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If Buyer determines, in Buyer's sole discretion, that the Property is not acceptable to Buyer, Buyer may terminate this Contract by delivering written notice of such election to Seller prior to expiration of Inspection Period. If Buyer timely terminates this Contract, the Deposit paid shall be returned to Buyer, thereupon, Buyer and Seller shall be released of all further obligations under this Contract.
You are meaning that after inspection, the buyer can cancel the contract, and get their deposit back.
However the seller cancelled the contract prior to the inspection, based only on buyers remorse.
This makes it fall under lines 244 through 246, of the Florida real estate contract approved by the Florida Bar and Realtors.
You are meaning that after inspection, the buyer can cancel the contract, and get their deposit back.
However the seller cancelled the contract prior to the inspection, based only on buyers remorse.
This makes it fall under lines 244 through 246, of the Florida real estate contract approved by the Florida Bar and Realtors.
The OP said that her sale is in the state of WA where the buyer can cancel the contract for any reason within the time frame of the inspection contingency (if there is an inspection contingency). She would also have the right to cancel within 3 days of receiving the seller's disclosure for any reason, as well.
WRONG. The buyer notified the real estate agency that they were cancelling the contract. That makes the contract null and void at that point, and these contingences no longer apply. The earnest money deposit, is forefeited when the seller voids a contract. That is what an earnest money deposit if for. It is deposited and accepted by the seller as a good faith agreement to sell the home. IF, the buyer just withdraws their agreement to purchase the deposit becomes the property of the seller, and agent. It is to compensate the seller, if the buyer just wants to cancel the purchase.
From NOLO: Having a deposit on hold acts as a disincentive against buyers who file frivolous offers, and ultimately compensates a seller who has to put a house back on the market.
That is totally NOT true in many areas, including my own. Don't know about Washington. For example, in our area, we have a 'due diligence' period after the contract is signed by both parties, usually 10 days (short) to 21 days (long). At ANY time in the due diligence period, a seller can walk and get their deposit money back. All they have to do is submit a termination notice. They may decide that a bus stop isn't close enough. They might go through the whole inspection process and just say, "Nope, too much trouble, not buying it." Basically, a seller can "discover" anything they don't like in due diligence, and the deal is off. Our state is very buyer-friendly. ]
My opinion is that, if the rules are similar in Washington, the OP needs a real estate attorney to write a sharply worded letter to the agent demanding return of the earnest money, with a copy to the real estate commission. I'd also be filing a complaint with the real estate commission.
In the west I don't know of any place where this deal would be kosher and it would particularly be unethical for a dual agent.
For those worried about cancelling before inspection that in general is not how it works. There are some exceptions particularly in the south east but mostly the due diligence period runs up front and you don't actually have to do a formal inspection...you can inspect on your own or have a friend do it...and even if you do you do not have to produce a document.
so you end the deal by simply writing a letter to the other side that says I don't like the house and I quit.
Here there is a similar requirement for the HOA docs...you get them and 5 days and it is statutory and cannot be waived in the contract.
And you always go to writing to say I quit on May 25, 2014 at 2:33PM.
So there just ain't no way this deal computes...
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