getting out of real etate contract

[Goldy1]

took offer on june 8 for my home fha buyer.

long story short. buyer had a lazy lying terrible loan officer. We were supposed to close on july 22. they weren't ready. we extended contract to july 29. they weren't ready to close. they were still working on issues with the buyer paying off debts and counting their student loan in debts (this should have been addressed at beginning but wasn't bc of bad loan officer)

Ok now my house is back up on the market. I didn't extend July 29 contract.

My realtor says I can't except an offer from a new buyer until they sign a contract releasing me from selling my home to them. A realtor friend said I don't need a "release form"

Wow
So, I have house off market for over 50 days waiting to close and they can't. Now they can prevent me from selling my home to another by not signing this form? they are still trying to work out issues to buy my home. wow. Does anyone know if this is true?

I want to be able to take another offer.

[creditcardfree]

I personally don't know...but have you read the wording on the contract you both signed? I'd start there. You might also get a free consult with a real estate attorney. It seems you may need one.

[AnotherReader]

In the states with which I am familiar, the buyer is considered to have defaulted on the contract in this situation. The seller, via the agent, delivers a notice of default that starts a "cure" period. If the buyer does not cure during that period, the contract is canceled and of no further effect. The seller must send the notice to trigger the start of the cure period.

Every state is different. You should talk to your agent's broker if your agent does not explain how defaulted contracts are resolved in your state.

Your agent should have started the contract cancellation process as soon as the default occurred. The agent may think by doing nothing the sale will go through. He is not doing his duty to you if that is the case.

This buyer cannot qualify and the lender is trying every avenue to get the loan through. He will delay and delay to find something that will work. In your shoes, I would not sign any further extensions. Cut them off and start over.

[creditcardfree]

In the states with which I am familiar, the buyer is considered to have defaulted on the contract in this situation. The seller, via the agent, delivers a notice of default that starts a "cure" period. If the buyer does not cure during that period, the contract is canceled and of no further effect. The seller must send the notice to trigger the start of the cure period.

How long is a 'cure' period, in your experience Another Reader?

[AnotherReader]

In Arizona, it's three days. I can't recall what it is in California. Every state has its own approach to default, cure and cancellation. The pertinent language may be in the contract itself.

If there was no process for declaring a default and cancellation by the party willing to perform, every non-performing party to a contract could tie up the other party by not agreeing to cancel.

[dawnwes]

Oh, never mind. I read fha as "fsbo."

That is what I get for trying to post past midnight.

[Goldy1]

I never tried to sell by owner if that is what you are referring to. I am under contract with realtor.

[HappySaver]

What you're asking for is legal advice.
Don't rely on realtors or armchair advice from strangers on a discussion forum.
Go to a real estate attorney.
And you may need to fire your realtor.

[offbeatmove]

What you're asking for is legal advice.
Don't rely on realtors or armchair advice from strangers on a discussion forum.
Go to a real estate attorney.
And you may need to fire your realtor.

Indeed

[YolandoAmaya]

I don't know the perfect solution to your question. You should consult with a good law officer to get the right solution.