Posted on: 17th Sep, 2009 12:49 pm
Can a seller back out if appraisal comes back lower then sell price.
We are trying to purchase a foreclosed home from a investment firm. The original signed contract for $148 expires in 2 days. We submitted an addendum 9 days ago, and they have yet to agree to the appraisal of $135. A state certified appraiser inspected the home and said its value is now $135, because the original sale price of the home was done over 4-5 months ago and market prices have fallen.
History.
In May we put a offer in and got a signed contract back and signed and agreed to it.
Then a lien came up and we had to wait 90 days to actually purchase it.
September 8th was supposed to be our closing day with a contract expiration being Sept 19th and that morning the appraisal came through showing a new value of $135
So we submitted an addendum to purchase the home for $135 and have yet to receive word back on if the seller/investment firm, will agree to the new value of the home. Now its 2 days before the agree expiration and they seem to be backing out...
Now what.. what are my legal rights.. I should get my escrow money back, but I still want this house.. What can I do, and can I enforce anything?
We are trying to purchase a foreclosed home from a investment firm. The original signed contract for $148 expires in 2 days. We submitted an addendum 9 days ago, and they have yet to agree to the appraisal of $135. A state certified appraiser inspected the home and said its value is now $135, because the original sale price of the home was done over 4-5 months ago and market prices have fallen.
History.
In May we put a offer in and got a signed contract back and signed and agreed to it.
Then a lien came up and we had to wait 90 days to actually purchase it.
September 8th was supposed to be our closing day with a contract expiration being Sept 19th and that morning the appraisal came through showing a new value of $135
So we submitted an addendum to purchase the home for $135 and have yet to receive word back on if the seller/investment firm, will agree to the new value of the home. Now its 2 days before the agree expiration and they seem to be backing out...
Now what.. what are my legal rights.. I should get my escrow money back, but I still want this house.. What can I do, and can I enforce anything?
Yes the seller or the buyer can back off at any time until they sing the final papers