Dating Contract
Are lenders allowed to void your date of closing on your contract because they take too long?
Our lender for our new home is now saying that its a possibility we may not close by Nov 30 (what our contract says), and we will not get the tax credit if it’s later than that (which is WHY we set the close date in the contract as Nov 30). Can our lender legally do that? Are all lenders taking longer than usual to close on homes? Should we hire an attorney????
It almost always takes longer than expected to close. If you can show that the lender was negligent and caused you to close after the dead line I would say that you might have a case against the lender…..likewise if your seller causes the delay. The problem is that both will be pointing their finger at each other saying it was the others fault or your fault.
Everyone has almost a 30 days to get the thing closed. Just talk to the builder and the lender at least three times a week each asking them where you stand. If they have everything that they need from you. It is going to be a mad house the late week of this month trying to get millions of escrows closed in time. Push everyone now. If the work isn’t done before the last week of November is is highly unlikely that it will close on time.
Don’t hire a lawyer yet, because they might not have screwed up yet.
When did you open escrow and when did you submit your loan application? Get all your domumention to the lender, title company, and escrow immediately…..within 24 hours after they ask you for it. If you have to “over-night” and fax the paper work that they require.
The Dating Contract – UQ Law Revue 2009
