one of my friends is in a very troubled state of mind. He advanced $ 5k towards the purchase of a town house. The mortgage was approved based on which he waived the clause and signed the agreement of sale. Unfortuately he has been sacked and is on the look out for a new job. In the current situation, he intends to drop the sale. Is it possible? If yes. what are the damages that he needs to pay.
An early reply is very welcome

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Good luck to everyone

Talk to your estate agent and he in turn may talk to the sellers agent. If it early on in the deal, they should work something out. The worst case is he looses the deposit.

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SS
Reiki Grand Master

Hi,

I feel sorry for your friends plight.

While your friend's employment status has changed, he still cannot back out of the deal due to this as he has already sent the waiver to that effect. And it is not just 5000 that is on the line. The vendor may sue for damages from the client, if he has already bought another property and was expecting to get the funds from this sale to complete his transaction.

I suggest that you frined contacts his real estate agent and see if he could assist him in getting out of the deal and getting the deposit back. The vendor may agree if his house is in a high demand area and if the property prices have gone up since it was sold (or if he is a reasonable man with a big heart and does not have his own limitations).

Also, your friend may have already hired a lawyer. He should consult him too to ask of the repercussions.

Hope this was of some help to your friend.

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Rajeev Narula, Broker, REALTOR®
ACE TEAM REALTY INC., Brokerage
10 Kingsbridge Garden Circle, Suite 704
(Opp Square One - HWY10/403)
Mississauga, ON L5R 3K6
Bus: 1-888-355-3155 Ext. 300
Fax: 1-888-443-3155
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