Are real estate contracts binding if the loan has not been processed?

I placed an offer on a home in Arkansas a few weeks ago and today was offered a job in another state. The home loan has not been processed or finalized. The only thing I have signed is an offer and it was accepted by the homeowner. Other than losing my earnest money, which I expect....how obligated am I to this contract.

You just answered your own question. You will lose your earnest money but no one can hold you to the contract unless you have closed on the house. In some cases the earnest money may be returned if it is very early in the deal, like you and the owner are still negotiating terms which is not your case. The reason they keep the money is because they are locked in with you once a reasonable offer is made and risk losing money if you change your mind. If no other people were looking at the house, it wouldn't hurt for you to ask for the money back, but don't count on it. You may also owe the mortgage broker for his/her services, as well. That is something to find out from the broker. The other commenters are right as well. They can sue you but unless we're talking about a VERY expensive home, it is highly unlikely.

Depends on state law s , but in most place s , until you sign the final paperwork it s not a done deal- you can back out any time. Make a few phone calls and call it off.

The only way is if your loan is denied. More than just earnest money, they can legally sue you if they wanted to.

If you back out now you will likely lose your earnest money, technically they can sue you for any damages/costs that they had to endure because you breached your contract, if there was a contract or even if there wasn't because they reasonably relied on your promise to buy the home. Unless they really bent over backwards for you they wont do anything but take your earnest money because it wont be worth it to them to continue to pursue this matter.