A real estate sale is usually initiated by an offer from the buyer to the seller, written on a real estate contract form and backed by a monetary deposit. If the seller accepts the offer, the buyer and seller are bound by a legally binding contract. Although the forms vary by location, the essential terms include the amount of the offer, the legal description, the names of the parties, and the closing date. In addition to these terms, the contract intertwines numerous contingencies, disclosures, and procedures that dictate the responsibilities of the buyer and seller. The contract is the road map that takes you to closing. It is very important to understand their terms and follow them carefully. If it becomes necessary to terminate the contract, your close adherence to the terms and procedures of the contract is essential.
Loan contingency
Your contract may contain a provision that the buyer must be approved for a specific mortgage loan and interest rate. If the mortgage cannot be obtained within the prescribed time, the buyer may terminate the contract and receive a refund of the deposit. If it becomes necessary to terminate under this contingency, you must be prepared to document that you took immediate steps to obtain the loan, received a written denial, and notified the seller within the time limit set by the contract.
Termination based on credit disapproval can cause seller anger and disappointment. The seller may feel that he has been tricked into signing a contract with an unqualified buyer. When anger and strong emotions enter the transaction, they can cause difficulties in solving the termination.
Survey title and review
Contracts generally provide a title review period for the buyer. The buyer may object in writing to the defects indicated in the title documents. If the title defects cannot be cured, you have the right to terminate it.
In the same vein, the buyer generally has the right to review a property survey. If the construction is found to be overlapping the construction lines, or if there are invasions on the property, you may choose to terminate your crisis management.
It is worth consulting an attorney right away if you have any concerns about the title or survey documents. Your objection to title or survey issues must be in writing within the time period allowed by the contract.

Vendor Disclosure Review
In Texas, sellers (with some exceptions) are required by law to provide a seller disclosure notice to the buyer. In this form, the seller answers questions and provides information about the property. If the buyer receives the form after the contract has been created, they can terminate the contract within a certain number of days after receiving the seller’s disclosure. The date of receipt of the disclosure must be documented to establish the start date of the review period. Take care to avoid confusion about when a period of time begins to run.
HOA Mandatory Review
In areas where there is a mandatory homeowners association, the Texas contract allows the buyer a period of time to review Subdivision Information. This information is typically provided by the HOA manager after the contract is created. After receipt, the buyer has the right to review the documents and possibly terminate the contract. Again, the notice of termination must be delivered within the time limits of the contract.




