• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

Seller Does Quit Claim Deal after Contract Signed

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.

newpb1

Junior Member
Hi Guys,

Myself and the seller signed a contract to purchase a property here in Palm Beach on November 15, 2008 to close on this December 10. But I have recently found out that this seller did a quit claim deed handing the property over to his corporation on November 21, 2008. Which makes the initial contract invalid. Not only is the contract invalid but I am not able to get a FHA loan or any loan for that matter approved for this property since it is < than 90 days the deed of the property has been transferred.

So to my questions are Is this legal for the seller to do after a signed contract is in place? and Is there any other way this transaction can be completed in < 90 days besides paying cash for this property?

Thank you any help would be greatly appreciated.
 


FlyingRon

Senior Member
It doesn't make the contract invalid. It makes him in breach of it.
You can't get a loan on property that's not validly conveyed (doesn't matter when).
Sue him.

As for financing, sure you can get financing, but you have to find someone who will finance it without the federal insurance backing.
 

HomeGuru

Senior Member
Hi Guys,

Myself and the seller signed a contract to purchase a property here in Palm Beach on November 15, 2008 to close on this December 10. But I have recently found out that this seller did a quit claim deed handing the property over to his corporation on November 21, 2008. Which makes the initial contract invalid. Not only is the contract invalid but I am not able to get a FHA loan or any loan for that matter approved for this property since it is < than 90 days the deed of the property has been transferred.

So to my questions are Is this legal for the seller to do after a signed contract is in place? and Is there any other way this transaction can be completed in < 90 days besides paying cash for this property?

Thank you any help would be greatly appreciated.



**A: the Seller is in breach if he can't deliver. What type of financing did you specify in your contract?
 

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top