Can a seller pull out of a short sale, or extend it after the bank has approved it?

Asked by Mom2the.rescue, 91790 Wed Jul 20, 2011

We're supposed to be closed by July 30, and the buyers are very eager to get in here, but our house won't be ready for 60-90 days. We have 4 kids and a large dog and no where to go. We want to make the buyers wait. Can they force us out of our house? If they won't wait, can we put it back on the market? Will the bank not allow it since they've already approved it and we haven't been paying our mortgage (as directed by our bank)? I'm panicking. I just found out that we need to bring the keys to closing. This is in Michigan.

Help the community by answering this question:

+ web reference
Web reference:

Answers

5
Damon Bottic…, Agent, Las Vegas, NV
Sun Sep 18, 2011
Wondering how it went with your situation?

Sometimes these things can be worked out, but if you were getting close to a foreclosure, it might have been risky to scrap the deal just to buy more time.
0 votes
VictorAndCar…, , Upland, CA
Sun Sep 18, 2011
Maybe you can lease back from the new owner until your home is ready.
0 votes
Michelle Gon…, Agent, Los Alamitos, CA
Wed Jul 20, 2011
If the sale closes they can force you out of the house because once it closes it is "their" house. You may be able to pull out of the sale but in that case the lender would probably continue with the foreclosure process, and deny you the option of a short sale. Ask the buyers if they would do a rent back. This means you would close escrow and pay rent to the new owners for a month or two (if agreed to that long). Either way it sounds like you are going to have to move. Try focusing your time on your new home and where your family will be moving to, instead of trying to stay where you are longer.
0 votes
Ron Thomas, Agent, Fresno, CA
Wed Jul 20, 2011
I would guess that you forfeited a bunch of "RIGHTS" when you stopped paying your Mortgage.
The Bank is probably the legal owner of the property and they have a right to evict you.
You are probably lucky that you are able to do a short sale.
You may have to consult an Attorney, because I cannot give you legal advice, but,
If you go to the Buyer's Agent and ask them if you can rent-back the place for 60-90 days; you might be able to work something out.
Plan B, would be to find a house or a motel room that you can rent for 60-90 days.

Lately, the Banks have been providing "moving money" to occupants who will move out in a timly manner, and without doing any hard to the house. You'd have to ask the Bank about that.

Good luck and God bless
0 votes
Cindy Grimal…, Agent, Las Vegas, NV
Wed Jul 20, 2011
It would be very hard for the buyer to force the sell if you change your mind before closing escrow.
Can the buyer sue for performance? Yes. Anyone can sue for most any reason, but there are so many other listings that it would be easier for them to move on.
Good Luck
Web Reference:  http://VegasHomeSearch.info
0 votes
Search Advice
Search
Ask our community a question

Email me when…

Learn more