Sometimes you’re excited to buy a condo and something happens… and suddenly, you know that buying it isn’t the right choice for you.
But is there a way to get out of a real estate purchase contract if you’re buying a condo and already halfway through the process?
Can You Get Out of Your Contract if You’re Buying a Condo?
Once a seller accepts your offer, you’ve already paid him or her an earnest money deposit.
That can mean trouble if you want to walk away from the deal.
However, there are a few ways you can get out of the contract with your earnest money intact.
Your Realtor(R) will build contingencies in your real estate contract that let you get out of the deal with your earnest money intact. However, they only apply in certain situations. Usually, these situations involve the home inspection, financing, and the sale of your current home.
Home Inspection Contingency
If the home inspection turns up something horrible that you just can’t work with – like lead paint, sagging floors or a faulty electrical system, you may be able to back out of the deal. Talk to your Realtor if anything seems “iffy” once you get your inspection report back.
Nobody wants to be on the hook for buying a home they can’t afford. If you can’t obtain financing within a certain time frame, you could be allowed to back out of the transaction and get your earnest money deposit back.
The Sale of Your Current Home
You don’t want to pay two mortgages (neither do I!), and if you can’t sell your current home, you may not have to. If your real estate agent adds a contingency into your contract that says you’ll only buy the new condo if you can sell your existing home, but you just aren’t getting any offers, you may be able to cancel the whole deal.
Are You Buying a Loft or Condo for Sale in DTLA?
Call us at 213-254-7626 or get in touch with us online to start exploring your options when you want to buy a loft or condo in downtown Los Angeles.
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