Posted by John on January 30, 2005 at 21:22:36:
Looks like you get to keep a big deposit
holding a deposit - Posted by mika Sheleh
Posted by mika Sheleh on January 30, 2005 at 21:21:24:
i was to sell a house and received a deposit from a buyer who has bought other properties from me in the past and paid cash. The deposit is large (11,000), the contract is simple and has no financing contingency but does state that “if for any reason the buyer can not close on this property the deposit is to be retained by the seller”
The contract was to go to settlement within 90 days, but because this lady lost her job she couldnt pay cash and couldnt get the loan.
I used that deposit to fix the house up how she wanted it (because she wanted certain things verbally in the property). The contract came and went and she kept telling me through email “we’re going to settlement this week” I have literally waited 13 months now and I’m giving up on her and now she wants her deposit back - I’m losing much more on this property because I was being nice with her and giving her way more than enough time to close.
I also have emails from her stating “she knows I can keep the deposit but she hopes I will refund it”
If the judge looks at this - what would the outcome be?
Mika
Re: holding a deposit - Posted by eric
Posted by eric on January 31, 2005 at 11:22:22:
Depends what state you are in. For example, in CA state law limits liquidated dameges for residential real estate to 3% of the sales price. Beyond that, the excess needs to be returned and suit filed for damages beyond the 3%.
In general, based on the limited facts that you state, you would likely be able retain th deposit.