What Can I Do if a Home Buyer Backs Out of the Offer?
If you are trying to sell your house in St. Louis, Missouri, you may show your house to several potential buyers and even receive a few offers on the table. However, the only buyer that matters is the qualified buyer ready to commit to a purchase.
So what happens when the buyer suddenly pulls out of the deal days before closing? What can you do if a home buyer backs out of the offer and what is your best option?
Why Do Home Buyers Back Out of Offers?
While it’s understandable to be frustrated, even angry, at a buyer that suddenly backs out, some buyers have good reasons for ending a contract proposal before closing.
A Home Inspection Reveals a Problem
Sometimes a buyer will get excited about a house and want to submit an offer to secure the property. Afterward, they schedule an appraisal or inspection. The inspection reveals major problems with the house, such as structural damage, systemic problems or something as costly as a roof replacement. Instead of dealing with the problem, the buyer simply backs out.
Mortgage Financing Falls Through
Loan approval can take three days to three months. In the meantime, the bank does everything to keep the buyer engaged, starting with the pre-approval letter. A buyer may believe that an approval is a sure thing. As a result, they make an offer on the house. Consequently, they have to pull out of the offer if the loan doesn’t come through.
Taking on hundreds of thousands of dollars of debt is too much for some people to wrap their heads around. Buyers sometimes don’t walk away until the last minute. The reality of paying a mortgage, interest, property taxes, and maintenance costs might hit them at the eleventh hour. They might decide that they don’t want to commit to a mortgage.
What Are My Options if a Home Buyer Backs Out?
If a home buyer suddenly backs out of an offer, you can
Re-List the Property
If a buyer backs out of the offer, you can relist the property. Re-listing the property can give you a fresh start and prevent any problems associated with the initial buyer. You may be able to make some home improvements, target a different buyer, or even adjust your asking price. Use the failed offer as a springboard to optimize your sale.
Take Legal Action Against the Buyer
Not all offers are legally binding. If the buyer makes an offer but does not sign a contract or any other paperwork that legally binds them to the house, they can pull out with little to no repercussions. However, if they sign any legally binding documents, you may be able to take legal action against them.
Re-Negotiate the Terms of the Contract
Some potential buyers pull out of a deal because they are uncomfortable with the contract terms. In many cases, they have problems with small issues that can easily be worked out. So, if the buyer wants to pull out, try to pinpoint what they don’t like about the contract and be willing to negotiate. A small adjustment may win back the buyer.
Contact a Company That Buys Houses in St. Louis, Missouri
Losing a buyer can be devastating and kill your motivation for starting over. Fortunately, there is a solution. You can sell your house as-is for cash to a company that buys houses in St. Louis, Missouri. The buyer can make a fair cash offer, pay all closing costs, and close the deal in as little as a week or two, saving you time and money.
Sell Your House Fast in St. Louis, Missouri
At Klamen Real Estate Group, if we make an offer on the house, you don’t have to worry about us backing out. We are committed to helping you sell your house fast in St. Louis, Missouri. Call 314-721-6800 to get a fast cash offer for your Missouri home.