Officially past the contractual 90 days to close - WWYD?

[zachatak]

Today is day 91 on contract w/ international sellers. The backstory:
We didn't know they were international sellers until we received the actual contract. It wasn't mentioned on the broker's website nor in any correspondence. Anyways, once we saw this, we decided it was worth the (potential) slowness since the price was right and it fit our plans. Fast forward 70 days later. The sellers (6 family members) supposedly had an appt at the US Embassy on 3/17 for a notary so I followed up a few days after and was told that now they had an appt on 3/27 and would be sending docs that day when complete. On 4/5, docs were not in hand and 4/6 was day 90 per the terms of the contract (we signed in Dec but last seller didn't sign until Jan 6th). I've asked for an actual closing date again and waiting on a response. I'm more ticked off at myself for not rescinding the offer as soon as I found out the sellers were outside the US. How long do I let this drag out? We really needed to use the banked points for a fall booking 2 weeks ago so now I'm looking at potentially semi-wasted/less useful 150ish pts. Have others had this same experience with international sellers?

Added: our contract doesn't actually spell out any penalties or process should it roll past 90 days. I suppose in the future I will ask for some specific language to be added if there are banked points, etc where time may be of the essence.

 

[sethschroeder]

Unless I got a screaming deal I would look to get out of any contract likely in the past or at least start putting out feeler offers on other contracts.

Take a look at the pricing out there right now and see if you could possibly just pull your current offer and find something cheaper.


Also I know its been brought up before but international sellers should always be disclosed even though those outside the US think it shouldn't be a requirement. Its not always disclosed and honestly think its poor form since the process doesn't end up being the same.

 

[AstroBlasters]

People historically have liked international sellers because Disney did not ROFR them. But, they do have additional hoops to jump through and that can lead to a longer sales process.

 

[Sandisw]

If you are past the closing date in the contract, you can ask for the sale to be canceled for seller default and move on.

If you want to give it a bit more time, I’d contact both title company and broker and give the the hard date you are willing to wait until for it to close.

 

[TinkB278]

Is there any penalty on sellers for dragging their feet like this?

 

[john7994]

Today is day 91 on contract w/ international sellers. The backstory:
We didn't know they were international sellers until we received the actual contract. It wasn't mentioned on the broker's website nor in any correspondence. Anyways, once we saw this, we decided it was worth the (potential) slowness since the price was right and it fit our plans. Fast forward 70 days later. The sellers (6 family members) supposedly had an appt at the US Embassy on 3/17 for a notary so I followed up a few days after and was told that now they had an appt on 3/27 and would be sending docs that day when complete. On 4/5, docs were not in hand and 4/6 was day 90 per the terms of the contract (we signed in Dec but last seller didn't sign until Jan 6th). I've asked for an actual closing date again and waiting on a response. I'm more ticked off at myself for not rescinding the offer as soon as I found out the sellers were outside the US. How long do I let this drag out? We really needed to use the banked points for a fall booking 2 weeks ago so now I'm looking at potentially semi-wasted/less useful 150ish pts. Have others had this same experience with international sellers?

Added: our contract doesn't actually spell out any penalties or process should it roll past 90 days. I suppose in the future I will ask for some specific language to be added if there are banked points, etc where time may be of the essence.

I had a very similar time experience (banked points and all) on one of my contracts with an international seller. It was a bargain comparable with today's resale contracts out there- so I just let it ride - but it was super annoying (and made me nervous it wouldn't close).

As others mentioned, I agree that if you can find something better priced and worth your time to start over - consider it. Separately, I think its also fair to communicate your intentions as well to all involved - if you have a hard date you are willing to extend it too then offer that up as an alternative.

 

[Sandisw]

Is there any penalty on sellers for dragging their feet like this?

They will owe the broker commission if the sale doesn’t close due to their default. Whether the broker will actually be able to collect? Different answer

 

[zachatak]

Just heard back that we should now close on 4/13. Fingers crossed. Like others have said, it's like being 5 years old waiting for Christmas morning!

 

[intamin]

Just heard back that we should now close on 4/13. Fingers crossed. Like others have said, it's like being 5 years old waiting for Christmas morning!

I was recently in a similar position as you. International seller, closing docs not in hand by closing date. Technically had the option of cancelling the contract. The weekend prior to closing I put in a couple offers on other contracts with the same UY just because I knew the docs wouldn't be in in time. I bid a little bit lower just because it would be a hassle to go through ROFR and the waiting process again and wanted to make sure going through it again would be worth it and not just go through the process again and get a similar deal. In the end I ultimately waited to close, Wasn't able to find a seller willing to come down to low 100s with full points for this year for my UY and called it a day. In the end it's not a big deal tbh and I probably would've felt bad for causing the seller to pay the costs for defaulting and karma and etc. But anyways, I hope everything works out!