[Direct answer]In the Beijing area, if a seller requests a price increase after signing the contract, this constitutes a breach of contract that violates the terms of the sales contract. The buyer can refuse the request and require the seller to continue performing the contract, assist with the transfer of ownership, or legally terminate the contract and claim compensation for the price difference and losses. According to Article 577 of the Civil Code of the People's Republic of China, if a party fails to perform its contractual obligations or performs them in a manner inconsistent with the contract, it shall bear such breach of contract liabilities as continuing to perform the contract, taking remedial measures, or compensating for losses. Article 584 of the Civil Code stipulates that the amount of compensation for losses includes the benefits that could have been obtained after the performance of the contract (such as the price difference resulting from a rise in housing prices). The buyer should document the seller's request for a price increase and evidence of the breach of contract, attempt to resolve the matter through negotiation first, and if no agreement is reached, they can file a lawsuit. For more details, please refer to the following link:Legal services for real estate transactions and construction projects.

1. Problem background and typical scenarios

In second-hand housing transactions, sellers often raise prices unexpectedly during periods of rising housing prices or when they change their minds. Typical scenarios include: after online signing, they hear that nearby prices have risen and demand that buyers make up the price difference or refuse to cooperate with the transfer of ownership; they raise prices on the grounds of "family disagreement" or "testing the buyer's bottom line"; and they use tax fees, household registration, and other performance details to make it difficult for buyers to increase the price. Many buyers are trapped in a passive situation because they have already paid the deposit and are eager to move in, and are even forced to accept unreasonable price increases. In Beijing, most second-hand housing transactions are conducted through intermediaries and online signing, and the contract terms clearly stipulate the responsibilities for transfer of ownership and breach of contract. Buyers should assert their rights according to the contract rather than compromise easily. Such breach of contract disputes can be resolved in accordance with the contract provisions.Legal services for real estate transactions and construction projectsRespond to it.

II. Key points of contention

There are three key points of the dispute. Firstly, the feasibility of continued performance: if the house has not been resold and meets the conditions for transfer of ownership, the buyer can claim for forced performance; if it has been resold to a bona fide third party, the buyer can only claim compensation. Secondly, the scope of breach of contract compensation: including the breach of contract penalty stipulated in the contract and the profits that can be obtained after the contract is performed (the difference in house price increase), but within the limits of foreseeability. Thirdly, the buyer's obligation to mitigate losses: when the seller raises the price, the buyer should promptly fix the evidence and expressly refuse, so as to avoid being regarded as tacitly agreeing to amend the contract. For issues involving deposits and intermediary responsibilities, reference can be made to relevant provisions.Business and contract dispute services for enterprisesClarify the responsibilities of all parties involved.

III. Professional analysis by Henglue Law Firm

Based on practical experience in handling breach of contract cases in housing transactions, the most common pitfall for buyers is "failing to fix the evidence of the seller's breach of contract in a timely manner". Henglue Lawyers usually recommend the following: When the seller proposes to raise the price, immediately request the other party to perform according to the contract in writing (via WeChat or letter) and keep the records; reject the seller's unreasonable request to change the price, and clearly inform them that you will hold them accountable for breach of contract; if the conditions for performance are met, you can send a letter to urge them to cooperate with the transfer of ownership; if no agreement can be reached, promptly sue and, if necessary, apply for preservation of evidence (forced transfer of ownership) or property preservation. If the seller has already sold the house to someone else, you can proceed with the next step.Creditor-debtor relations and enforcement case servicesClaim compensation for breach of contract.

IV. Practical suggestions and legal basis

The legal basis is Article 509 (Full Performance), Article 577 (Liability for Breach of Contract), Articles 583 and 584 (Damage Compensation Including Potential Benefits), Article 585 (Agreed Penalty Clauses and Judicial Adjustment), Article 95 and subsequent articles (Rules on Sales Contracts) of the Civil Code of the People's Republic of China (effective from January 1, 2021); as well as the rules on the breaching party's compensation for potential benefit losses in the Interpretation of the Supreme People's Court on Legal Issues Applicable to the Trials of Disputes over Sales Contracts. Practical suggestions: Clearly specify the transfer of ownership milestones and breach clauses in the contract; if the seller raises the price, refuse in writing and obtain evidence; prioritize claiming continued performance and, if not possible, claim rescission and compensation for the price difference; if mediation fails, sue and apply for preservation measures. For intermediary fees, they can be considered in conjunction with the above-mentioned provisions.Special services and other case servicesEvaluation.

5. Henglu Law Firm's Advice

When encountering a seller who raises the price unexpectedly, the buyer needs to take a firm stance and gather sufficient evidence. The first step is to refuse the price increase in writing and keep all communication records. The second step is to check the contract transfer and breach of contract clauses, and calculate the deposit, breach of contract penalty, and loss of price difference. The third step is to send a letter to urge the seller to cooperate with the transfer according to the contract and clarify the consequences of breach of contract. The fourth step is to sue if no agreement is reached, and claim to continue performance or compensation for breach of contract. It is important to mitigate losses in a timely manner and avoid expanding losses due to delay. If you are unsure about the feasibility of continuing performance or calculating the price difference, it is recommended to consult a professional lawyer to avoid missing the opportunity to force the transfer due to procedural or evidence-related issues. For related enforcement and recovery of payments, you can seek assistance from relevant agencies or professionals.Legal services for real estate transactions and construction projects.

