Home Buying in Corona>Question Details

g.perez1978, Home Buyer in 92882

Can a seller cancel my Purchase contract do to their escrow of choice delaying documents?

Asked by g.perez1978, 92882 Mon Dec 17, 2012

can a seller cancel a purchase contract, even if the (escrow of their choice), delayed on providing the lender with the proper items to submit the application?

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Diana Margala (909) 560-0145’s answer
Just as was indicated by the other agents it is hard to answer the question without reviewing the contract. If your agent cannot explain what is happening and why, then I suggest that you contact to broker or a lawyer. It isn't easy for a seller to cancel escrow unless the buyer or buyers lender is not performing as they agreed in the contract.

Good luck
Diana Margala 909-560-0145
Web Reference: http://www.dianam.com
0 votes Thank Flag Link Fri Dec 21, 2012
The simple answer: The seller can only cancel the contract if the buyer is in breach (hasn't fulfilled obligations).

The more complicated answer: If the buyer was prevented from closing escrow due to actions of the seller... you might want to contact a real estate attorney. If you have an expert agent, he/she will be able to make sense to the seller's agent, who will in turn advise the seller to continue the escrow.

Good luck.
0 votes Thank Flag Link Tue Jan 22, 2013
That really depends question is not clear if it is a short sale, the lender has its own guidelines and timelines ,at this point who is the seller the bank or the client ,need more details to answer this question clearly .You may call for e mail for some clarity .thanks HENA MARTIN (BROKER)
760-251-2868
0 votes Thank Flag Link Sun Jan 20, 2013
I agree with Ray Wright. Elise makes a great point that there was probably miscommunication along the way. I hope your agent can help you.

Kind regards,

Joan Patterson, B.A., G.R.I., Realtor, License #01431647
Keller Williams Realty
951-204-1864
http://www.inlandempirerealestate.kwrealty.com
0 votes Thank Flag Link Thu Dec 20, 2012
It sounds like there is a miscommunication somewhere along the way. Unless there is a better offer in backup position, the seller should want to cooperate. Sometimes, when communication breaks down and there is a delay that the seller doesn't understand, they will respond by wanting to cancel.
As stated, there are proceedures in place that must be followed. Your agent should be in contact with sellers agent, escrow and lender in an attempt to resolve the issue.
These things sometimes happen and can usually be worked out. I wish you luck.
Web Reference: http://coronasbesthomes.com
0 votes Thank Flag Link Tue Dec 18, 2012
It looks like most of what I wanted to say has already been said. So I won't double up on the advice other than saying that I sincerely hope you have your own Realtor to protect your interests. Without being able to review your contracts and see where you are in the transaction, it's really impossible for any of us to give you great advice. Your agent is your best resource for advice. Again, I hope you have your own agent.

If so, he or she should be able to sit down and go over the contracts with you and fully advise you as to your options. As a buyer agent, I always make sure my client follows the contractual timeframes and I fully document any delays caused by the seller or the seller's choice of vendors so if there are any issues that come up, we can show that we are complying.

If you don't have your own Realtor, than I suggest you seek legal counsel. Good luck!
0 votes Thank Flag Link Tue Dec 18, 2012
Without seeing the contract and knowing more details, it's impossible to say for sure. If however, the buyer is in default, why would you want to cancel?

At this time of year, it's not uncommon for vendors to run late. People take vacations, and tend to enjoy life a bit more than usual.

I hope you have a Realtor, if not, you perhaps should consult an attorney.

Best of luck.
0 votes Thank Flag Link Mon Dec 17, 2012
I don't see why the seller would attempt to cancel as long as you have not breached your side of the transaction. Have your realtor ask in writing for an "extension of time" to accommodate the required time to accomplish handling the necessary documents and information to your lender. (To cancel requires mutual consent between both buyer and seller anyway. And your realtor should explain that to you.) Mostly like there is just a miscommunication which can easily be handled with more time.

Good Luck and hope you close escrow with everyone satisfied!
0 votes Thank Flag Link Mon Dec 17, 2012
How many days did their escrow delay documents? 1-2 days? 2-3 weeks? What documents did escrow delay that would cause en escrow date to be missed?
0 votes Thank Flag Link Mon Dec 17, 2012
It really sounds like you tried doing this without a Buyer's Agent:
Do you now regret that decision?
0 votes Thank Flag Link Mon Dec 17, 2012
Not sure if I understand this question.....

Presumably you did not release your loan approval contingency (if there is one)
But you said it's the escrow office who delayed providing information ---- what kind of information? Preliminary title report?

Depending on your contract, there must be some provision wherein the seller issues a notice to buyer to perform...or you can also have your agent issue request to extend the contingency period.

Either way....since you are in escrow....and hoping that there is good communications, you should be able to negotiate an extension if the problem was indeed caused by a party that the seller selected. Provided that your price, terms and conditions remain the same, and that you are merely running through normal challenges pertaining to a loan, the seller may be inclined to cooperate instead of cancelling the escrow and putting the property back on the market.

What does your agent say?
0 votes Thank Flag Link Mon Dec 17, 2012
Hi
Yes, but what is common is what is called an Extension of time form. When all parties sign this form it provides the seller to except the escrow to be extended. Ultimately all parties involve want your loan to fund in order to close the escrow.

Please feel free to call or email any questions. My email is LydiaKray@hotmail.com

Lydia Kray- Realtor
Tarbell Realtors
cell 951-733-1058
http://www.LydiaKray.com
Top producer 2009,2010,2011
0 votes Thank Flag Link Mon Dec 17, 2012
In most real estate contracts a seller cannot unilaterally cancel a contract, they have to deliver a 24 hour notice to perform before doing so. Usually sellers are willing to work with buyers on extensions (unless it's an REO), unless there is a better offer in waiting.
0 votes Thank Flag Link Mon Dec 17, 2012
The unfortunate answer is yes. If you have gone beyond your contractual close of escrow date the seller can cancel. However with that said most sellers are willing to work with buyers because they are typically only a few days off from closing the deal.
0 votes Thank Flag Link Mon Dec 17, 2012
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