Any Experience with Seller Backing Out?

[JHank44]

I had agreed on a PVB contract that was supposed to close 2 weeks ago. The seller has not returned closing docs and is not responding to inquiries from agent or closing company. Has anyone had experience with this? Any suggestions on how to proceed? I like the deal I got on the contract so I don't want to let it go but not sure how long I should give the seller to complete the deal. There is no recourse for seller to back out so a little frustrated.

 

[disneynutz]

Your broker should be dealing with this, what do they say?

 

[JHank44]

I just heard back. He said we have an executed contract and that the closing company can still push through the sale but they have to go through steps first. What a headache.

 

[MouseOfCards]

Just curious. If a buyer backs out of a sale, they may lose their deposit. However, is there any recourse or penalty if a seller does not fulfill their end?

 

[Minniesgal]

The seller could of course be travelling or on business out of the country. When you list your contract for sale you can't really predict when it will sell and when things will need signed and life yes on. 2 weeks doesn't sound like a massive long time. I personally am on a 15 day business trip right now and won't get my mail until i get home so things like that can delay

 

[Dean]

Just curious. If a buyer backs out of a sale, they may lose their deposit. However, is there any recourse or penalty if a seller does not fulfill their end?

Technically they could go after them for commissions and fees or even force the closing if they are in violation and if the contract hasn't been voided for other reasons like missing a closing cutoff. In reality it's not feasible to do so.

 

[mustinjourney]

Probably could sue for specific performance. But that's expensive and not worth it.

 

[MrInfinity]

My seller took a long time. Dogged the process by a good month. But, they had their excuses. If the seller is not responding (and not just moving slow) and your agent cannot reach them despite certified letters, move on. You can sue but you'd have to demonstrate that their inaction harmed you and in regards to buying a timeshare I think you'd be wasting your time. Your agent will have a timeline in mind, like "if no response in X days then we refund your deposit and make a new offer to someone else". If your agent is not providing you sufficient reassurance that this is moving along a reasonable timeline, then you should not use that agent once it's done. S/he should be giving you the plan of what will happen next.

 

[disneynutz]

Sellers have to sign and have a notary, we have 3 people on our deeds, different locations, different schedules, it can be a challenge to get it done.

 

[JHank44]

Finally got more detail, it appears the seller is underwater on loan so they will have to bring cash to closing so think that they currently do not have the cash so are dodging calls. I still think they're incentivized to sell but I guess they could default and let courts handle it...

 

[mustinjourney]

not sure how this all works -- but if they are underwater, wouldn't it be in their best interest to default and let disney just take it? I'm assuming Disney doesn't go after them for the remaining balance.

Does it hit their credit report? If so, that would seem to be the only downside for the seller.

 

[Dean]

not sure how this all works -- but if they are underwater, wouldn't it be in their best interest to default and let disney just take it? I'm assuming Disney doesn't go after them for the remaining balance.

Does it hit their credit report? If so, that would seem to be the only downside for the seller.

It's been said Disney doesn't normally report but I can't see if that's absolute. If they're in this situation there's a good chance their credit is shot already so it likely won't make any difference if that's the case. I'd get a quick resolution or cancel and move on. Just make sure one follows the contract in doing so.

 

[supersnoop]

It's been said Disney doesn't normally report but I can't see if that's absolute. If they're in this situation there's a good chance their credit is shot already so it likely won't make any difference if that's the case. I'd get a quick resolution or cancel and move on. Just make sure one follows the contract in doing so.

Disney's financing department doesn't seem to report, but a foreclosure is public record. That will show up on your credit report.

 

[Dean]

Disney's financing department doesn't seem to report, but a foreclosure is public record. That will show up on your credit report.

But will a administrative foreclosure end up on their credit report? I don't know, others may. Regardless, when people get in this situation it usually is irrelevant anyway from a credit rating standpoint.