Which party is most likely to sue for specific performance in a real estate transaction?

In the context of a real estate transaction, the party most likely to sue for specific performance is typically the buyer. Specific performance is a legal remedy that compels a party to fulfill their obligations as outlined in a contract rather than simply providing monetary damages for non-performance.

When a buyer enters into a contract to purchase a property, they are often motivated not just by the potential financial gain but also by the specific property itself. Real estate is considered unique due to its distinct characteristics and personal value to the buyer. If the seller fails to uphold their part of the agreement, the buyer may seek specific performance to compel the seller to complete the sale as originally agreed upon. This legal action serves to enforce the buyer's right to acquire the property rather than merely seeking a financial remedy, which may not suffice if the property is no longer available or if the buyer's needs change.

Other parties, such as sellers, typically do not seek specific performance in the same way, as their interests may be more aligned with receiving damages for a breach. Lenders and mortgage insurance companies typically have different concerns related to financing and risk management, and would not be parties in a specific performance suit related to a real estate transaction.