised it out at $13,000 less than what we signed the agreement for. Do we still have to go ahead with the construction? What if the mortgage company will not give us the loan amount.

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by [email protected]:
We signed a new construction contract with a builder. The bank appraised it out at $13,000 less than what we signed the agreement for. Do we still have to go ahead with the construction? What if the mortgage company will not give us the loan amount.<HR></BLOCKQUOTE>

Was the contract subject to the appraisal? If you can not get the loan amount, the difference must be paid by you in cash. You should have a real estate attorney take a look at the contract and advise you accordingly.