Rocker Steve Miller is backing out of buying a $6.7 million mansion in upstate New York and, as a result, the owner is suing the singer, ostensibly, to force the sale.
The issue at hand has to do with the contract and the way it is being read by the two parties. According to Miller, he’s buying the property contingent upon the home appraiser at the contract price while the seller says the contract states no such contingency. To make matters worse, the gulf between the contract price and appraisal value is huge: $2.4 million. No matter how much money you have, no one wants to overpay for anything, especially when you’re talking millions.
Here in California, the primary contract used by Realtors throughout the state has a clearly identifiable section on this, which is one of the main contingencies along with the loan and buying investigation contingencies.
In Miller’s case, he should have immediately presented the appraisal findings instead of waiting right before close. Who wants that kind of surprise? As a result, there’s little good will left in possibly re-negotiating the price.