George Clements ~ Greenville, SC Real Estate
Paragraph 13 of the Contract For Sale deals with damage to the property before closing and looks something like this:
13. FIRE OR CASUALTY: In the event the Property is destroyed or damaged by fire or other casualty prior to closing,
Purchaser or Seller will have the option for ten (10) days thereafter of proceeding hereunder, or of terminating this Contract by written notification to the other party.
This is a pretty simple clause that is pretty self explanatory. It is says that if the property is destroyed by a fire or other disaster while the property is under contract and before the closing that the seller and purchaser have 10 days to end the contract.
So, let's say that you had a house under contract and were set to close on it in two weeks but then there was a fire at the house that caused damage. You go to the house after the fire and see that you do not want to buy it anymore. According to the contract, you have 10 days to let the seller know in writing that you do not want to buy the property anymore. The seller could also notify you that he will not sell it anymore.