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Real Estate contract with new home bulider

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J

jjjxyz

Guest
Hi, I reside in So Cal. I signed a real estate contract for a new home about a month ago. I put down deposit and upgrade money. I like the home but Murphy's Law struck, I may be obtaining a new job out of the area. The contract states financing to be determined by lender on a 5% down. It also has a provision about obtaining a final public report which I received. I notified the real estate agent of my possible move. The real estate agent at their office is obviously in their favor and has not gotten back to me if the builder is willing to cancel the contract, on home that is still 2/3 weeks from being completed, and return my monies. Do I have any right to cancel or rescind the contract if I need to? Or based on simple dissatisfaction of public report or HOA disclosure? Or based on an incomplete sales contract?

I did not have an agent representing me as their agent stated placed me in position to trust by stating she is required to be truthful and fair with me. Their agent made a verbal statement to me that if I were to be moving there would be no problem in cancellation prior to me signing contract.
:confused:
 


HomeGuru

Senior Member
jjjxyz said:
Hi, I reside in So Cal. I signed a real estate contract for a new home about a month ago. I put down deposit and upgrade money. I like the home but Murphy's Law struck, I may be obtaining a new job out of the area. The contract states financing to be determined by lender on a 5% down. It also has a provision about obtaining a final public report which I received. I notified the real estate agent of my possible move. The real estate agent at their office is obviously in their favor and has not gotten back to me if the builder is willing to cancel the contract, on home that is still 2/3 weeks from being completed, and return my monies. Do I have any right to cancel or rescind the contract if I need to? Or based on simple dissatisfaction of public report or HOA disclosure?

**A: only if there are contingencies in your contract that allow cancellation. In most states, if there is no receipt and acceptance by the Buyer of the public report, the contract is not binding. Check with your State condo/subdivision registration office.

*************

Or based on an incomplete sales contract?

**A: you have not given any indication that the contract was incomplete.
**********
I did not have an agent representing me as their agent stated placed me in position to trust by stating she is required to be truthful and fair with me. Their agent made a verbal statement to me that if I were to be moving there would be no problem in cancellation prior to me signing contract.
:confused:
**A: next time have all verbal statements confirmed in writing. Better yet put all contingencies in writing and directly in the contract.
Your statement of the last sentence does not make any sense because if you did not sign the contract yet, there would be no need to cancel.
 
J

jjjxyz

Guest
Thank you for your comments Homeguru. I did sign the contract and escrow was opened. The other issue I did not bring up was the financing contingency. It states "to be determined by lender" rather than the traditional 30 year loan for X amount at X rate. I was led to believe this was in in my favor. This is why I believe it is an incomplete contract.

How long do I have to read 100 plus pages of Final Public Report and HOA disclosures? As in the traditional 3 or 5 day day right of buyer cancellation based on disssatisfaction of seller disclosures.

Another issue that came to mind was after I signed the contract and trying to comprehend and digest all the information I was not given a copy. The original contract went to the CEO of the builder and returned to me a week later. I was told that was the norm.

After reading your post, Yes, I should have had the verbal statements put in writing. I should have slowed the whole process down. Lessons learned!
 

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