I just have a question. A short run down of the situation. I am a home owner that has had my home for sale for about a year now. I recieved my first offer on the home yesterday afternoon. I have the home listed for 74,900 and owe 70k on it. I accepted the offer for 65,000 cash. I countered at first for 70, but buyer would not go for it. I felt like I had to take the offer to get out of the house and get into a larger one quickly since my wife is pregnant and we needed a larger home quickly. So long story short, like mentioned above, took the offer for 65,000 and thought I could swing the remaining balance on the home. Well, my realtor misinformed me on how much I would end up owing, first she told me about 6k and now its a little over ten thousand dollars! Well, I cant do that. I have no one to borrow money from or anything. So my question is, since the paper work has not yet been filed since its the weekend, if the buyer cannot come up with another 5,000 and meet my original counter offer,what the heck do i do? I know I can take out another loan to pay the difference, but I absoluetly do not want to do that. I spoke with my realtor today and she said if the buyer will not come up in price, she would not file it. But honestly, after dealing with this lady, the realtor, I think she is a snake, haha. So say it does get filed for the amount signed for on the contract, what happens when it comes down to it and I cannot come up with the money to pay for the rest of the owed money?

Thanks for ANY help or advice!

MIKE

How do you know you owe 70k on it?? Have you request a mortgage payoff from your lender??

The payoff amount is very different from your balance on your monthly statement or payment coupon.

Once you have this amount you need to run a seller net sheet of typical costs to closing. You add that amount plus the mortgage amount,plus broker commissions you the seller pay out and you will get an estimate of the amount you need to close.

A contract isn't binding until both parties have signed off on the last counter with no changes.

Your math as a seller has to be fuzzy.

If you take 70k - 65k that is a 5k spread.
You are calculating that closing fees and agent commissions are only 1,000?

Surely you can see that is not right.

65k times say .06 is 3,900 in commissions.

So the 10k sounds about right from what you are describing.

If you cannot pay the money the buyer can sure for specific performance.

I can't give legal advice as I am not involved in this contract.

If you have signed the counter from the buyer but your agent has not yet delivered it you might want to get it back.

Personally you are not going to see most likely a better offer than this. Even if you deny this offer and the next has financing then the buyer would want closing costs paid which even if you received closer to the 75,000 you would almost be bringing again the same amount to closing.

If you are not satisfied with your agent request a meeting with the broker or you need to speak with a real estate attorney.

no legal advice

If you cannot pay the money the buyer can (sue) for specific performance.

The Realtors numbers do not seem out of line. She only provided you an estimate based on your numbers. These numbers change daily. 6K -10K thats an acceptable range.

If you cant pay the balance then say so sooner than later. Don't let the buyers perform inspections and order an appraisal. The buyers will likely just walk away and not sue.

It's best to be totally upfront with all parties before this goes any further. Your agent should have given you a seller's net sheet upfront listing all of your costs especially since there was so little room for negotiation. I know this doesn't help you now, coulda, shoulda, woulda.....

You still can walk away of the contract if it is not delivered and try renegotiate it. Not legal advise.