QUESTION
as a seller can i cancel the sale if i am not able get the liens removed before closing will there be a penalty
Asked on Mar 15th, 2018 on Real Estate - New York
More details to this question:
I began the sale of my co-op then i discovered there were liens on the property that i was told is my responsibility to remove The banks that are responsible for removing these liens have filed but they may not be recorded for 1 to 3 months I want to cancel the sale before the buyer goes before the Board for approval because if they are approved the closing date will be set and the liens might still be showing I have changed my mind about selling the property because of this confusion. I will revisit my options once the liens re moved if I can cancel will there be a penalty
2 ANSWERS
1 Award
Assuming you are using the form contract, removal of liens is required at closing, but one to three months is a normal time to do it. You cannot get out the contract for this issue at this time.
Answered on Mar 17th, 2018 at 3:11 PM
Civil Rights Law Attorney serving Rockville Centre, NY
Partner at
Lori Nevias, Attorney at Law
1 Award
This is a perfect example of why it is crucial to have a lawyer involved when you are buying or selling a house, co-op or condo. The contract may look like a boiler plate document (it is) that anyone can find and purchase online (it is), fill in the selling price of the property, mortgage amount and closing date, have the buyer and seller sign on the dotted lines (you can) and voila, you're in contract (you will be). WRONG. As the expression goes, "God is in the details". There is no way to tell whether you can cancel the contract without risking a lawsuit for specific performance (a court order that forces you to sell to that buyer) without reviewing the contract and any riders to it. And you need to move fast- the longer you wait, the less likely you'd be able to cancel without a fight from the buyer.
Answered on Mar 15th, 2018 at 4:19 PM