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    howard77's Avatar
    howard77 Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Aug 1, 2009, 02:15 PM
    Non-refundable escrow deposit
    We are buying an reo property and need to extend the escrow approximately 1 week. The selling bank is willing to make an addendum to extend the escrow but wants to add the language that the deposit "now becomes non-refundable". We don't understand why the seller wants to have that phrase since by definition, the money became hard once we signed away all our contingencies.
    Question is: why is the seller demanding to have that language, and should we stand our ground and demand to have just a clean addendum to extend the escrow?
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
    Computer Expert and Renaissance Man
    		  
    #2

    Aug 1, 2009, 02:21 PM

    The seller is paranoid and may not be working through an attorney who would advise him that such a clause is moot, since the money is already non refundable.

    If you understand its moot, why not just humor him?
    LisaB4657's Avatar
    LisaB4657 Posts: 3,662, Reputation: 534
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    #3

    Aug 1, 2009, 04:00 PM
    Tell them you'll agree to that clause with the addition "except in the event that seller fails or refuses to close".
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