We put an offer in on a house and gave $3,000.00 in ernest money, the seller counter offered and we do not agree. The counter if far fetched and not worth the time to hagle. We would like to keep looking but need advise on getting my money back. Since ernest money is for an agreement to purchase the home and we have not aggreed. Also, should the ernest money be deposited into an escrow account before an agreement is reached?
2007-02-16 07:19:40 · 5 answers · asked by rhlkale 3 in Business & Finance ➔ Renting & Real Estate
yes - you get your deposit back. And the deposit check is typically (CA) held un-cashed until acceptance and then deposited with the settlement agent (escrow company or attorney).
Occasionally a real estate company will deposit your check into THEIR trust account, but this is still refundable to you.
There should be no delay in getting you your deposit back. If there is, then (threaten to) call the Real Estate licensing agency in your state and file a complaint. This is the #1 reason that agents lose their license - mishandling trust funds (other people's money). That will get everyone working diligently for the return of your deposit.
2007-02-16 07:26:49 · answer #1 · answered by sdmike 5 · 2⤊ 0⤋
Earnest is supposed to be put in an escrow account (it's the law in MI).
If your offer does not meet the asking price, the owner is under no
obligation to accept it. However, if the seller gives a counter-offer
it is considered that the original order was refused and the BUYER
is under no obligation to accept the counter-offer. That being said, you
are entitled to your earnest deposit post-haste after signing the
refusal to the counter-offer (by Michigans standards) -- hope that's not too confusing.
2007-02-16 15:31:48 · answer #2 · answered by Anonymous · 1⤊ 0⤋
Your check should still be in the hands of your realtor and should not be deposited until a Purchase & Sale agreement is signed by both parties.
Since you did not have a signed contract, you should have no problem getting your deposit back. If your realtor doesn't agree, ask to speak with the Broker that runs the agency.
2007-02-16 16:00:50 · answer #3 · answered by Insurance Biz CT 5 · 1⤊ 0⤋
No accepted offer = you get your money back. Promptly.
It shouldn't have been deposited yet, so you should get your actual check back, uncashed.
And don't let anyone tell you it will take a long time. You get it back asap.
PS, it's earnest. Not Ernest, like Ernest goes to camp. :)
2007-02-16 16:26:08 · answer #4 · answered by Yanswersmonitorsarenazis 5 · 1⤊ 0⤋
Usually you get your check back. The money is generally not deposited until the contract is agreed to.
2007-02-16 15:28:31 · answer #5 · answered by Gene Rocks! 5 · 2⤊ 0⤋