Real Estate

[KarenHS]

I have signed a contract to have a home built in a particular sub-division. (August 2001) Meanwhile, I have found another homesite with another builder. I like the new location much better. Can I legally be released from the first contract. Permitting for the original house is expected by the end of this month (February 2002). Consturction has not yet begun on the first house. It is supposed to begin sometime in March. The permit for the original first house should be issued shortly. I have given a deposit of $1,000 with $4,000 (not yet paid) more due upon final permitting. I realize I will lose the deposit. What do I need to do to get out of this contract. I have mailed and faxed written notification of my request. I have yet to hear back but am anticipating a negative response.

Karen
Fredericksburg, VA

 

[HomeGuru]

Have an attorney review your contract. Most of the new home contracts that I have reviewed places full liability on the Buyer in the event of default. You would not only lose your deposit but will be liable for liquidated damages.