VI. Frequently Asked Questions

Q1: If the seller raises the price temporarily, can the buyer definitely force the transfer of ownership through litigation?

Whether the forced transfer of ownership can proceed depends on whether the house is still registered under the seller's name and meets the conditions for performance. If the house has not been resold, there is no judicial seizure, and the buyer has the qualification to purchase and the ability to pay, the court will usually support the continued performance, forced transfer of ownership, and order the seller to cooperate; but if the seller has already sold the house to a bona fide third party and completed the transfer, the buyer can only request breach of contract compensation rather than reclaim the house. In addition, if the buyer himself has performance obstacles such as being subject to purchase restrictions or not having sufficient funds for the down payment, the forced performance may not be supported. Therefore, before litigation, it is necessary to verify the status of the house rights, apply for preservation measures when necessary, and never believe in the promise that the transfer of ownership is inevitable.

Q2: What evidence do I need to prepare for protecting my rights?

The core evidence includes: the house purchase and sale contract and supplementary agreement (specifying the price, transfer node, and breach of contract liability), the intermediary service contract and online signing information, the paid deposit and housing payment receipts, the seller's WeChat, SMS, or letter records demanding price increases, the buyer's responses refusing the price increase and demanding performance, the current rights status of the house (whether it has been sold to others or sealed up), and the buyer's proof of purchase eligibility and payment capacity. The evidence is organized around "the contract is valid - the seller breaches the contract and raises the price - the buyer refuses and mitigates the losses - the amount of losses". Only with complete materials can we support continued performance or claim compensation for the price difference. Those lacking communication records should correct them as soon as possible.

Q3: How much does it cost to hire a lawyer to handle a seller's breach of contract?

The litigation fees are calculated in accordance with the "Measures for the Payment of Litigation Costs", based on the amount of the litigation subject (usually the house price or the difference in price), and are borne by the losing party. For cases involving claims for continued performance, the amount of the litigation subject is calculated based on the contract price, and the fees are higher. The attorney's fees are charged based on the complexity of the case, the amount of the litigation subject, and the workload, with fees calculated on a per-case, hourly, or percentage basis. The specific fees are subject to the terms of the engagement contract, and there is no uniform standard. For cases involving protective measures against unlawful acts or claims for damages in the event of resale, the costs will increase accordingly. It is recommended to clarify the scope and upper limit of fees before entrusting the case, and to start the litigation after weighing the value of the house, the loss of the price difference, and the cost of protecting rights. For cases where there is obviously no possibility of performance, it is recommended to prioritize claiming compensation instead.

Q4: How long does it usually take to litigate a dispute over a seller's breach of contract and price increase?

The first-instance ordinary procedure shall be concluded within six months, and the summary procedure within three months; for breach of contract cases involving contract performance and assessment of the price difference, it is often more difficult to apply the summary procedure, so they usually follow the ordinary procedure, and may need to evaluate the house price or add parties to the case, which prolongs the process. If the seller sells the house to a third party, the process will be even longer. For appeals, the second-instance procedure generally takes three months. After the judgment takes effect, the transfer of ownership or enforcement depends on the cooperation and the property status. Applying for preservation measures can speed up the process. Overall, such disputes often take several months to over a year from filing to transfer of ownership or recovery of funds. It is recommended to start the process as soon as possible and fix the status of the house.

Q5: The seller is charging an exorbitant price and refuses to transfer the ownership. What should I do specifically?

Here are the four steps suggested: 1. When the seller proposes a price increase, immediately reject it in writing (via WeChat or letter) and demand performance in accordance with the contract, securing evidence of the seller’s breach of contract. 2. Check the property’s legal status to ensure it hasn’t been resold or seized, and prepare all necessary documents, including proof of purchase eligibility and payment receipts. 3. Send a letter to the seller demanding timely cooperation with the transfer process and explicitly stating that breach of contract liability will be pursued. 4. If negotiations fail, file a lawsuit within the statute of limitations to enforce the transfer or terminate the contract and claim compensation for the price difference. If necessary, apply for injunctive relief or asset preservation orders to prevent the property from being transferred or disposed of. Throughout the process, avoid verbal compromises and maintain written records. If needed, hire a lawyer to draft legal letters and court documents to safeguard against the property being transferred or disposed of without authorization.

The above content is based on the judicial practice in the Beijing area. The facts of individual cases and the jurisdiction of the court may affect the conclusions. Welcome to consult Henglu Law Firm for specific situations.

If you are currently facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the relevant evidence, to avoid missing the statutory time limit.Legal services for real estate transactions·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on current laws and regulations and publicly available adjudication rules. It is for general reference only and does not constitute formal legal advice for specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If you encounter disputes, please consult a practicing lawyer in time.