Can a homebuyer change their financing after going under contract?
Can a homebuyer who has gone under contract change their financing? They can, but they need to understand that the seller accepted their original terms.
For example, suppose a buyer with a conventional loan waived their appraisal when they went under contract, then decided to go back and change their loan to an FHA. In that case, the FHA amendatory clause, which everyone involved will have to sign, states that the home must appraise for the sales price for the buyer to qualify.
“It’s best to stick with what you originally had so that you don’t accidentally dissolve the deal.”
The seller could decide they don’t want to sign that form due to concerns about the home appraising or the buyer’s ability to qualify for financing. Then you’d have to change your third-party finance addendum because the terms would be different. The deal could also fall apart entirely.
Ultimately, you can change your financing, but it’s best to stick with what you originally had so that you don’t accidentally dissolve the deal.
If you have any questions about this or other real estate topics, don’t hesitate to give me a call or send me an email. I’d love to hear from you.
