Can Seller cancel due to a Terminal Illness?
We have bent over backwards for these people and are very suspicious of the timing. They were supposed to have mortgage by May 1st, and just approved May 21st. Settlement is June 11. We were told today the wife has cancer (Only name on loan) and going on disability June 1.
Any recourse outside of deposit (3K) which is split with our agent. We are sympathetic but suspicious at the same time.
I’m sorry…I meant Buyer..can Buyer cancel due to Terminal Illness?
Thanks for your timely responses.
This is my parent’s home and moving to an adult 55 community. My dad is a paraplegic due to a car accident and they need a 1 story home and less maintenance.
I just want to make sure my parents aren’t getting taken over.
Yes. The initial mortgage commit date was May 1st. We asked our realtor if they had one and he gave her a vague answer that he’s sure they have it.
They did not and I found out about it, I wanted to do a rewrite that included keeping earnest money (including realtor’s) if deal fell through and showing the house until they got a mortgage. My mother being in her mid 70’s felt that was too “harsh” and we should give them until May 28th to come up with something. So..finally faxed us mortgage commit letter on May 20th. The way her contract reads is she would have to in writing cancel and if not, the mortgage commit date automatically extends itself.
Thanks for all of your great answers.
Update: We received a copy of a letter the buyer faxed to the mortgage company requesting that the FHA loan is denied.
It states she has cancer since 2005 but May 7th diagnosed with terminal cancer and due to aggresive nature of tumors she is going on extended disability on June 1st and benefits will equate to approx 40-60& of current salary.
I called the loan officer and he states it will still go to underwriting for review. The husband’s name is on title, mortgage and deed but she is the only one listed for income.
The loan was approved May 21st and the request to cancel was yesterday, May 24th.
Does anyone know the due process the mortgage company will take?