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Updated about 3 years ago on . Most recent reply

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Traci Silvey
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Seller refuses to sign extension-Any recourse?

Traci Silvey
Posted

Hello. I'm hoping someone can give me advice regarding a house contract in Texas.  My elderly Father signed a contract two years ago to purchase a house.  It turns out, the house was part of an estate/trust and now some family members are suing the Son that is selling the house.  So, it's been in court for 2 years due to Covid.  We have stayed with the deal and kept signing extensions because we really wanted the house.  Now, as of 12/31, the seller said he was pulling the house off the market and not signing the extension and they are returning the Earnest money.  Do we have any recourse?  If so, what should our next action be?  We understand it truly is in courts but we were willing to wait it out.  At this point, the house is a great buy because the market has changed so much.  So, we feel he is likely going to put it back on the market for a higher price.  Our agent says there is nothing we can do as he chose not to sell anymore and that's his right.  There no longer is a contract so he said the seller is not in breach anymore as the extension ended 12/31.  Are we at their mercy?  Is there a way to have the seller give us first choice (preferably at same price) when he does sell?  I have a feeling there isn't but would love to hear from experts.  Thank you so much for your help.

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Bill B.#1 Real Estate Deal Analysis & Advice Contributor
  • Investor
  • Las Vegas, NV
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Bill B.#1 Real Estate Deal Analysis & Advice Contributor
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Replied

If the members of the trust that sued him and won then he didn’t have the right to sell it, the contract isn’t worth any more than if I had agreed to sell it to you. 

If they lost and If you used a realtor with a real state form, there should be a section that covers penalties for the seller and for the buyer if either party fails to follow through. It will say there if you just recover your money or have the right to sue for performance. If you’re realtor can’t show and tell you this part of the contract, talk to their boss or a real estate attorney. 

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