We often get asked by buyers if they can terminate a real estate contract they’ve signed due to a change of heart or because they found a different house they like better. First, consult your attorney for legal advice specific to your situation. However, often times, if the contract has been executed, meaning both the buyers and sellers have signed it, in the state of IL there are a few ways to get out of the contract during the attorney review and inspection period. Typically once a contract has been executed there is an attorney review and inspection period, often five to seven days. During this time the inspection will occur and the attorneys will review and sign off on the contracts. In most contracts, there is a clause where if you are unhappy with something in the inspection report you as the buyer can get out of the contract and get your earnest money refunded to you. However, this is something your attorney will need to handle before the end of attorney review. Typically the buyer’s attorney will write a letter to the seller’s attorney saying the buyer would like to get out of the contract due to inspection issues. The buyer’s Realtor will then create a form which the buyers and sellers sign asking for a refund of the earnest money. All of this has to happen before the end of the attorney review period. Once the attorney review period has ended, it is very difficult, if not impossible, to get out of an executed contract for the purchase of a home.
