So what happens next? Legal ramifications?

[Adam Wigdorski]

So I had a private lender for a deal all shared away until the time when we were going to do the promissory note and etc for getting ready to close. So at the very last minute he switched from amortized 30 year interest to simple interest to which totally ruins the deal for me. Supposed to close in 5 days. And I’ve never done this kind of financing before and the lawyers paralegal told me to have my agent mark the “cash” sale portion of the contract. I’m fine with losing my earnest money but what else can go wrong if the seller doesn’t sign the contract cancellation addendum? I’d still like to buy the house. This is in NY