Article Score0

We negotiated a short sale with bank, they ageed on our offer. We would like to buy the house, but cannot close because we found out the owner has 3 liens on the property. At least one is a tax lien. The seller is unresponsive and so far has not paid the liens to clear the title. We asked for a release of our earnest money, but the seller keeps making excuses and won’t sign it. We have found another house but cannot make an offer until we are released from the contract on the first house. Is there any way to clear this up quickly before we loose our opportunity to get the first time home buyer tax credit. Can we sue if we loose the 8000 tax credit due to the seller of the first home not being able to close. I am angry and frustrated with this situation.

1 Thought on We cannot buy house and seller has not signed realease. What can we do.?
  1. Reply
    BSherman
    October 28, 2011 at 1:36 am

    Property transactions often break down and collapse. Over 50% of all sale agreements fail to result in a transaction due to financing, inspection, or other issues.

    It sounds like the seller has massive financial problems. Three liens on one house, in addition to its original mortgage, is alarming. He is probably unable to satisfy the liens, so you should move on to a different house to purchase.

    Regarding recovery of your deposit, wasn’t this held in escrow by the realtor or seller’s attorney? That is the usual case in America. Make inquires with them, rather than the seller. Your last resort is court action, but that could take years to settle and you obviously don’t have that kind of time to fiddle with.

    Good luck.

    Leave a reply

    Register New Account
    Reset Password