Q: We entered a contract to sell our home with no real estate agent. We were to close no later than June 20th Buyer was not
Able To obtain financing. We hired a lawyer to protect us . It has been over a month and we keep getting put off by our lawyer stating the buyer has to sign a release of contract and we cannot get this done unless we agree to not pursue the deposit which the buyer stopped payment on. Is this correct information ? The contract clearly states the deposit will be forfeited if contract is breached. The lawyer stated buyer is clearly in default and I cannot realist my house until this is signed. Is this correct.
A: Most if not all FAIR real estate buy-sell contracts do NOT define the buyer's inability to find financing as a "breach" of the contract." If your contract is different you will still find it very hard to enforce it against the buyer; and making matters worse, in the meantime you may not be able to sell the house unless you agree to let the buyer go on with their life. I suggest you listen to your lawyer.
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