{"id":28676,"date":"2026-04-27T00:45:54","date_gmt":"2026-04-27T05:45:54","guid":{"rendered":"https:\/\/pintailcos.com\/web\/qa-can-the-buyer-switch-the-type-of-financing\/"},"modified":"2026-04-27T00:45:54","modified_gmt":"2026-04-27T05:45:54","slug":"qa-can-the-buyer-switch-the-type-of-financing","status":"publish","type":"post","link":"https:\/\/pintailcos.com\/web\/qa-can-the-buyer-switch-the-type-of-financing\/","title":{"rendered":"Q&amp;A: Can the Buyer Switch the Type of Financing?"},"content":{"rendered":"Q: A seller accepted a contract with conventional financing and a full appraisal waiver. The buyer now wants to switch to FHA\/VA financing. Does the seller have to allow the buyer to make this switch? Can the seller terminate? Can the buyer terminate if they are unable to obtain FHA\/VA approval?\nA: No to all questions. Generally, as long as the buyer produces funds at closing, the buyer may switch financing types. However, if the buyer is attempting to switch from conventional financing to FHA\/VA financing, the lender will require an executed FHA amendatory clause or VA escape clause, as applicable. Since the seller did not originally agree to allow the buyer to pursue FHA\/VA financing, the seller may refuse to sign the required clause addendum, which could prevent the buyer from obtaining approval for this financing type.\nThere is no provision in the One to Four Family Residential Contract (Resale) (TXR 1601, TREC 20-18) that allows the seller to terminate due to the buyer attempting to switch financing. If, however, the buyer is unable to obtain such financing and cannot otherwise produce the funds to close per Paragraph 9 of the contract, the seller\u2014as the non-defaulting party\u2014would have the right to exercise the remedies available in Paragraph 15 of the contract.\nLastly, since the Third Party Financing Addendum (TXR 1901, TREC 4011) only provides the buyer the right to terminate for the financing type reflected in Paragraph 1 of the addendum, the buyer will not be able to terminate for failing to get FHA\/VA approval, unless the seller agrees to amend the addendum to the contract stating the buyer is seeking FHA\/VA financing.","protected":false},"excerpt":{"rendered":"<p>Q: A seller accepted a contract with conventional financing and a full appraisal waiver. The buyer now wants to switch to FHA\/VA financing. Does the seller have to allow the buyer to make this switch? Can the seller terminate? Can the buyer terminate if they are unable to obtain FHA\/VA approval? A: No to all [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[108],"tags":[],"class_list":["post-28676","post","type-post","status-publish","format-standard","hentry","category-news"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/posts\/28676","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/comments?post=28676"}],"version-history":[{"count":0,"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/posts\/28676\/revisions"}],"wp:attachment":[{"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/media?parent=28676"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/categories?post=28676"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/pintailcos.com\/web\/wp-json\/wp\/v2\/tags?post=28676"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}