5 Legit Reasons to Back Out of a Home Purchase

4. Ineligibility for Financing

Ineligibility for financing ranks as one of the 14 legit reasons to back out of a home purchase. In the case of Federal Housing Administration (FHA) loans, the house has to meet certain requirements related to safety, security, and soundness. If the house fails to meet those, the buyer will be unable to obtain a loan which makes him back out of a home purchase.