A Deal Maker,
Not A Deal Breaker

5 ways in which sellers can back out of a home sale contract

On Behalf of | Mar 30, 2021 | Real Estate Transactions |

When a California resident goes to purchase a home, it can be more complex than just saying they want the home. Lots of negotiations and paperwork go into a home sale. Although most of the time this is a smooth process, there can be times when a seller backs out of a sale.

  1. The contract is not signed. A seller can get out of purchase contract anytime before they sign the contract.
  2. The contract is in the review period. There is a 5-day review period after a contract is signed where an attorney can review the contract. During this time, the seller’s attorney can cancel the contract for any reason.
  3. Contract includes an addendum. If a seller has an addendum stating, they can back out of the contract without a penalty the contract may be cancelled. This may be if the seller doesn’t find a new home where they want to live or another situation.
  4. Buyer doesn’t adhere to contract terms. If a buyer isn’t able to secure a mortgage the seller can move on.
  5. Repairs needed. If the buyer requests that certain repairs are made that the seller is unwilling to do the contract may be cancelled.

Real estate attorneys

A legal professional who is skilled in California real estate law can help their client with their home purchasing and selling. A person may think that a home purchase or selling doesn’t need an attorney but it’s worth the peace of mind an attorney can bring to the situation.

An attorney can review real estate documents, purchase agreements, finance documents, and can be involved in the closing process and resolve title negotiations. A real estate attorney can be a way for a buyer or seller to have a favorable outcome.