Profile picture for RitaMcLean

What are my rights as a buyer I was told today by my broker the seller wants to cancel the sell beca

I was told today by my broker the seller wants to cancel the sell because she was denied a loan to purchase another house. 
  • July 23 2012 - Oakland Ave-Harrison St
  • 0
    0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.

 
 

Answers (11)

Profile picture for Ofe Polack
Read the Purchase and Sale, does it say that the sale is subject to seller finding a house?
  • July 23 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Generally speaking, it is very difficult for the seller to back out of a sale once they have a fully executed contract. You don't say that the sale was contingent on the seller purchasing another home, so assuming your agent explains everything to you properly, there is probably no such contingency.

Have you removed all your contingencies? What stage are you at in the transaction? If you have not yet submitted a Request for Repairs, you can count on the seller rejecting everything, just to get out of the sale.
  • July 23 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for Nayna Bawa
Hi Rita.  You will have to examine your offer for the purchase of seller's home.  Was there a contigency in there indicating that the seller's purchase will be determinant to the sale of seller's home?  If so, then seller has cause to back out of the deal because seller was unable to obtain mortgage for the purchase of her perspective home. 
  • July 23 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

I'm not a lawyer and it would probably be good to consult one since I don't know California law. It would be nice and clean if there was a home sale contingency in the contract, but usually, a contract can be broken. There are forfeits if it is broken without a legitimate and legal reason, but no one can force a seller to sell (except in the case of a foreclosure). Consult an attorney to see if there is any way to force the issue.
  • July 23 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

That's certainly an unfortunate situation for everyone involved.

If this is your "dream home" then it may be possible for you to sue the Seller for performance on the contract.  This might be costly and time consuming.

If it's not, then I would put yourself in the Seller's shoes and think about what you'd want hte Buyer to do.  Do you believe that everything happens for a reason?  It could be that there is a better house out there waiting for you!

Good luck!
  • July 23 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Hi Rita,

What does your contract say?  Read it carefully because that will dictate whether or not the seller can cancel.   Do you have a contingency in there that the sale is based on the seller obtaining financing for another home?  

The seller cannot just say I want to do this.  The contract sets forth what the buyer and seller can and cannot do.  Good luck!
  • July 23 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for RitaMcLean
When I walked into this condo and it felt the perfect fit for me; I could see myself living here indefinitely.  Also I love the neighborhood.
I appreciate all the comments and suggestions
  • July 23 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Hello Rita:
Many of the comments already cover if the sale was as a contingent contract. From my experiences, a seller can almost walk anytime, and most probably without any recourse. 
I actually called CAR legal hotline on that very subject. 
Try to work it out with the seller and the broker, i.e. negotiate. I think that is your best option. 
Antoine
  • July 24 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

I recall situations back in 2006 when home values were escalating, a number of sellers in the wealthier areas of the South Bay (Atherton, Campbell etc.) wanting to get out of their contracts because they realized they could sell for a higher price.

The opinion at the time was that if the seller just refused to sign, they were clearly in breach of contract and the buyer (and broker) would have a good case to sue for damages should they wish to do so.

If the seller won't sign, talk to a real estate attorney. 
  • July 25 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for emtjweber
It depends on your agreement of sale.  That's the contract that determines how either party may leave the transaction without being in violation.  If the seller is in violation of the contract the buyer has options...  first take your agreement to a lawyer (a real estate lawyer)  I can recommend one if you don't know one, but I'm in PA and you want one in your state.   The lawyer will determine if the seller is in violation.  If the answer to that question is yes than you have two options in terms of legal action....  1) Suit for Damages... where you recieve compensation, or 2) Suit for Specific Performance... where the judge would require that the contract (agreement of sale) be inforced.   Be sure your attorney files a Lis Pendens (Future lien notice)   so the other side can't do anything with property that would foul your ownership up should you win the suit... ie the owner won't be able to refinance or sell.
Good luck and I hope you had a good real estate agent so you were protected in the agreement of sale.
  • July 25 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Dear Buyer,
Your rights, duties and responsibilites are outlined in your California Residential Purchase Agreement. If you have difficulty with it, please consult an attorney

  • August 10 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.