Posted by John Merchant on February 12, 2006 at 09:33:04:
While it’s sure legal to put contingencies in a P&S Agreement, I’ll tell you from lots of my own and clients’ experience, that if he’s putting up cash EMs, odds are he’s NOT getting it refunded easily.
I’ll bet I’ve counseled 100 or more people in last couple of years on this very issue…“How come the escrow co. won’t refund my EM?”
So I’d question his claims.
Most RE agents I know are going to demand some kind of EM that can’t be so easily grabbed back when the B decides to take a walk.
Posted by Bill Wemyss on February 12, 2006 at 09:21:28:
I know an investor that is tying up million dollar properties not with an option contract but with a sales contract.What hes doing is entering into a sales contract (putting down ernest money)then under cotengencies hes putting subject to “feasablity study”.Then hes acting like its an option and looking for a new buyer at an inflated price.When he cant find one he backs out and gets his earnest money back and says the feasability study didnt work out.Is this legal? Bill