Expert, localized Los Angeles answers provided by Heather Roy

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Buyer Going VA

  The buyer of our home is going VA and the sale price and things that must be changed in the house are not what we agreed on in the contract can we back out of the sale
 
 

I haven't seen your sale contract, so I don't know whether or not you agreed to make any repairs required by the buyer's lending institution.  If what you're saying is that the VA appraiser did not value the house as high as the proposed sale price -- my guess would be that the buyers are not bound to buy, but are entitled to their earnest money deposit back.  My guess would also be that you are probably not bound to change your price or make the repairs, and can back out yourselves.  But again -- I haven't seen the contract.  You may want to show it to a lawyer.

On the other hand, if you put the house on the market, you may find the next buyer's mortgage lender requiring the same repairs anyhow.  Whereas if right now you do agree to a lower sale price -- or perhaps a renegotiated compromise price -- and if you do agree to make repairs (if that's what you mean by "things that must be changed" then at least you'll get the house sold.  That's your personal decision, depending on your own situation.

    Edith
Originally published on August 3, 2007
 
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