There may also be contingencies in the contract. Contingencies are: Conditions which must be met if a contract is to be performed.
Some contingencies may be to protect one of the parties:
Some contingencies may need to be removed in order for the purchase to be completed:
The Short Sale approval is just one more contingency in the purchase contract. And just like any other contingency it should have a time period to be removed.
If it can’t be removed in the time allowed then the parties can either extend the time period or cancel the contract and return the escrow deposit.
If it can’t be removed at all because the Short Sale was denied then the contract becomes “null and void”. The Seller is now unable to perform. This is no different than when the Buyer’s financing is denied. He too is now unable to perform.
Folks....this stuff is NOT complicated. It’s Real Estate 101. Stop trying to complicate matters by treating the Short Sale as anything other than what it is…..a contract contingency.
If your Short Sale listings are not closing. Get training. You’re doing something wrong.
If your Buyers are getting frustrated then you are not setting the right expectations.
These are my thoughts. What are yours?
***I am NOT an Attorney and this is not legal advice. I am however a Licensed Florida Real Estate Broker and this IS my opinion.
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
***The content of this blog is solely my opinion***
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