Brian Phillips (2021)

ANNOUNCER: I’m with Brian Phillips from Cohen Highley Lawyers. In what scenario would a home seller not want buyers to waive all conditions?

BRIAN: One reality of our unprecedented hot real estate market is home buyers have found that if they want their offer to be considered, they need to leave out all conditions, including everything from home inspection to financing. But the seller will have a significant problem if their buyer cannot actually arrange the necessary financing needed to close.

ANNOUNCER: But in that scenario, couldn’t the seller legally pursue the buyer who couldn’t close?

BRIAN: Yes, but a lawsuit won’t provide an immediate solution for the seller and is probably the last thing a home seller wants. The risk for such an outcome is much higher in the current market circumstances, with buyers often bidding well in excess of the asking price. The seller is very much at risk if the buyer hasn’t properly organized his or her financing for the planned purchase.