• Texas  
    7 months, 2 weeks ago
    Reply

    Buyers had to change lenders due to lender’s dragging its feet. Does the builder have the right to just terminate the contract? The buyers have sold their home already as well as have sold a car to get this loan. They are working diligently. The new lender says we can close in 12 days, but the builder seems to feel he can just terminate. Please help. Oh, and he is keeping their $7500.00 earnest money.

Answered
  • The purchase contract should spell out exactly how much time the buyers were allowed to obtain financing and close on the property. Without reading the agreement, it is impossible to know whether the builder was entitled to terminate, but the fact that the delay was the fault of the first lender is likely irrelevant. Read the purchase agreement carefully. and consult a local attorney.

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