Legal Question in Real Estate Law in California

Re: Real Estate

I agree with Ms. Deming's answer, except that I would add that if the builder/seller made an actually false statement about pricing policy, and you can show that they knew it was false and you relied upon it to complete your transaction at the higher price, there is at least a POSSIBILITY that you could prevail against them on a fraud suit, notwithstanding that you were in contract. The reason is that you could have breached your contract to buy at the higher price, and the seller's damages would have been based on the actual value, not the old contract.

I suggest you talk with a lawyer near where you live and present these theories to him/her and see what advice you get. Your case is not great, but it isn't terrible, either, in my humble opinion.

Re: Real Estate

When you made your down payment, you had already entered into a contract to purchase at a certain price, and they never had to agree to lower it one cent; they could have demanded that you pay the original price, or be sued for breach of that original agreement. There is no legal obligation to lower the price if the market goes down. Look at it this way: if the market had gone UP after you made your down payment, would you have agreed to pay MORE for the house than the price was at the time of your down payment? Probably not; you cannot have it only your way.