Legal Question in Real Estate Law in New York
purchase of the property
The seller and I-the purchaser-signed a contract regarding a sale of the house. The closing date should be in May, how ever as of today, 7/13/08 there is no closing. My lawer said to wait because the seller has no place to go. The seller doesn't know when he would be able to move out of the house. What should I do? Shopuld I hire a litigation lawer?
3 Answers from Attorneys
Re: purchase of the property
Obviously I do not know all of the facts to render a complete opinion. However, you have the following choices:
1. You may send a time of the essence letter. Simply stated, you serve a letter making time a material term in the contract. The date has to be specific. The time given must be reasonable (Courts have held 30 days to be reasonable). The letter must state that failure to Close is a breach under the contract.
2. You can Close with a hold over agreement. This is a short agreement entered into at Closing whereby the seller has 3 to 5 days to vacate the property. There is no landlord -tenant relationship. Money is held in escrow for the cost to force a removal and/or for damage and repairs to the premises.
3. You can Close and enter into a long term landlord - tenant agreement. You would own the house, The seller would be a tenant.
Mike.
Re: purchase of the property
Just because the seller has no where to go, is no excuse for not closing.
A lot can happen if you wait, - you could lose your mortgage commitment, your interest rates could go higher, when it comes time to close, you might be able to close, damage could be done to the house, and you are paying rent which should go to reducing the mortgage.
His problems could become your problems.
Your lawyer should send the seller a "time is of the essence" letter demanding closing within a period of time, and then, if it is not closes you should retain a lawyer to make certian it closes.
If I can be of further assistance to you, please feel free to contact me.
We are litigation lawyers.
Re: purchase of the property
Just because the seller has no where to go, is no excuse for not closing.
A lot can happen if you wait, - you could lose your mortgage commitment, your interest rates could go higher, when it comes time to close, you might be able to close, damage could be done to the house, and you are paying rent which should go to reducing the mortgage.
His problems could become your problems.
Your lawyer should send the seller a "time is of the essence" letter demanding closing within a period of time, and then, if it is not closes you should retain a lawyer to make certian it closes.
If I can be of further assistance to you, please feel free to contact me.
We are litigation lawyers.
Related Questions & Answers
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
