Help! Advice on house purchase closing

sweetkelly · ‎02-15-2011

My husband and I are moving. We made an offer on a new home, paid the earnest money, and planned to close in August. Then, in late July, my husband lost his job, many in his company did due to cutbacks.

He has a new job offer, but the tentative closing date, has passed, due to his unemployment. Our contract is good, however, until August 31, and we plan to close ASAP starting the 31st of august.

The sellers had made plans to travel after their house sold, putting down deposits, etc on places the would stay. They chose to stay in their home without furniture, etc, until the house was officially closed. When we were unable to close in mid August, they were angry. When our realtor asked for an extension, since my hubby lost his job, they said they would not unless we paid ALL of their travel deposits, and other expenses they have had since the closing was delayed. Mind you, the contract is not over yet.

We are crushed that people would behave this way. They CHOSE to make all of their plans and deposits before the house actually sold. They also refused to leave the house before closing was done. We are closing from our home state and they could have certainly went on their trip as planned, but will only close before leaving town. My hubby and I do not feel responsible for their refusal to go on vacation and we also don't accept blame for them making non refundable deposits before the sale was completed. your thoughts?

panda1234 · ‎04-27-2015

This is a case of spending money you don't have. This is not your fault whatsoever. What does your realtor say?

reiki604 · ‎03-09-2010

They are only expecting you to live up to the terms of your contract. If you want to renegotiate the contract by extending it, then have every right to ask for something in exchange. Just as it is not your fault or responsibility that they made plans, neither it it their fault or responsibility that your plans changed. (I am sorry your husband lost his job). You have a contract and business is business. It would be nice if they were sympathetic but again there is nothing that says they have to be.

'I refuse to engage in a battle of wits with an unarmed man'.......Unknown

Carmie · ‎10-25-2010

When you make an offer on a house and it is accepted, both the buyer and the seller enter into a binding agreement. You are both bound to what is in writing on the contract from the moment is it signed by both parties.

If the contract states that you must close by Aug 31 even if you planned to close earlier, then the contract is valid until that date. if the settlement is after Aug 31, you would need an extension. if you fail to get one, the contract is over. I would hope that the contract is contingent on you being able to secure financing.

You should NOT pay for any of this couples travel expensives. Unless the contract you signed states you would.

Please be aware that your realtor is working for the seller and not you unless you are paying this person a fee. The realtor is bound by law to be on the sellers side.

if you run into any problems, I suggest that you hire a real estate attorney to look after your interests. I don't feel that the sellers or the realtor want you to walk away from the sale. it is in both of their interests that you purchase the home.

I am a licensed Realtor in the state of PA.

docsgirl · ‎03-09-2010

Do you want this house and can you afford it on your husband's new salary? If you have doubts, you can always walk away. You'll lose your earnest money but you won't be stuck with something you really don't love and can't afford. I purchased a condo and all through the entire process I had a gut feeling this was not right for me. There were many times I almost walked away. At the closing, I got up to walk out because I knew I made the wrong decision but I let my real estate agent talk me into it. While it's a lovely community, I got ripped off on the price as it was not in the best condition for the price I paid. For now I'm here but not sure if I'm going to stay.

Nothing is written in stone until the ink is dry at closing. Up until the time you sign, you can walk away. I wish you luck and make sure you do what is right for you. docsgirl

10sluvr · ‎03-10-2010

i don't think you owe them anything, but if you offered $500.00 or something, for their "inconvience" would that help smooth things over? they are just giving you a guilt trip and anything extra isn't in the written contract. is the realtor yours or theirs?

Cookie2025 · ‎03-10-2010

@sweetkelly wrote:
My husband and I are moving. We made an offer on a new home, paid the earnest money, and planned to close in August. Then, in late July, my husband lost his job, many in his company did due to cutbacks.

He has a new job offer, but the tentative closing date, has passed, due to his unemployment. Our contract is good, however, until August 31, and we plan to close ASAP starting the 31st of august.

The sellers had made plans to travel after their house sold, putting down deposits, etc on places the would stay. They chose to stay in their home without furniture, etc, until the house was officially closed. When we were unable to close in mid August, they were angry. When our realtor asked for an extension, since my hubby lost his job, they said they would not unless we paid ALL of their travel deposits, and other expenses they have had since the closing was delayed. Mind you, the contract is not over yet.

We are crushed that people would behave this way. They CHOSE to make all of their plans and deposits before the house actually sold. They also refused to leave the house before closing was done. We are closing from our home state and they could have certainly went on their trip as planned, but will only close before leaving town. My hubby and I do not feel responsible for their refusal to go on vacation and we also don't accept blame for them making non refundable deposits before the sale was completed. your thoughts?

If I where the owners I would go on vacation - if they do not enjoy their vacation as planned that is their problem. I cannot believe these people would make plans without some kind of money on hand. Relying on the sale of their house was a chance they took. I certainly would not allow you or anyone else to move into the house until closing.

You have 2 days before the contract ending date - good luck. I suppose your earnest money is gone if you do not close - but remember - when one door closes a new one opens.

Prayers for you and your Family for a positive outcome.

Say Nay · ‎03-12-2010

@sweetkelly wrote:
My husband and I are moving. We made an offer on a new home, paid the earnest money, and planned to close in August. Then, in late July, my husband lost his job, many in his company did due to cutbacks.

He has a new job offer, but the tentative closing date, has passed, due to his unemployment. Our contract is good, however, until August 31, and we plan to close ASAP starting the 31st of august.

I'm confused. What do you mean by tentative closing date and that has passed? Did you miss the close of escrow date and are you in an extended grace period? And will the loss of a job impact your ability to get your loan (if you need one)? In my experience you need to be in your job a certain number of months before a financial institution will approve a loan.

_____ ,,,^ ._. ^,,,_____

151949 · ‎03-09-2010

This is business. you entered into a contract that you were unable to honor and there are financial repurcussions for those on the other side of the contract. If you still want the house, you will have to negiotate with them, and this is their demand. If they weren't holding this house off the market it would probably have sold to someone else and they would have their money.

When we entered into a contract to sell our house someone told us that the buyers had backed out of previous contracts so we asked the realtor to continue to show the house just in case and we did find a couple who were interested in case they did back out.

Allegheny · ‎03-19-2010

I think they are provoked because things didn't go as they planned and are taking it out on you and your husband. I am not sure what they are asking of you is legal unless there were contingencies written into the contract.

My SIL and her husband recently sold their home and purchased another. The purchasers changed the closing date twice. My SIL & BIL were more concerned that the sale was going to fall through and they would have to relist the house.