What happens when VA appraisal comes in lower than sales price 231 K vs 237 K? Can I get out of loan and get money back? Renegotiate? If I drop the contract will I get Earnest money back? Please help.I am in Florida. This house was a spec house by the builder in his newly developed community. The house was completely finished before I saw it and before the contract. I do NOT want to "renegotiate" if I do not have to AND I can get my earnest money back. The VA is adamant about this appraisal being at 231K
You do not need to get out of a loan if the loan is not being made, rather it appears you want to get out of the purchase. That comes down to the terms of the purchase agreement and whether the financing was a condition of sale. If so, then you are probably out and should get your deposit back. Since the contract will usually govern these matters, you should have a local attorney review the contract before you make any decision.
Iwould depend on the terms of the contract. I would have to review it before giving you any opinion. I would recommend speaking to a real estate attorney. Our office offers a free consultation.
Statements made are for informational purposes and are merely a legal opinion.
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