Landed a new job in a different city and we are contemplating backing out of new build contract. Horror stories? Odds I actually get sued?

From what I understand they typically just keep builders deposit and earnest money and move on but figured I'd ask. Builder is PSW Homes.

So are you building a home on their lot, with them providing the construction financing? How far in the construction process is the home?

Check your contract as well as there might be something to that regard.

It sounds to me that you are amicable to letting them keep deposit and earnest money. If so, reach out and offer that sooner rather than later so if they want to take some cost saving measures that can start now.

Read the contract but you'll most likely only be responsible for any deposits already paid and earnest money.

Gang I've read the contract, I'm not ignorant. It says they could keep the deposit and earnest money OR they could sue. I'm seeing if anyone has had any experience with a suit. I've heard that most just take the builders deposit and earnest and move on...but didn't know if others felt that it was a more prevalent risk than I've heard through friends.

Construction is almost done - but I've also heard the houses are appraising for about 40k more than purchase price. Which in my opinion, would seem favorable.

Talk to a realtor. Maybe you can sell it and at least break even if the builder won't agree to keep your deposit and move on.