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Walt O'Riley's Advice

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Walt O'Riley wrote:

backing out of house????

Answer
First, you should review your purchase agreement. Most contracts that are used by Realtors include a clause that states that the purchase agreement may be terminated if the buyer has made a diligent effort and is unable to get financed for the mortgage. If in fact you cannot get financing and the purchase agreement contains the termination clause as stated above, then you'll need to get a letter from your lender stating the reason why you were turned down for the mortgage. This should be dated on the mortgage companies letterhead with the signature of the branch manager. Once this has been obtained, your Realtor should be able to provide and complete the proper documentation to request a release from the purchase agreement (Mutual Release Form). If you're not using a Realtor for the transaction, it would be a good idea to consult a real estate attorney. Hope this helps.I wish you luck, Walt O'Riley RE/MAX Excel Realtors 
October 20 2011
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