Legal Question in Real Estate Law in Pennsylvania

closing problems when homebuying

I am in the process of buying a home via a short sale(the mortgage company has accepted a price lower than what is owed). At the closing date liens were found on the property and we could not close. My realtor told me that the seller was working with a credit counseling agency to remove the liens and we would close soon. That was several months ago. As it stands, I have invested many hours and over $1,000 improving the home so it would pass inspection, the seller refused due to financial problems. Now I have just learned, NOT by my realtor who has been grossly misinforming me, that the seller's ex-wife has sued for half of the proceeds. Being that it is a short sale there are to be no proceeds. The closing may be held up for months, even years. I stand to lose a lot is I back out of the deal, but the stress is affecting my personal life and I can't handle waiting that long. Are there any legal avenues that I can take in order to either speed up the process greatly, or claim compensation for time and mony spent, including the utilities that were placed in my name and turned on over a month ago so that we could do the work in the house?


Asked on 1/09/02, 1:52 am

1 Answer from Attorneys

Brandon Barnett Brandon J. Barnett Attorney At Law

Re: closing problems when homebuying

It would appear that you do have grounds for a legal action either to void the sale and receive any escrows back. You may be able to sue for breach of contract and damages.

Most of the answers will be determined after thoroughly reading the terms of your real estate agreement. Also if your realtor and the firm they belonged to were negligent there may be a cause against them.

This is all dependent upon review of the documentation.

Our office provides a free initial consultation. If you reside in western pennsylvania you can call us.

Brandon Barnett, Esq. 412-916-1677

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Answered on 1/10/02, 10:49 pm


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