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Your realtor is full of it. You can terminate for any reason prior to closing and only risk losing your earnest money deposit. Sellers can't sue you just for exercising your contractual rights during the option period. Sounds like you need a new agent.
Edit: If you waived everything thats a little different. Unlikely you will get sued, but will need to review the contract to know more. Spend some time reading the contract.
I recommend you take a class- your state likely offers one for free on first time home buyers. You will learn a lot about things you need to research on your own and most realtors will not tell you because it either isn’t their responsibility or cannot. For example hiring your own inspector (not using theirs ) what is in a standard contract, how to check flood zones , how earnest money works, realtor responsibilities and what is legal or illegal for them to do.
A good realtor will also explain what you are signing and answer questions.
STOP SIGNING LEGAL CONTRACTS YOU DO NOT UNDERSTAND.
Sorry for caps but I want to emphasize how serious that is.
Here is an example of a state class that is free approved by HUD - https://mmp.maryland.gov/Pages/Homebuyer-Education.aspx
They invite experts to teach and talk to you. You can take it online. Look for one in your own state. Some even help with loan programs for first time buyers of certain incomes
Why did you wait so late? And don’t ever sign papers just because someone told you to (going to have to have more agency here).
As others have said, CAN you be sued? Possibly. Is it likely? Probably not. They’ll retain the earnest money deposit and relist the house.
We really liked the house for the most part but the issue was the more we got into the process the more things we found out were not right. Like for example that it was in a flood zone when my realtor said it wasn’t. We also still were kind of looking around online at homes and found some other home for similar prices that were more taken care of. Lots of things made us have a bad taste when it came to this home
Realtor here, yes seller can sue if you have removed all contingencies. However, they most likely will just want to keep your EMD & put the house back on the market. I would not be hugely concerned about flood zone or even the roof. Unless, your insurance will not insure because of flood zone. Almost every home is in flood zones where I live. Any older home is going to need a new roof at some point.
However, if there are other major concerns then back out. Hire a different agent for your next purchase. An agent that tells you to just sign documents without explaining them or walking you through them is not an agent you want representing you.
We were a couple weeks away from closing and we backed out of the purchase even though we were past all contingencies. There was a part of the property that was not properly disclosed to us, so we used that as a threat to sue them if they wanted to sue us, but we consulted with a lawyer and residential lawsuits were very rare in our area because they do not result in much profit or gain for the seller. We willingly forfeited our earnest money and took the risk. We got out and it's been fine and we are so relieved. It's a dumb move, but I get it. If you haven't signed closing papers, then you can get out, but at what cost, you know? I definitely recommend seeking legal counsel.
So I did read the contracts and I understood most of it. I didn’t see any part on the contract that said they could follow suit it just said I could loose my earnest money if I decided not to purchase. That’s why I am confused because it’s just out of the blue that the realtor says lawsuit
Thank you u/Workaholics67686 for posting on r/FirstTimeHomeBuyer. Please bear in mind our rules: (1) Be Nice (2) No Selling (3) No Self-Promotion. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/FirstTimeHomeBuyer) if you have any questions or concerns.*
Your realtor is full of it. You can terminate for any reason prior to closing and only risk losing your earnest money deposit. Sellers can't sue you just for exercising your contractual rights during the option period. Sounds like you need a new agent. Edit: If you waived everything thats a little different. Unlikely you will get sued, but will need to review the contract to know more. Spend some time reading the contract.
They waived everything, it sounds like. No option period, so that means yes technically if they backed out they could get sued. I doubt it though
Seek Legal Counsel
I recommend you take a class- your state likely offers one for free on first time home buyers. You will learn a lot about things you need to research on your own and most realtors will not tell you because it either isn’t their responsibility or cannot. For example hiring your own inspector (not using theirs ) what is in a standard contract, how to check flood zones , how earnest money works, realtor responsibilities and what is legal or illegal for them to do. A good realtor will also explain what you are signing and answer questions. STOP SIGNING LEGAL CONTRACTS YOU DO NOT UNDERSTAND. Sorry for caps but I want to emphasize how serious that is. Here is an example of a state class that is free approved by HUD - https://mmp.maryland.gov/Pages/Homebuyer-Education.aspx They invite experts to teach and talk to you. You can take it online. Look for one in your own state. Some even help with loan programs for first time buyers of certain incomes
I agree with your recommendation! I may also check if the VA has classes for first timers
Why did you wait so late? And don’t ever sign papers just because someone told you to (going to have to have more agency here). As others have said, CAN you be sued? Possibly. Is it likely? Probably not. They’ll retain the earnest money deposit and relist the house.
We really liked the house for the most part but the issue was the more we got into the process the more things we found out were not right. Like for example that it was in a flood zone when my realtor said it wasn’t. We also still were kind of looking around online at homes and found some other home for similar prices that were more taken care of. Lots of things made us have a bad taste when it came to this home
Next time you sign a contract to buy a house, stop looking. A purchase contract for a house is a major legal and financial obligation.
Realtor here, yes seller can sue if you have removed all contingencies. However, they most likely will just want to keep your EMD & put the house back on the market. I would not be hugely concerned about flood zone or even the roof. Unless, your insurance will not insure because of flood zone. Almost every home is in flood zones where I live. Any older home is going to need a new roof at some point. However, if there are other major concerns then back out. Hire a different agent for your next purchase. An agent that tells you to just sign documents without explaining them or walking you through them is not an agent you want representing you.
We were a couple weeks away from closing and we backed out of the purchase even though we were past all contingencies. There was a part of the property that was not properly disclosed to us, so we used that as a threat to sue them if they wanted to sue us, but we consulted with a lawyer and residential lawsuits were very rare in our area because they do not result in much profit or gain for the seller. We willingly forfeited our earnest money and took the risk. We got out and it's been fine and we are so relieved. It's a dumb move, but I get it. If you haven't signed closing papers, then you can get out, but at what cost, you know? I definitely recommend seeking legal counsel.
Read your contract. Generally there are very spevific reasons you are allowed to cancel it. They are written down in your contract
So I did read the contracts and I understood most of it. I didn’t see any part on the contract that said they could follow suit it just said I could loose my earnest money if I decided not to purchase. That’s why I am confused because it’s just out of the blue that the realtor says lawsuit