Posted on: 11th Sep, 2010 05:37 pm
Our son is a first time home buyer. He got a real estate broker and he gave her all of his requirements including how much he can afford to pay and how much he had for closing. He also found out that there was much more damage to basement walls than the inspector found. It has walls that are bowing and signicant water damage. He was told he had to go through with the deal. It started out with the payment and closing in his price range. Over a period of weeks the closing costs were increased 4 times and the payment went above what he can afford. They gave him this information the day before closing. He told them he couldn't pay that amount and he asked to be let out of the deal. His broker threatened to sue him, the sellers agent said she would sue him and the seller who had a lawyer said he would sue him. He went to the closing to try to plead with them to let him walk away. They intimidated him and told him it would cost him more to get out of the deal than to go through with it. So he signed. Now the bank gave a loan on a home that is severely damaged to a person who can't afford to make the payments let alone fix the damage. They wouldn't give him the name of the bank until he signed the papers. Is there anything he can do? :(
It would have been better if your son wouldn't have signed the closing docs. As he had signed the docs and received the loan, he is liable to pay it off. Nevertheless, if your son feels that the lender had forced him into the deal, then he should contact a real estate attorney and take legal actions against him.