Question: I represent a Buyer who is in a Back up position. However it appears that the Primary Buyer is going to close on this property because they are past the Appraisal deadline. So my Buyers have made an offer on another property. I’m wondering if the Buyer should cancel the Back up offer?
Answer: According to section 1.3 of the Secondary Back up Addendum: 1.3 Buyer’s Right to Cancel. At any time prior to the Backup Contract becoming the Primary Contract (as provided in Section 1.4 below) Buyer may cancel the Backup Contract by providing written notice to Seller. I would cancel that contract before the Buyer is committed to purchasing two properties. Or the Buyer could wait until after they are under contract on the new property and then cancel their back up position. Use form 53 to cancel the contract.