Buying or selling real estate is an exciting process that’s ripe with opportunity. However, real estate transactions are also legally complex. During the real estate transaction process, both a buyer and a seller have a duty to abide by the terms of the buy-sell agreement; if either party fails to do this, a breach of contract has occurred. To learn more about breaches of real estate purchase agreements and your rights following a breach, call real estate lawyer Deborah Gold-Alexander, Attorney at Law, today.
Common Purchase Agreement Breaches
Both buyers and sellers are sometimes guilty of breaching a real estate contract. Some of the most common breaches of real estate purchase agreements include:
- Failing to deliver payment on time. A purchase agreement will outline a date by which funds must be transferred from one party to the other; sometimes, the contract will also specify how these funds are to be transferred. Failing to deliver payment on time or within the terms of the agreement is a breach.
- Failing to disclose a required defect. When buyers and sellers enter a contract, the seller is required to disclose any property defects that they are asked about and of which they are aware. If a seller fails to disclose something, they could be held accountable for breach of contract, and also be liable for damages for fraud.
- Backing out of a purchase agreement. Until money and a deed change hands, either a buyer or a seller technically could back out of a purchase agreement, although doing so could be a breach of the contract. If a buyer backs out, they could lose their earnest money.
Remedies for Purchase Agreement Breaches
Depending on which party breached the agreement, the details of the breach, and the damages suffered by the other party, remedies for breaching a purchase agreement might include:
- Termination of the contract;
- Seller keeps the buyer’s earnest money;
- Buyer is returned deposit and earnest money;
- An action for specific performance is brought by either party; or
- A lawsuit for monetary damages is filed.
Why Work with a Skilled Real Estate Attorney
Understanding the specific duties that you have as a buyer or seller in a real estate transaction is critical; if you don’t understand what you’re legally contracted to do, you could unknowingly breach your contract. It’s also important to know what your rights are in the event that the other party breaches the contract and you suffer damages as a result.
When you work with a skilled real estate attorney who understands real estate contract law, you’ll have an advocate on your side who can help you to avoid contract disputes, and help you to remedy disputes should they occur.
Call Attorney Deborah Gold-Alexander Today
At the law office of Deborah Gold-Alexander, Attorney at Law, our lawyer has over 30 years’ experience working on real estate cases involving purchase agreements and breach of contract issues. To learn more about how our lawyer may be able to help you, call our law firm directly today for your initial consultation.