Posted by Rich-CA on October 21, 2007 at 21:58:03:
In most cases I have heard the release of earnest money deposit requires agreement of both parties even if one has broken the contract or the other has canceled within the deadline. If seller refuses, you may have to sue them (small claims court or arbitration depending on your contract).
Issues with representing agent. - Posted by Henry
Posted by Henry on October 21, 2007 at 17:54:07:
I had an exclusive agreement with representing agent to purchase the property in Southern CA and offer was accepted. The representing agent promised me 10K credit at close of Escrow with condidtion that her office will do both loans (primary for purchase and refinance with cash out on property I own as the down payment for the primary home.)
I requested my agent to provide me good faith estimate for both loans but never got one. I was provided with a sheet of paper she called “commitment paper” with $1000 flat fee for each loan. This commitment paper only has interest rate for 5 years interest only and I asked for 30 years fixed. I continue to request for a full break out of all closing costs but still never got one.
I got a good faith estimate at my credit union with all the costs included but my agent refused to match it. My agent keeps changing her mind. One day she mentioned that she will credit me 10K but will send me a 1099, one day she will only credit me 7K since she is not doing the loans.
I signed and submitted the cancelation paper. She called back and agreed to credit 10K. I told her that I want something in writing in Escrow. I received the instruction from Escrow and see credit for only closing cost. Well, I decided to cancel the purchase. Now here are my questions:
I canceled before 17th day as stated in the agreement, Will I have any issue getting my deposit back?
I want to buy the house from owner. What is my obligation to representing and listing agent?
Thanks
Re: Issues with representing agent. - Posted by River City
Posted by River City on October 22, 2007 at 11:29:59:
She probably will not put any agreement of this sort in writing because the lender does not know she is “giving” you $10,000. According to how much you are putting down on the properties, if the lender knew she was giving you this money, it might kill the loan. In addition, if she goes through with giving you the money and does not tell the lender, you would have it in writing and could possibly cause her to lose her license. Not advising the lender of financial agreements involving a mortgage loan is more commonly called “mortgage fraud.”