How Perry Homes Uses This Clause
Perry Homes purchase agreements have been documented to include daily closing penalty provisions. If the buyer cannot close by the specified date, the contract imposes per-day financial penalties that accumulate until closing occurs.
Daily closing penalties create financial pressure on buyers to close even when legitimate concerns remain unresolved, such as incomplete punch-list items, unresolved inspection findings, or financing complications.
Perry Homes operates exclusively in Texas and uses its own purchase agreement rather than the standard TREC form. The closing penalty terms may differ from what buyers expect based on standard Texas real estate transactions.
Builder-Specific Details
Builder-Controlled Closing Timeline
The builder typically controls the construction timeline and sets the closing date. Penalties for buyer delays may apply even when the builder's own delays contributed to the scheduling conflict.
Combined with Deposit Forfeiture
Daily closing penalties compound the financial pressure created by deposit forfeiture provisions, creating multiple layers of financial risk for buyers who cannot close on time.
State-by-State Enforceability
Enforceability of this clause varies by state. The following reflects Perry Homes's operating states.
| State | Status | Note |
|---|---|---|
| Texas | Likely Enforceable | Texas courts generally enforce per-day penalty provisions if the amount is a reasonable estimate of anticipated damages from closing delays. Perry Homes' closing penalty provisions are likely enforceable under Texas law. |
Related Clauses in Perry Homes Contracts
This clause often works in combination with other provisions in Perry Homes's purchase agreements.
Deposit forfeiture and closing penalties create compounding financial pressure on buyers.
Material substitutions discovered at closing may pressure buyers to accept changes or face closing penalties.
What Buyers Can Do
- Understand the penalty amount and calculation. Know the per-day penalty amount and how it is calculated. Determine whether there is a cap on total penalties and whether the builder must provide reasonable notice of the closing date.
- Ensure your financing is secured well before closing. Financing delays are a common cause of closing delays. Lock your rate and complete underwriting well before the scheduled closing date to minimize risk of penalty exposure.
- Have the full contract scanned before signing. This clause is often one of several interconnected provisions in Perry Homes contracts that collectively limit buyer remedies. A contract scan can identify all of them.