My buyer is backing out, what are my options?

Question

It is Friday. The closing on my condo is scheduled for Monday. My buyer has backed out today stating that she got back with her boyfriend and no longer needs the house. All inspections have been done and she was approved for her mortgage. She was putting almost 40% down in cash. My purchase agreement states "In the event buyer fails to fulfill obligations set forth herein or fails to close this transaction by the time and manner provided, Seller may elect to enforce terms herein, declare sale void, retain deposit, and/or see available legal or equitable remidies." She did put a deposit down. What are my options here?

Answer 1

              Your real damages will likely be approximate the amount of the deposit. KEEP IT.

              Of course you could SUE to force her to buy the property or for losses sustained because of her backing out of the contract...

              What line of work are you in? Are you an attorney? Have you or anyone you know made big money by litigation or did the legal fees, costs and emotional input offset the recovery?

               If you tried suing, the buyer might claim they were unable to qualify for a mortgage or did not obtain a mortgage which might be a complete and successful defense based upon a theory called impossibility of performance....

              Take no chances. No gambling. Send a letter that you are withholding the deposit for liquidated damages... Small claim courts are most unlikely to require you return the deposit. Relist the property ASAP.

               Good Luck.  

Answer 2

you keep the deposit and put the condo back on the market!!!

Answer 3

Hopefully you took a decent deposit on the property.  You keep it and relist the condo.