Q: Can a buyer of resindential property back out of the deal for any reason before closing?
The sellers agreed to a fha203k (construction loan) and this takes more time than the typical 30 days. We went through the process of the inspection and appraisal with the intent of purchasing the home but now my wife has to be in a different state for work and therefore we cannot purchase a home here. Closing is not for another 10 days and we had to back out. What am I legally bound to and can the seller come after me for anything other than the earnest money which I agree they will receive from the holding company?
A: The answer to your question depends on very specific facts that are not provided here. To answer your general question, no you cannot back out for any reason, but there may be some valid reasons. The seller certainly can come after you for more than just the earnest money, and it is likely they will try if you backed out for no reason 10 days prior to close. I would recommend organizing the contract and all other information related to this situation, and consulting with an attorney individually. A knowledgeable attorney will review the details, and assist you in minimizing your risk and liability.
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