I havent paid the Earnest Money deposit yet. Closing is scheduled for 2/13 and I signed the contract on Friday of last week.
Purchasing through Frannie Mae Homepath if that's relevant.
Found out house (foreclosure) was condemned after signing a no contingencies as is contract. Can I still get out of it?
byu/AMateriaIGirl inRealEstate
Posted by AMateriaIGirl
12 Comments
None of us know what’s in your contract . Ask your agent, if they don’t know and they might not this is a very specific issue, go talk to a lawyer.
Yikes, that’s a nightmare scenario right there. If you haven’t paid earnest money yet you might have some wiggle room but honestly you need a real estate attorney like yesterday
Cash or finance?
To answer that question, the person has to read your contract. So, you agent should be the first person to ask this of. If they can’t answer, you want their broker. If not from them, you need to contact a real estate lawyer.
If it was in California you could since that would be a change to the mandatory seller disclosures, you’d get an additional 5 days to think about it. Other states will have their own disclosure laws, so you’ll need to read your contract.
Fannie Mae won’t come after you for the deposit. Just cancel and walk away.
would Fannie Mae agree to finance this after hearing the building was condemned?
The good news is….this is not a private seller who will get emotional over it. Fannie will probably just put it back on the market. You might have to cough up the EM though, which would be fair.
I’d get a real estate attorney
You sign away all contingencies? Even the financial contingency? If you did not sign away the financial contingency, you can get out from it that way, no bank is going to loan on a condemned house.
Welp.
Did you receive the fully executed contract back from Fannie?
You should’ve read the addendum from them that went along with your contract.
How did you find out AFTER you signed that it was condemned rather than beforehand.
Where is your agent!
Your agent needs to advise you on this.
Shouldn’t that have been disclosed?