The real estate market is red hot right now. A recent report out of Orlando, Florida notes that the real estate market broke records in 2021, with the average price of a home in the area up more than $65,000 compared to the same time period the previous year. With inventories at record lows and buyers still looking for properties, this trend is likely to continue through 2022.
What does this mean for sellers?
Sellers are often getting offers on their properties within hours and days of listing, sometimes even for above the asking price. This can lead sellers to wonder if they should have listed their home for a higher price. In some cases, it is possible the seller may try to increase the price after they accept an offer.
But can the seller do this? Is it legal?
The answer will depend on the details of the situation, but in general there are legal consequences if a seller tries to get out of the deal. In the legal world, this is referred to as a breach of contract. A breach of a real estate contract can leave the buyer to pursue the following legal remedies:
- Specific performance. This is a legal action with the goal of forcing the seller to move forward with the process as outlined within the real estate contract — basically making them sell their home.
- Monetary damages. The amount will vary but can include the difference in the expense it cost the buyer to purchase a comparable property as well as additional expenses, potentially including attorney’s fees.
Those who wish to move forward with legal consequences in this situation are wise to seek the counsel of an attorney experienced in this niche area of the law.