I signed a purchase & sales agreement back in August to purchase a single family home with a $5k deposit. All was good, inspections etc. Set the closing date, gave the commitment letter with the FHA signed addendum. Seller of the property called my real estate agent literally screaming that this could not be an FHA loan as the seller who was selling it to me didn't actually hold title they had bought it at auction and were hoping to "flip it" and close back to back (they own it the day before I buy it). Anyways I found another mortgage that did not have that requirement, my bank spoke with the seller and told him that they would need a week before the seller held title and then transfered it to me. Seller said it wasn't a problem. I signed the extension and we were set for another three weeks with a new closing date. A week before the closing date (remember seller agreed to hold title for a week) realestate agent called me and said the seller had not obtained title yet or title V and would not return phone calls. Day before closing seller says they need more time to obtain title, so because I like like the house and really like it I agree. Another week is given on extension, this week comes and goes, seller still does not obtain title. Yet ANOTHER extension is drawn up, the seller promises that they will have the title, they have been away etc. etc. We are at the end of the third week, the seller does not have title yet again, is not responding to phone calls or e-mails and his attorney keeps putting us off.

I have spent so much money between inspections, two appraisals because FHA could not be used for the second appraisal (which seller did not disclose they do not hold title). I have spent so much time and money on this and the sellers are just refusing to actually sell this house. Can they do this? I am frustrated beyond words and am now going into my 4th extension because they refuse to sell the property.