We have a home for sale, it was under contract. The buyers agent was the buyers daughter. They signed the contract stating they would get a residental loan and put $1,000 in escrow. The residental loan was approved and we were going to close, until the title company found out that they were going to rent out the home and told them that they could not close with a residental loan. They tried to get the correct type of loan to no avail. We gave her a 3 week extension, she agreed to pay all daily interest during that time. Finally they were denied for the right type of loan and now they want their escrow deposit back and do not want to pay the daily interest, and I am out 3 weeks time and have to have the escrow tied up because they wont release it. She even had the nerve to say that she would split it with us if we gave her the pool table in our house!!!! Please read my other ?s for more details. What would you do in this situation?
2006-10-23 10:45:15 · 7 answers · asked by susieq 2 in Politics & Government ➔ Law & Ethics
Tell them, "thanks for the Grand, have a good day."
2006-10-23 10:56:20 · answer #1 · answered by Manny 6 · 0⤊ 2⤋
It all depends on the contract, if the contract allows them to get out of the deal if they are denied a loan, you might not have any case. You might be able to fight it on the grounds that they were denied the loan because of their actions, but I doubt it is worth the $1000. As to the interest, again, it depends on the contract. Do you have something signed? or was the agreement oral? Does it says what would happen if they don't get the loan?
Everything really depends on your contract(s). You might call a lawyer and ask what the cost would be to review the contract, if it isn't much, it might be worth it to have them take a look.
2006-10-23 17:59:13 · answer #2 · answered by Wundt 7 · 1⤊ 0⤋
You want to send the realtor a letter, sent certified.
You want to say "pursuant to the contract dated x where y was to buy the property at z, closing was to have taken place by date q. As this has not occurred, the $1,000 deposit is forfeited to me under paragraph #. Please remit the check promptly."
Be sure the contract really DOES call for the forfeiture, and wait three days after you get the little green card that proves they got it.
Then call an attorney. They may or may not cough it up, but they might without having to get a lawyer involved.
2006-10-23 18:17:37 · answer #3 · answered by open4one 7 · 0⤊ 0⤋
A Real Estate attorney is who you need to speak to on this one. The contract was written based on buyers loan approval, when you signed the extension you also signed that you knew a different type of loan was needed and that you agreed it was again based on loan approval. Was it it written in the extension any agreement in regards to any daily interest? If not, you really don't have a leg to stand on. Where is your listing agent in all of this? Your agent is supposed to be looking out for you in this deal.
2006-10-23 18:00:23 · answer #4 · answered by Anonymous · 1⤊ 0⤋
Did the contract have a mortgage contingency clause? If it did, they can get out of the contract with no problem.
What did the rider say regarding the daily interest? Was it due and payable even if the deal did not close?
2006-10-23 19:50:48 · answer #5 · answered by BoomChikkaBoom 6 · 0⤊ 0⤋
If the daughter is a licensed Realtor file a complaint with your state licensing board. Get advice and counsel from a real estate attorney, they will be able to help you. With such a conflict of instrest she may not be licensed for long.
2006-10-23 17:58:01 · answer #6 · answered by notaxpert 6 · 2⤊ 1⤋
get a real estate lawyer and they can tell u anything u need to know. just make sure u have all ur paper work and all ur documents and every t is crossed and every i is dotted . good luck.
2006-10-23 17:49:10 · answer #7 · answered by Nora G 7 · 1⤊ 0⤋