Sellers Remorse

Nico asks:

A guy knocked on my door and offered to buy my flat for (what I thought at the time was) a whole lot of money. He was kind of pushy and said that he couldn't waste any time, so I had to decide right away if I wanted to sell or not. So I signed the contract of sale.

Afterward I contacted a real estate agent friend of mine who did a comparative market analysis and found that the offer was actually for less than the current market value. So I won't even be able to buy my own place back for the amount this guy offered me.

I have changed my mind and no longer want to sell my house. Is there a way out for me?

Dear Nico,

I won't tell you that you were an idiot, because I think you realise that all by yourself.

This is not do-it-yourself time anymore, my friend. Go and speak to a good real estate attorney immediately.

The first thing you have to do is to look at the agreement and see if there are any contingencies that allow you to get out of the agreement. There isn't always a provision that allows to you decide not to sell. So, this "guy" could be within his rights to try to enforce the agreement.

The good news is that the transfer of ownership of the property has not been registered at the deeds office yet, so you can still salvage the situation. It may cost you a few bucks, but at least you won't end up on the street.

I don't know what the "guy" had in mind or what his motivation and intentions were, knocking on strange doors with offers to purchase in his back pocket. But it seems like a scheme to make a quick buck off uninformed property owners to me.

It could also be that it was an honest offer from someone looking for a place to call home. In this case, he might have already incurred some expenses to move, have given notice if he was renting, or incurred costs for mortgage applications and bank valuations.

If your decision to cancel the sale leaves Mr. Guy out of pocket, he will most definately not take kindly to your request to cancel the sale. So, at least be prepared to reimburse him for real damages he may have suffered.

But neither you nor I am aware exactly what the buyer's reaction is going to be, so brace yourself and open your mouth NOW. If you don't want to sell, you don't want to sell, after all.