WWYD-House selling issue

[Mom2Two]

We have a cash contract on our house, no contingencies. The buyer asked for two extentions because the cd's they were going to use for the house couldn't be cashed in because the bank supposedly went under so they had to get a loan.

Nothing new was added to the extentions all parties signed, they applied and were approved for a loan but didn't like the interest rate and thought the closing costs were too high so now want to back out of the contract. Our realtor told us to contact a lawyer to force them to buy the house.

We talked to a lawyer and he said we have a case for breach of contract and the fastest way to do this would be to auction off the house and say it went for 100,000-he would be stuck paying the remaining 40,000 because the contract was for 140,000. We are afraid even with a judgement against him that he won't pay us the 40,000 and we will be out legal fees.

 

 

 

Should we just let this one go or pursue legal action?

[flyingmommy]

It doesn't sound to me like these folks are on the level. Personally, I'd let them out of the contract and look for a real buyer. I didn't look to see where you live, but we were told that if someone wanted to sue another for breach of contract, they'd have to take the house off the market for the duration of the law suit. Most people are selling their house for a reason and aren't willing to waste a year on a law suit.

 

I'd check with your realtor and see what he/she says. They usually have a lot of practical advice regarding the advisability of the various courses of action that are available to you.

 

Good luck!

 

Jeannie

[Ria]

I'd let it go.

 

Ria

[KidsHappen]

Yep. Let it go. Even if you win the judgement, you are extremely unlikely to actually get the money.

[Twinmom]

Let it go. Can't you keep the earnest money? At least that might make a house payment.

 

So sorry. We went through this as well...AFTER we'd vacated the house and moved our kids and stuff to NC from TX. We ended up living in a hotel until we'd sufficiently threatened the buyers enough to get them to close. They didn't do it until after we tried to keep their earnest money. It was ugly. If you end up fighting, don't do it in court. Cut your losses and move on.

[Sharon in SC]

We have a cash contract on our house, no contingencies. The buyer asked for two extentions because the cd's they were going to use for the house couldn't be cashed in because the bank supposedly went under so they had to get a loan.

Nothing new was added to the extentions all parties signed, they applied and were approved for a loan but didn't like the interest rate and thought the closing costs were too high so now want to back out of the contract. Our realtor told us to contact a lawyer to force them to buy the house.

We talked to a lawyer and he said we have a case for breach of contract and the fastest way to do this would be to auction off the house and say it went for 100,000-he would be stuck paying the remaining 40,000 because the contract was for 140,000. We are afraid even with a judgement against him that he won't pay us the 40,000 and we will be out legal fees.

 

 

 

Should we just let this one go or pursue legal action?

 

I truly feel your pain. Our first contract was for full asking price in cash. buyer got scared and backed out. We took the earnest $ as the consolation prize. House sold to another buyer later. I would not risk all that is at stake in pursuing anything more with this buyer, if I were you. :grouphug: