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achampio21 · Jul 27, 2009, 11:04 AM

House for sale, have real estate agent. Buyer has same agent as us, the seller. Buyer put $500 deposit on house and had inspection done. Inspection showed nothing that "HAD" to be changed for sell to go through but buyer asked for us to do a few things. We agreed to do 2 of them. We have already lowered price $7,000 and gave $2,300 so she could be financed. Now buyer changed her mind on house and wants deposit back. Since realtor took house of market for the thirty days we have been screwing with this buyer and we are out the money of fixing the stupid crap she wanted fixed that didn't need to be fixed to sell, we don't want to give money to her(buyer). Our realtor is her realtor and he is saying that money is in escrow account and no one can touch it without legal help. AND he all of a sudden wants us to come sign a mutual release form. Can anyone help? Please?

ballengerb1 · Jul 27, 2009, 11:11 AM

That agent should never have represented both sides. Putting money down without a completed agreement is an example of how he messed up this deal and likely wants that deposit for himself.

excon · Jul 27, 2009, 11:12 AM

Hello b:

Couple things... The buyer is NOT represented by the agent. YOU are. After all, YOU are the one who signed a listing contract with the agent... The buyer didn't.

Next, the "earnest money" (deposit) they gave you is exactly for the purpose you want to use it for, and I can't believe the purchase and sales contract doesn't say that exact thing.

If your agent doesn't get that, and he apparently DOESN'T, see the agents broker.

excon

achampio21 · Jul 27, 2009, 11:12 AM

Can he( the realtor) get the deposit?

achampio21 · Jul 27, 2009, 11:14 AM

Funny thing, the day that the agent asked us to come sign mutual release form(whatever that is for) is the same day the agent had been to see his broker, or so he said.

excon · Jul 27, 2009, 11:14 AM

Originally Posted by achampio21

can he( the realtor) get the deposit?

Hello again, a:

It's in his BROKERS account. No, he can't get it.

excon

ballengerb1 · Jul 27, 2009, 11:16 AM

Best to read very carefully what is in that release, it may release the money from escrow to the agent.

achampio21 · Jul 27, 2009, 11:19 AM

So what should we do? Can we refuse to sign release? Can we force buyer to buy house? And how do we cancel contract with poopie agent before it is done?

s_cianci · Jul 27, 2009, 11:27 AM

First of all, buyer and seller both using the same realtor sounds like a conflict of interests. As for the buyers wanting their deposit back, what does your contract stipulate? I think that, when push comes to shove, if they want to cancel the sale and have their deposit refunded, then you really don't have a leg to stand on, at least not without it turning into a big time-consuming and costly mess that probably doesn't justify you just canceling the contract and finding a new buyer.

excon · Jul 27, 2009, 11:27 AM

Originally Posted by achampio21

So what should we do? Can we refuse to sign release? Can we force buyer to buy house? And how do we cancel contract with poopie agent before it is done?

Originally Posted by excon

See the agents broker

Hello again, a:

I didn't stutter.

But, let's get to the heart of the problem... Everything that happened, from the listing, to the offer, to the counteroffer SHOULD HAVE BEEN IN WRITING... If it wasn't, you're being taken from the git go and you need to see a lawyer.

Of course, you can refuse to sign. Didn't the buyer already cancel and ask for his deposit back?? I thought that was where we started.

But, the BROKER is who the agent works for. That is where I would go, and I'd do it TODAY.

excon

achampio21 · Jul 27, 2009, 11:34 AM

Originally Posted by excon

Hello again, a:

I didn't stutter.

But, let's get to the heart of the problem.... Everything that happened, from the listing, to the offer, to the counteroffer SHOULD HAVE BEEN IN WRITING.... If it wasn't, you're being taken from the git go and you need to see a lawyer.

Of course, you can refuse to sign. Didn't the buyer already cancel and ask for his deposit back???? I thought that was where we started.

But, the BROKER is who the agent works for. That is where I would go, and I'd do it TODAY.

excon

So if the buyer said they don't want to buy then THEY pretty much already cancelled everything (and there should be no need for a release form unless we are getting railroaded), and as long as we, the seller, didn't breach the contract in ANY way, when buyer cancelled they forfeited their deposit. And the purchase and sales contract should say exactly that, right?

I'm sorry if I seem slow in this subject. This is my first rodeo with real estate.

I will tell my husband we need to contact broker and probably a lawyer.

Thank you Excon. And all you helped on this subject.

excon · Jul 27, 2009, 11:35 AM

Originally Posted by s_cianci

First of all, buyer and seller both using the same realtor sounds like a conflict of interests.

Hello s:

ALL realtors represent the seller unless a specific buyers agreement is entered into. That's ALL realtors. When you go to a realtors office to inquire about property, and he takes you, HE represents the seller - not YOU.

excon

excon · Jul 27, 2009, 11:40 AM

Originally Posted by achampio21

So if the buyer said they don't want to buy then THEY pretty much already cancelled everything (and there should be no need for a release form unless we are getting railroaded),

Hello again, a:

In addition to everything having been written, there should have been DATES by which something was supposed to happen. Or, there should be language stating exactly what is supposed to happen to the earnest money IF the seller cancels..

If the seller didn't cancel IN WRITING, then the contract is STILL viable. If they just told the realtor, then tell your realtor to GET IT IN WRITING...

Your realtor works for you, after all. I don't know what the release for is. Sounds like he want YOU to release your hold on the money. I wouldn't do that.

See his broker... And, next time, don't accept earnest money below $5,000. Then this wouldn't happen.

excon

achampio21 · Jul 27, 2009, 11:47 AM

Fantastic advice excon!! Thank you so much! We want rid of this house so bad that we became blind and hurried.

I just have one more question. Can we get out of contract with agent early by going to broker and telling him to cancel contract, and of course putting it in writing?

achampio21 · Jul 29, 2009, 09:44 AM

WELL!! We spoke to broker and he said agent was idiot. Broker is going to tell buyer she has to sign deposit away or buy the house. Thank you Excon!! SO much!! And everyone else who contributed!! Hopefully we can move forward with this problem very quickly!! Have I said that I love this site lately? Well, I DO!!

s_cianci · Jul 29, 2009, 09:42 PM

ALL realtors represent the seller unless a specific buyers agreement is entered into.

Correct. And it is possible for a buyer to do just that ; enter into a buyer's agreement with a realtor. I've done it in the past and would do it again in the future. And it doesn't cost the buyer anything to do so as the "buyer's realtor" simply splits the commission with the listed realtor and all at the seller's expense, the theory being that the "buyer's realtor" does assist with the successful sale of the property by virtue of the assistance (s)he provides to the buyer.