One of the most common questions I’m asked by buyers and sellers alike is: Can I cancel my contract? Today, I’ll be sharing the answer.
One of the most common questions I’m asked by buyers and sellers alike is: Can I cancel my contract?
For buyers, the answer is absolutely yes. Contracts completely favor the buyer. Once your offer is accepted by the seller, you have 17 to 21 days (depending on what is negotiated) to do your due diligence.
Due diligence is the period where you must get your loan fully approved, your home inspections, appraisal, and more. At any point during the due diligence period, you can cancel for any reason. The only money you will lose is the cost of your inspections. Your earnest money deposit will be returned to you.
So, what about sellers? Well in the case of those who are listing their property for sale it is a different story. If you think there is any chance you might change your mind about selling your home don’t put it on the market for sale. However, canceling on the buyers can be done if they are not following the agreed upon terms and conditions of the contract and you have given them a written Notice to Perform.
If the buyer follows all of the terms and conditions of the contract, you cannot cancel once you are in escrow.
If you have any other questions or would like more information, feel free to give me a call/txt/email. I look forward to hearing from you soon.
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