Legal Recourse for Home Purchase

Archived From: Finance
  • Page :
  • 1
  • Text Only
Voting History
rated:
I am in the process of buying a house. The seller and I agreed on a price, contracts were sent between lawyers and I have a home inspection scheduled. All of this has transpired over a weeks time. Today I lean that the seller received another offer on the house and has signed a contract with a new buyer. Do I have any legal recourse? I am in New York.

Member Summary
Most Recent Posts
+1 Been maybe 20-30 years since I heard that joke.

BEEFjerKAY (Feb. 16, 2013 @ 6:26p) |

Sounds like Noo Yawk realty dealings. Back out, cancel further expenses, retrieve whatever you paid to the extent possi... (more)

snork615 (Feb. 16, 2013 @ 11:02p) |

What does your consummated buy/sell agreement say?

delzy (Feb. 17, 2013 @ 12:25a) |

Thanks for visiting FatWallet.com. Join for free to remove this ad.

You said you sent the contract to your lawyer. Why don't you ask him?

Ask your lawyer?

sloppy1 said:   You said you sent the contract to your lawyer. Why don't you ask him?
We don't cost anything.

Did you agree verbally, or in writing? If verbally, you will have a mighty tough time winning this, I think.

Until the contracts are signed, nothing is binding.

No judge will honor a verbal contract over this. You have nothing.

That said, it's not certain that the seller really does have another buyer. It could be a ploy to get a few thou more out of you. Even if the buyer is legit, there's also a chance that financing will fall through. So let the seller know that you're still interested should things fall through.

RedCelicaGT said:   We don't cost anything.

Which is exactly what our advice is worth!

Get a better lawyer OP.

Google a lawyer here...

Is a verbal agreement legal in California

The following contracts are invalid, unless they, or some note or memorandum thereof, are in writing and subscribed by the party to be charged or by the party's agent:
...
for the sale of real property
...

You and the seller agreed verbally to a price, but did a signed offer letter with earnest money ( deposit ) from you given to the seller ? If yes, was the money put in escrow and the seller signed the acceptance of the offer ? If neither is done, you are probably SOL.

If you really want it, and will pay more, come over the top with a higher offer just to mess with them. If the facts are true, then from what your hearing this type of seller would either try and end the purchase by finding a "reason" under the contract, or notify the buyer to see if he'll up his offer. You win either way, get the house or cost some money to the bugger who went behind your back. Their agent really should have notified you for a counteroffer, giving you the chance to compete. You can still go behind their backs directly to the seller (no realtors)and see what's up and if something could be worked out.

Where did you hear this? Why did you scheduled a home inspection before the contract was signed? Who dragged their feet? In real estate 'time is of the essence'.

Verbal offers typically aren't even worth the paper that they're not written on. If you had a signed offer, it'd be one thing, but it sounds like you don't. It's actually somewhat common, you get a verbal agreement on a price and before you get the signed offer, another offer comes in and then either the seller just accepts the higher offer or just asks for highest and best. You should also consult the lawyer as depending on circumstances it's sometimes considered binding, but it's very rare. For instance was anything documented in email? In general, if the seller signed an offer, they're pretty much locked in and you can take them to court to perform to the contract. Without that contract, you normally have nothing.

Ask the seller to refund you any costs you are out of and move on.
It wasnt meant to be.

You should verify that your contract contains the following two provisions:
"the party in the first part shall be known as the party in the first part"
and also a sanity clause, which provides that if either of the parties is found to not be in their right mind, the contract is null and void.
was anyone high as a georgia pine during negotiations? did anyone smoke a smokeball?

I hate to tell you, Oliver, but there ain't no sanity clause.

OP, please clarify whether or not you have a signed deal.

Contracts were sent between lawyers:

Doesn't sound like it's signed.

Signed Contract?

No - You're out of luck!
Yes - Sue!

/thread

SlimTim said:   I hate to tell you, Oliver, but there ain't no sanity clause.

well your word is good enough for me!

LynchMobHoo said:   I am in the process of buying a house. The seller and I agreed on a price, contracts were sent between lawyers and I have a home inspection scheduled. All of this has transpired over a weeks time. Today I lean that the seller received another offer on the house and has signed a contract with a new buyer. Do I have any legal recourse? I am in New York.


As others have said, no signed contract = no deal.

This is why most use real estate agents for negotiating a price, because they send each other official offers which are "accepted" by signature.

LynchMobHoo said:   I am in the process of buying a house. The seller and I agreed on a price, contracts were sent between lawyers and I have a home inspection scheduled. All of this has transpired over a weeks time. Today I lean that the seller received another offer on the house and has signed a contract with a new buyer. Do I have any legal recourse? I am in New York.

Everyone always claims to "have a lawyer", yet when it is time for legal advice, they go online.

Seem like the first thread of every post never has enough information to answer the question. Then you have a coin flip shot if the op comes back to answer the question that will answer their question.

I'm going to assume you do have a SIGNED AGREEMENT. I say this because of two things: 1. You transferred the contract to each side's attorney. Why send a unsigned contract? Not much the attorney can do if it is NOT signed. 2. Why would you schedule a home inspection that will have to be paid for if you didn't have a signed agreement making it contingent upon a favorable outcome of the inspection? I wouldn't spend $300-$500 to inspect a house that the seller didn't agree to sell to me.

Signed is binding. I would ASSUME the house is yours, pending the inspection results.

ASSUME.

Ever hear of a second opinion? He confirmed that there is no legal recourse. It sucks but best the best I can do is move on and see if it falls through with financing.

chocula said:   
Everyone always claims to "have a lawyer", yet when it is time for legal advice, they go online.


Realest rhyme you every wrote.

KYBOSH said:   chocula said:   
Everyone always claims to "have a lawyer", yet when it is time for legal advice, they go online.


Realest rhyme you every wrote.


That's because I trust FW more than my lawyers!!! =)

SlimTim said:   I hate to tell you, Oliver, but there ain't no sanity clause.

+1 Been maybe 20-30 years since I heard that joke.

Sounds like Noo Yawk realty dealings. Back out, cancel further expenses, retrieve whatever you paid to the extent possible. Move elsewhere using a new competent Realtor, buyers should not need an attorney except to close. Unless really liking the property, escape while you can even when the other buyer's deal "does not go through" or "is withdrawn" for any reason--you are being played .

LynchMobHoo said:   I am in the process of buying a house. The seller and I agreed on a price, contracts were sent between lawyers and I have a home inspection scheduled. All of this has transpired over a weeks time. Today I lean that the seller received another offer on the house and has signed a contract with a new buyer. Do I have any legal recourse? I am in New York.What does your consummated buy/sell agreement say?



Disclaimer: By providing links to other sites, FatWallet.com does not guarantee, approve or endorse the information or products available at these sites, nor does a link indicate any association with or endorsement by the linked site to FatWallet.com.

Thanks for visiting FatWallet.com. Join for free to remove this ad.

TRUSTe online privacy certification

While FatWallet makes every effort to post correct information, offers are subject to change without notice.
Some exclusions may apply based upon merchant policies.
© 1999-2014