ChitownLiving | Chicago Real Estate + Life

Often times, closing for a new construction is months or years away from the contract date.  The Developer’s contract may require financing contingencies, which can be 30 days after contract acceptance.  It appears a little odd to impose a requirement on someone to obtain an unconditional loan commitment one year from the closing date.  I make the request that the contract remain contingent upon the property appraising at or above the purchase price.  It would be unfortunate to discover that the property you are buying for $300,000 was appraised for $288,000.  By making this request and obtaining agreement from the seller’s side, one may be able to adequately preserve their ability to cancel the contract and seek a full return of all earnest money paid if the property does not appraise out. Prior New Construction Series Posts

• Purchaser Litigation