ORION REAL ESTATE
630 First Street South
Waite Park, MN 56387
320.251.1177

Q:  The buyer of my property couldn’t get financing and the deal didn’t close.  Am I free to sell to someone else?

A:   You should first effectively cancel the previous purchase agreement.  Even though you didn’t close as planned, you still could have a “live” purchase agreement with the previous buyer.  To be safe, I would first extinguish any rights the previous buyer may have to the property before entering into a deal with another buyer. You should have the buyer and seller sign a cancellation of purchase agreement.  What if you didn’t cancel the first agreement, signed a P/A with another buyer and the first buyer called you back and said he now has the financing? Obviously, there would be a problem.  It is better to be safe than sorry.

Any other questions? Call us for answers!

Previous page