Q: I’m the seller of a commercial building and accepted an offer, but now I’m having a change of heart. Can I back out?
It’s in escrow but hasn’t closed yet. The change of heart came with a 100k higher offer.
A: Look for something in the escrow that you can claim is a "mistake in understanding" to void the contract. However, if everything: the "offer" and the "acceptance" of that offer, was done and documented properly, you're stuck and if you refused to sell, you'll be sued for breach of contract. Real estate is "one of a kind," but an office building is not real estate, unless you own the land under it. So as long as it's JUST the building, then it's just one more "business decision" you'll need to put a calculator to:
Say, original offer was $320,000.00
New offer: $420,000.00
Potential Profit: $420,000.00
Less suit by original offeror for $320,000.00
Acceptance of new offer: $420,000
You're left with $100,000 profit, instead of $320,000.00
Actually, might be a little less when the buyer's attorney fees are figured in.
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