Contracts are probably involved in every major purchase, investment opportunity and legal action you take. When it comes to real estate contracts, they are sometimes referred to as a purchase and sale agreement, contract for sale, purchase contract, agreement to purchase or agreement for sale. Always read contracts thoroughly and make sure you understand everything. You might want to have a lawyer look over any contracts before you sign them. Learn more here about contracts and how to protect yourself.
Breaking A Real Estate Contract
A seller reader signed a contract to sell his land but would now like to back out of the deal. Once you sign a contract, you are obligated to its terms, even if you don't understand it. As a buyer or a seller, you have a duty to understand the contracts you sign.
Mold Problems Kill Real Estate Deal
Mold problems can and should kill a real estate deal. A home buyer is in the process of buying a home that has problems - mold, termites and radon. After the seller fixed the problems, there are still extensive mold problems in the home.
Poor Seller Disclosure May Result In Breach Of Contract
What happens if you buy a home and the contract states one thing but the house does not match that requirement? Under seller disclosure is the seller liable for fixing the discrepancy? In this case, a home buyer believes that his new home lacks insulation which was described in the contract. Before suing the seller, a developer, the home buyer should make sure that his suspicions of lack of insulation are correct by hiring a contractor.
Seller Walks Away At Closing
After signing contracts, this seller walked away from closing on a home after learning that back taxes would be paid out of the home sale proceeds. If the contract did not give the seller the right to walk away from the deal, the buyer may be able to sue the seller. The seller should have lived up to the terms and conditions of the signed contract.
Fake Appraisal Constitutes Real Estate Fraud
When you sell your home an appraiser will conduct an appraisal to help the lender determine how much of a mortgage loan to grant to the home buyer. It's illegal for a home buyer to get a mortgage in excess of the home's sale price, especially if the mortgage loan is based on an inaccurate appraisal. When the home buyer wants the home seller to return some of the mortgage loan money it may become fraud. In a situation such as this it's critical for the home seller to contact an attorney.
Increased Price In Newly Constructed Home
What happens when a newly built home costs more than originally agreed upon in a contract? Often, new construction homes are upgraded as they are built and these costs end up in the final price. Having a clear building contract can avoid such problems after the home is built.