QUESTION
Is the seller subject to any penalties to not perform a sales contract on a house?
Asked on Jan 08th, 2015 on Real Estate - Colorado
More details to this question:
Buyer and seller are under contract, seller discovers that his 2nd mortgage is not reflected as discharged from his 2015 bankruptcy. He doesn't have any proof to provide title that it was discharged and won't close on the property until he can prove this. His proceeds from the sale more than cover this amount. If he does not close on time, can the buyer pursue penalties to the seller beyond specific performance in the state of Colorado?
1 ANSWER
3 Awards
Maybe! The Buyers rights are dependant upon the terms of the purchase contract.
That said, the seller has no right to refuse to complete the sale based on this unfortunate financial discovery. The seller may be held liable for damages to the buyer as well as broker fees and attorney fees.
You should consult with an attorney ASAP who can encourage seller to complete the sell then deal the the mortgage company on his own.
Answered on Jan 09th, 2015 at 12:57 PM
Call Don at (303) 688-0944 or email at Reception@RobinsonandHenry.com This information is provided AS IS; and does not create Client Relationship.