Replies to This Discussion

Permalink Reply by Steele V. Propp on May 11, 2010 at 3:33am

Are you past the closing date as originally agreed? If so, was there any kind of extension?

Permalink Reply by Kent Dills on May 11, 2010 at 3:40am

Cheryl, If you're outside the contracted on or before closing date, you're out of contract and your agent's buyers should be able to get a release of earnest money! Not sure where you are located but that's how it would be handled in Texas!

Permalink Reply by Darla Maddalone on May 11, 2010 at 3:41am

Cheryl,

The Buyer (your client) and the Seller are the parties to the transaction...not BofA. The signed Sale Agreement between the Buyer & Seller set the terms and conditions of the sale - the termination provisions, disposition of earnest money, deposits, etc. BofA as the lienholder doesn't sign to release deposits back to your Buyer.

Permalink Reply by Steele V. Propp on May 11, 2010 at 3:50am

Excellent point. It would be up to the parties (buyer and seller). One might still need a valid reason for the seller as to why one was backing out. But usually that is not a big issue. Even if a buyer doesn't have a reason, specific performance is rarely worth it.

Darla Maddalone said:

Cheryl,

The Buyer (your client) and the Seller are the parties to the transaction...not BofA. The signed Sale Agreement between the Buyer & Seller set the terms and conditions of the sale - the termination provisions, disposition of earnest money, deposits, etc. BofA as the lienholder doesn't sign to release deposits back to your Buyer.

Permalink Reply by Neil L. on May 11, 2010 at 4:00am

BofA would not be in this financial crisis if they kept all of the deposits on all short sales that didn't go through because the buyer walked :) Maybe we could propose a new law to Obama to get this changed, hehe.

Permalink Reply by Cheryl Johnson on May 12, 2010 at 3:07am

Thanks, guys! Of course, cancellation is between the buyer and seller. I don't know why that basic fact didn't occur to me sooner. I guess we just got too focused on all the drama with the seller's lender..... :-)

Permalink Reply by Jennifer Perdue on May 12, 2010 at 5:44am

We are also buyers and are also reaching our breaking point. We had in our contract that the offer needs to be accepted within 45 days and we need to close by 6/30, so if either of those deadlines are not met, then we're walking too. Monday will be the 45 days for us. Much sympathy to your buyers.

Permalink Reply by David A. Roebuck on May 12, 2010 at 8:27am

Much sypathy to the buyers? Yea they get their earnest money back and continue to look for another house. The sellers on the other hand have my sympathy. They had an able, ready and willing buyer, a fully executed signed contract to sell the house and yet the bank, with all their power and money doesn't see the necessity, urgency nor cooperation needed on their part to make the deal happen. When will the banks wake up and see a Short Sale for what it is. It is not the best situation but by far not the worst either. It gives the banks more money than a foreclosure, it puts someone in the house to maintain it, and with a normal foreclosure, the house is going to just sit there for nearly another year wasting away until the bank can get it back on the market for sale as a foreclosed home. Wake Up Banks!!!!!!!!