After Signing the Real Estate Contract in Key West.

Contingencies

If an offer to purchase your real estate contains any contingency, you should include a time period for compliance, after which the offer expires. Otherwise, your real estate could be off the Key West market for months, with no assurance that the sale will go through.

If a buyer extends an offer that is contingent on Veterans Administration financing, note that your acceptance of the offer could obligate you to pay points (percentages of the loan amount). In this case, you would want to place a limit on the points to be paid.

Seller to remain in the home after closing

Most buyers want possession upon closing, because they will be paying the mortgage as of that date and will not want to pay for two residences. Sometimes, however, a buyer may allow the seller to remain for a specified period of time. For example, the seller may be moving to another state one month after the closing or, perhaps, the seller is waiting for a builder to finish a new home. In Key West, if you find yourself in this situation, do not rely on oral promises or a statement about the date on which the seller promises to vacate the premises. Make sure your purchase contract states how long the seller may occupy the home after closing and specifies the rent owed to you for that period.

In Key West, the real estate contract also should specify any penalties in the event the seller does not move, does not pay rent after closing, or does any damage prior to vacating the premises. Sometimes your attorney will prepare a separate lease, or use and occupancy agreement, to cover these and similar contingencies.

Earnest money deposit return

Generally, the purchase contract allows the buyer to get back his or her earnest money and any interest earned on it, unless the buyer has in some way violated the contract. If the seller refuses to return the deposit, the buyer may have to sue the seller for return of the deposit.

Backing out of the real estate contract

In Key West, if the seller violates the terms of the contract or refuses to close the sale, the buyer can sue to force the seller to complete the transaction. It also is possible for the buyer to sue for damages. For example, a buyer who had incurred costs for obtaining a mortgage or costs for renting temporary housing caused because the seller broke the contract would have a case for damages.