Most real estate transactions tend to fall apart because of the buyer, but there are cases where sellers influence these failures. Some sellers may request additional time to move out before the buyer physically assumes the property, but there are also those who change their mind about selling at the eleventh hour. This may be because they want to sell to someone else after being offered a better price, or simply because they got cold feet. Although they may attempt this, it’s important to know that there are laws that protect buyers. These laws enable buyers to sue the seller and force them to follow through with the deal. If you’re wondering what happens if a seller delays or notice that the seller is stalling, here are your options and how you can get help from a real estate lawyer.
Reasons Why a Seller Might Be Delaying
Compliance Issues
The seller may not be able to comply with some term of the agreement of purchase and sale. This could be the requirement to close open permits or close work orders, the requirement to complete some work under the contract, the requirement to ensure building and zoning compliance if explicitly set out in the contract, the requirement to provide a survey if explicitly set out in the contract, or other such matters. The seller may need to ask for extra time to make sure this is all properly completed.
To Complete Repairs/Cleaning before Closing
Another reason why a seller may be delaying closing is if they are still working on completing repairs or cleanings of the property. If this was agreed upon after the buyer’s home inspection, it may take additional time for the maintenance to be performed, especially if it relies on the schedule of a repair or cleaning company. However, if the seller is stalling because they’ve chosen to do the updates themselves (to save money) you may experience even more delays.
Title Issues
Another factor that may contribute to a delayed closing is the title of the piece of real estate. If the seller had previous liens against their home that were not discovered when the buyer purchased the home, it makes the property unsellable. Therefore, it is important to work with a real estate lawyer as they will ensure that the title is legitimate before you make a purchase. Otherwise, title-related problems will delay the sale of the home or cancel it altogether.
What to Do if a Seller Is Stalling
Assess Your Options
If you notice the seller stalling, your first course of action is to assess your options. If they need more time to get their belongings out of the home, contact your real estate agent and lawyer to draft up an addendum to the contract that allows an extension for the closing. You can alternatively keep the closing date the same but allow the seller to lease the property to you temporarily after closing. Be firm about charging the seller rent if you choose this option, so they have a reason to leave.
Decide Your Course of Action
If the seller’s stalling seems suspicious to you, decide if you want to fight them for the property. If it’s not worth the fight, cancel your contract and look for a new property to purchase.
File a Suit Against the Seller
If the seller has not complied with the contract and continues to delay, hire a real estate lawyers to file a lawsuit against them. Ask for specific performance of the contract so the seller is forced to comply with the contract and so you can take both legal and equitable ownership. You may also decide to file an affidavit indicating that you have a contract to purchase the property that you are claiming title of.
Contact Zinati Kay – Real Estate Lawyers to Decide the Best Course of Action
These are just a few reasons why a seller may be delaying, but they show how important it is for buyers to do their due diligence to ensure they get the property they and the seller agreed on. There are many things that must happen for a successful real estate closing to take place on time, so working with a real estate lawyer can protect you and guide you as you make this transaction. They will keep you in the know as to what the responsibilities are on your part and the seller’s part, as well as provide legal advice if there are any issues.
Zinati Kay – Real Estate Lawyers is a full-service residential real estate law firm that provides fixed closing costs to our clients when they buy, sell, mortgage, or title transfer their property. We have closed over 21,000 real estate transactions over the past 25 years and helped many of our clients understand the terms and conditions of their forms. If you want a professional by your side as you buy, sell, refinance, or title transfer your property, contact us at (416) 321-8766 for more information about our services. We look forward to assisting you as you decide on the best course of action if your seller is delaying the closing.
FAQs
If they're not responding, or they come back with a not-so-great counteroffer, cut to the chase. Make your maximum offer immediately and put it in writing. Then, if they still don't respond, start looking elsewhere. If the sellers have a change of heart later, they'll know how to find you.
How do you handle sales stalls? ›
The most important thing to remember when dealing with prospects who stall is that you're working for them. You need to put yourself in their shoes and try to understand what they want and what you need to do in order to satisfy those needs. You've asked questions and taken good notes.
