Hot Market + Bidding Wars + Buyers Remorse = Potential Nightmare!
Recently a home in my own neighbourhood sold for almost $80,000 over the asking price. Welcome to the neighbourhood. You currently own the most expensive home in my area. Starting to feel a little buyers remorse?
With the way the market in London is heading, more and more people are becoming the owners of the most expensive home in their particular area. Multiples offers on properties means less conditions and less options for a buyer to get out of a deal.
Buyers Remorse: Next Steps…
Can you refuse to deliver the deposit?
Yes. I wouldn’t recommend that though. In many instances sellers are demanding certified cheques or bank drafts to accompany offers. However, even if you refuse to pay you are still liable for damages. If the seller has to re-sell the property you can be sued for the difference in price if the seller subsequently sells for less money. In addition, even if the seller subsequently sells for more money, the buyer can be sued for the amount of the deposit that they failed to deliver.
Legal Solutions
A buyer could potentially sell the property on to another buyer. We call this an assignment. In all likelihood you would need the sellers agreement to do this.