I fell in love with a house in April 2024 and never imagined I'd be in a position where I still haven't closed by June 21, 2024.
My agreement of sale (AOS) was signed on April 9. My original close date was May 10, 2024. A few days before closing I was notified there were 3 outstanding permits with our city's L&I department and the property was in violation.
We added an addendum to the agreement of sale stating the seller would address all repairs required by the city before closing and we rescheduled the closing date. All parties signed.
Since that time, I have had closings set for May 30, June 6, June 13, and June 20 - Change in Terms agreements (CTAs) were in place for each of these new closing dates and the Seller has yet to complete the repairs according to the city's satisfaction. The city has re-inspected the property twice.
I decided to pursue an escrow agreement with the Seller so we could close with funds set aside for the repairs. They promised to review it but took 1 full week to do so. I had additional redlines to their response and my attorney and I sent a new escrow proposal on June 19.
My agent told me on 6/20/24 that the Seller was reaching out to the city to get more clarification on the date of final inspection for the repairs. That was over 24 hours ago and I've had no update from anyone (despite following up).
The CTA for the AOS expired on June 20 at 11:59pm with all of the above in limbo. Since I haven't heard from anyone, what are my next steps? I hope to speak with my attorney this afternoon.
Does anyone have experience with a transaction like this? I have been ready to move forward since May 10. I feel blindsided by these repairs and further blindsided by the fact that the seller is not making them in a timely fashion. It scares me that they are doing work and yet not passing inspections.
Also, I've had to extend my rental agreement to have a place to live while all of these repairs occur. I've scheduled and rescheduled movers, cleaning crews, and handymen. I've changed insurance companies in preparation for the move (for a good home/auto rate vs. what I was paying as a renter). And I've been scheduling time off from work for the closing and the move, which ultimately has not yet happened.
I am so frustrated and I am going into my 4th month of dealing with this. Now that the agreement of sale has expired, what are my options (if any)? Do I walk away and leave my earnest money deposit on the table?
Or, do I decide to pursue a lawsuit for the Seller's negligence/breach of contract?
This has cost me so much, not to mention several interest rate extensions to maintain my current interest rate with my lender. Those extensions also come at a cost.
Thanks in advance for the insight.
- Asked by Morgan Wade
- Philadelphia, FL
- 120 views
- Buying
- 4 months ago