Why is the seller taking so long to respond to my offer? ›
Sometimes the listing agent has the answer, the seller is holding out, the seller is on vacation, the seller isn't tech-savvy and hasn't had an opportunity to review it yet. There are several reasons sellers delay accepting an offer and if a buyer really wants the home they might be at the seller's mercy.
Why does the seller keep delaying closing? ›
Common Reasons of Delayed Escrows and Closings by A Seller
The seller needs more time to pack and move. The seller is facing issues with the new home they purchased. If you're purchasing a home through a short sale, the sellers might be stalling on purpose because they're living in the home for free.
Why is seller taking so long? ›
Sometimes sellers take longer than you anticipate, and that can happen for various reasons. For example, if a seller is considering multiple offers, it can be a tough decision – and one that requires a lot more consideration. But sometimes, sellers don't respond very quickly because they feel an offer is too low.
Can you ask for price reduction after inspection? ›
Request a Price Reduction
If the home inspection uncovered major problems, you may want to consider asking for a price reduction. This is because the cost of repairing major issues can be very expensive, and it's not fair to ask the seller to pay for them. When making a counter-offer, it's important to be reasonable.
What do you call a stall seller? ›
stall·hold·er ˈstȯl-ˌhōl-dər. chiefly British. : one who manages a stall at which articles are sold.
What is an example of a stalling objection? ›
Stalls. You'll recognise the most common form of a stall with these words: "We want to think it over." Or “I'm too busy to make a decision right now.” There are many variations. The key to dealing with these objections is to recognise the customer's statement is a stall, so you know what to say.
What is a stall tactic? ›
Meaning of stalling tactic in English
something that someone does intentionally in order to delay taking action or prevent someone from doing something for a period of time: The defense asked for more DNA tests, which the prosecution claimed was just a stalling tactic. SMART Vocabulary: related words and phrases.
Do sellers usually wait to accept offers? ›
In theory, sellers can take as long as they want before responding to an offer, but most listing agents get back to buyers within a few days. For the most part, 24 to 48 hours seems to be the standard observed by most sellers and their agents, but there are some exceptions.
One Week is Standard
However, there is no set number of days that a person can take to respond to a job offer. If you need more time to decide, tell the company how long you need. A week may even be too much for you.
How long is too long to respond to an offer? ›
It's generally a good idea to respond to a job offer within a few days. This will show the employer that you are interested in the position and give you time to carefully consider the offer and any potential counter offers.
What happens if seller doesn't close by closing date? ›
In most cases, if the home does not close on time, the purchase contract expires if the seller does not agree to delay closing to give the buyer some extra time. However, this only sometimes means the house purchase will not go ahead.
How do you avoid a delayed closing? ›
To avoid any delays, you should communicate with your lender regularly and promptly respond to any requests or questions they have. You should also avoid making any major changes to your financial situation, such as opening new accounts, applying for new credit, or making large purchases, until after the closing.
How long can you push out closing? ›
If you have a good reason for missing the closing date, the courts will usually decide in your favor and grant a reasonable postponement, giving the buyer an extra 30 days to complete the transaction.
Can a seller block a buyer? ›
Blocking a buyer on eBay. eBay sellers have control over who can bid on and buy their items. You can block individual buyers or set buyer requirements based on specific criteria. If you've had an issue with a buyer and don't want them to purchase or bid on your items, you can add them to your Blocked buyers list.
How do you motivate a seller to sell? ›
Some of the hot buttons that motivate a seller include a buyer who can close quickly, usually in 30 days or less so that the seller gets paid fast, a purchase offer with minimal contingencies (such as waiving the financing contingency for an all-cash deal), or accepting a property in need of repairs as-is.
How do you convince a seller to sell? ›
“The best way to convince someone to sell is to explain the process of buying, how to balance the purchase and the sale process and how to ensure that your offer is accepted in this market,” she says. “Education, experience and teamwork will help convince a property owner to sell their property.”
What happens if seller doesn't respond to repair addendum? ›
What happens if the seller doesn't respond to the repair addendum? While the time sellers have to respond to a repair request will vary depending on the actual contract, it's usually within a few days. At that time they can accept the addendum, make a counteroffer, or decline to make the repairs.
