Many of you know that we had sold our house, and had intended on moving tomorrow.
We were informed today that our contract has fallen through due to the buyer not getting approved for financing from his lender. This is what I have been explained that has happened, although by the time I hear something it has gone through several people before I get an answer.
The buyer, who was relocating from out of town, was told he had a job in our area. (We did not know he didn't already have a local job here.) He put a contract on our house, we have been busy packing and preparing for a move. His job fell through and the lender would not approve him for the loan.
Apparently, for a FHA loan, there is a stipulation that you must work in the same town in which you live. He is no longer approved for this loan because living here is far enough from his job in his hometown and would present an unreasonable daily commute.
The buyer wants to back out of the contract because he no longer has a job in our area. The problem is, we were never told that could even be a possibility. There was never a conversation or contingency in the contract that stated he could possibly back out if he didn't get the job. We would have never accepted his offer if we had known this. We thought he was serious since he had a pre-approval from a reputable company. Of course, he could try to obtain a different type of loan, or a different lender to buy our house. He still qualifies financially for it. However, who would want to buy a house that would have them travelling four plus hours to work every day. We aren't hopeful that's going to happen.
The other problem is there is some debate on rather we are eligible for the earnest money. From what we understand the buyer wants it back (because who doesn't want money.) I'm sure he feels that it wasn't his fault he didn't get a job. Of course, we feel we are entitled to it as we have accrued expenses on the house for repairs at their request, moving expenses, as well as wasted almost 2 months to go back on the market on Monday to start the entire process over. It certainly wasn't our fault he entered into a contract without making sure he would have a job in that new location.
We have been told by our realtor, that because the buyer was so far into the process, and is backing out for something that we were never informed, that we are legally able to pursue forcing him to close. We have decided that if he will release the earnest money to cover our expenses we will let him out of the contract and try to move forward with a new buyer. If they fight us about the earnest money, we may have to seek mediation, which is no good for anyone.
So for the time being, we are going to stay with my very generous parents. They are opening up their home to us & our two busy kids. We have decided to move our packed boxes to the storage we already rented, and stage the house with the remaining furniture. We are going back on the market for 30 days, and if we obtain a contract in that time we'll continue with a move. If not, it looks like we'll be moving back into our house.
So that's the scoop.
The last time I took Adam for a paid haircut, I ended up paying for half a haircut and taking him home early after the stylist cut him three times with her scissors. It wasn't her fault, he refused to sit still. After that I started giving him haircuts at home. He is still just as wiggly, but we manage to get a whole haircut for free. I do ask for tips in hugs & kisses. Adam's favorite part is when daddy vacuums off the hair.
