Can you cancel an agreement to buy a house prior to closing?

Question

We realize we will lose our "good faith" deposit if we back out of our purchase agreement to buy this house, but due to several factors we need to get out of the agreement (one reason being that every time I go to the house I get sick, and we think it's because the owner has an incontinent dog and the dog urine has seeped into the floor--i am highly allergic to dogs).

Can the home owner sue us? Is there any way to back out and just lose the money but not get sued/forced into buying the house?

Answer 1

If there is a property condition problem then I'd say yes.

Otherwise you're liable for liquidated damages. Check your contract.

Answer 2

I fyou haven't signed on the dotted line, then you don't have to go through with the agreement.  I do believe you have so many days to cancel any legal agreement but don't hold me to that.

Answer 3

Rarely does the house owner sue for breach of contract, that is why they are so willing to take the good faith deposit as compensation for the breach.  Also, I doubt any judge would try and enforce a contract when the results would put your health at risk. Just call the agent/broker and inform them you will not be closing on the house ever.  This prevents even more hard feelings, because they will not show up at closing expecting you to show and just final give up after a hour or so.

I wish you the best.  

Answer 4

i had to back out once..sellers incured new damage to doors and painted hardwood after i specifically mentioned i wanted to stay natural..im thinking your dog allergy is reason enough especially if they did not disclose the urine problem before you made deposit...i got my deposit back, although they didnt like it

Answer 5

to all that say that the "property condition" is a way out is WRONG!!!  If you had a home inspection, this should have been on it.  If you didn't have one, then it's not an issue.

YOU!!! would have to prove that there is a condition.

However, since you say that this was one issue, i'm sure there is more to the story.

Answer 6

Ask an attorney. It depends on the language of your contract. Don't rely on the advice of the agent.

The agent is probably the agent for the seller, not for you, so the agent shouldn't be giving YOU any advice, because he should be helping the seller not you.

But even if you have a buyer's agent, the agent has a conflict of interest because if the agent tells you how to cancel the contract the agent will lose his share of the commission. In any event, a real estate agent should not be giving advice about whether you can cancel a contract. That is clearly practicing law, and they are not competent to do it.

Answer 7

Explain your situation to the REALTOR handling the transaction. If he or she is not helpful then speak to the Broker of the company. You can also consult a real estate attorney. It sounds like you have good reasons to not purchase the house, but a lot depends on the contract and the attitudes of the people with whom you are dealing.

Did the home inspection come up with any kind of documentation that would give you a way out of the transaction? You usually have a certain number of days to order inspections and then withdraw your offer if everything is not up to your expectations. You may even get your money back.

Answer 8

work with your agent on this. if there is some clause that could be applicable you may even be able to recoup your deposit