Home Selling in Alhambra>Question Details

Peter, Home Buyer in Los Angeles, CA

Repeated home estimate, closing escrow earlier, and contingency removal

Asked by Peter, Los Angeles, CA Mon Mar 31, 2008

The buyer sent someone to have an estimate on the home value before because their new mortgage company requires them to do so. Now, they want to have another home estimate. Why do they need to do the same thing again?

I'm selling a condo and the escrow will close on April 19. The buyer wants to close the escrow earlier than this original date. Will there be any problems?

They sent us a contingency removal form. What's that?

They have signed to remove all buyer contingencies EXCEPT common interest (HOA) disclosures. What's that mean?

They also asked us, the seller, to sign the same contingency removal form. We, the seller, can choose to remove either:
1. contingency for seller's purchase of replacement property (We've already found a new place and will start to move in this weekend)
2. other (What are my options?)

Thank you for your help! I'm a first time seller.

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Answers

3
Thank you very much for answering my question!
0 votes Thank Flag Link Thu Apr 10, 2008
Peter
Are you selling on your own?
This is why you need a Realtor.
Buyer wants to close earlier - we don't have enough information
Contingency removal form - HOA - did you provide them with copies of the HOA CC & Rs and 12 months of minutes?
Regarding contingency removal for you, did you have a condition to sell that you needed to find a home? The buyer will probably require that be removed.

If you do have a Realtor maybe they are new. I would suggest talking with your Escrow officer about some of these questions. Timing of the close of escrow is probably your biggest issue right now.
If you are selling on your own just know that as you move closer to closing (or not closing) there are questions that only someone aware of all the details can answer.

Trulia is not designed to be a closing service. My concern is that we many answer questions with one perspective in mind, yet our answers may cause you to make a bad decision because we do not infact represent you.
0 votes Thank Flag Link Tue Apr 1, 2008
Keith Sorem, Real Estate Pro in Glendale, CA
MVP'08
Contact
Did you sell your home yourself? If not, your agent should have walked you through all of this.

My guess is that the first appraisal did not come back at the price they are buying your condo for so they requested another appraisal.

When you buy a home in California there are certain contingency periods in which the buyer has x number of days to have a home inspection, appraisal and loan approval done. Once they remove those contingencies they cannot back out of the agreement without losing their deposit money.

The HOA should have presented them with CCRs and the minutes of the meetings for the past 12 months and probably a balance sheet. Until the HOA gives your buyer that info and gives escrow an HOA Certification, escrow cannot close.

Would you like to close escrow early? If so, it shouldn't be a big deal - especially if you are already moving out.

Did you have contingencies such as "Seller must find replacement property" before closing? If so, then when the time is right you would need to remove your contingency.

Without seeing your paperwork I am merely offering my opinion according to the facts that you have represented.

Here's to a smooth closing for you!

Dot
Web Reference: http://www.DotChance.com
0 votes Thank Flag Link Mon Mar 31, 2008
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