That said I am surprised that your agent did not advise against making request for repairs. It is well know that when the lender says, "As is" they mean it. While no contract is truly "As is", it is stating that the seller is unwilling to incur expenses that are outside of the original offer.
If it is found that the bank cancelled the contract without just cause, a judge could render a Specific Performance judgment. The definition is below.
Under Civil Code Section 3387, there is a presumption that the breach of an agreement to transfer real property cannot be adequately compensated by monetary damages. Furthermore, the California courts have held that every piece of property is unique and, thus, damages are an insufficient remedy (Cottonwood Christian Center v. Cypress Redevelopment Agency, 218 F. Supp. 2d 1203 (2002)). Thus, the courts have permitted both sellers and buyers of real property to sue for specific performanceâ€”which means in this case, to force the buyer to buy the property. Clearly if the buyer breaches because he or she cannot obtain a loan to purchase the property, specific performance is not the appropriate remedy.
If you and your agent truly believe you have been wronged and there are damages. A Specific Action judgment could force the bank to sell the house to you. Of course you need to speak to a real estate attorney if you decide to head down that path. I canâ€™t imagine it would be a fun path to travel. Good luck.
Items you can not see with your naked eye should be teh only things addressed after your inspection, most banks wont accept a contingincy for an insopection, while others print that anuy inspection is for your knowledge and they will not renegotiate after accepting an offer.
At this point if you had a contract, you asked them to fix something as part of your inspection, they denied it so they canceled teh contract based on your own contingincy. At this point they still have to sign a release. If you have questions by all means consutl an attorney to review everything.
good luck working things out
Once the buyer signs the contingency removal then the seller is not to stand in the way of the buyer's performance to close. However, our seller continues to issue new contingencies and addendum's to the purchase agreement for the buyer to sign or they will not allow the sale to conclude. This is not acceptable or enforceable behavior.
Did you sign a contingency removal in your transaction? If so, the seller has not right to impede the continuation of your transaction towards completion. If not, then they may have the right to cancel the agreement with little or no notice to you. All REO sellers are different and have their own purchase contracts. Is your purchase contract fully ratified by proof of signature from the seller? That is an important aspect as well if you have any hopes of completing your purchase.
Good luck! I'm sorry that it is not the joyous home purchase you may have dreamed about.
Diane Wheatley, Broker