Comments on: can a judge order u to buy a home if a contract was signed but financing fell through?

By: estielmo

estielmo — Tue, 09 Dec 2008 15:30:00 +0000

Did you have a contingency escape clause build in that allowed an “out” if you couldn’t get financing? If not, you’re screwed.

By: Jay M

Jay M — Sat, 06 Dec 2008 04:20:07 +0000

No. Most real estate sales are subject to loan approvals and appraisals that guarantee an acceptable level of loan to value. The only time a seller can ‘prevail’ on a failed loan is if they can prove that the applicant didn’t try in a reasonable way to get funding. An example would be if the applicant lied on the loan application or some other fraud that caused the mortgage company to reject the applicant.

In this case the seller may have some damages from taking the property off the market, but can not request an injunction making you purchase it. The judge does not have the power to make you do something, only the power to award civil damages.

By: Mr Placid

Mr Placid — Thu, 04 Dec 2008 22:38:06 +0000

No, a judge is not going to order that.

However, a judge can order you to pay breach of contract damages, if the seller sues you, and your contract did not include a financing contingency.

By: Alan Openshaw Mortgage Broker

Alan Openshaw Mortgage Broker — Thu, 04 Dec 2008 17:33:49 +0000

Sure the judge can, as long as he is willing to lend you the money!!!!!!

By: Leo F

Leo F — Wed, 03 Dec 2008 05:47:50 +0000

No, how are you going to pay for it, if you can’t get financing?

By: patticharron

patticharron — Wed, 03 Dec 2008 00:19:29 +0000

No. When you agree to buy a home, the sale is contingent on your ability to get appropriate financing. If you can’t get financing, you can’t buy the home. What good would it do for a judge to order you to buy a home for which you have no money? What needs to happen in your case is that a judge needs to order a mortgage company to provide financing, and that’s not going to happen.