C
CecilZX9
Guest
State: PA
Buyer has backed out of the agreement. 11/21 signed an agreement of sale and had a $500 deposit. In the contract it states that Homeowner Association Documents will be ordered within 10 days of signing agreement. Agreement also states that the deposit should be $5000.
11 days after signing agreement, Buyer pays an additional $4500 and begins the process of moving in. Settlement date is set for 12/21 and buyer did things like request phone service, had home inspection performed, etc... Once the entire deposit was received, my realtor ordered the Association Docs. She stated that she didn't want to order them before receiving the entire deposit to make sure that the buyer was serious.
Buyer calls realtor on the 12th day and backs out of the deal. The site the Condo Doc clause in the agreement of sale. Buyer is now requesting that we sign a release form and give them the deposit back so that they can PURCHASE THE OTHER HOME THEY FOUND. We refuse to sign the release because we feel they owe us damages as we took our house off the market, started packing, fixed all repairs asked in the inspection, etc...
Questions:
1. Are we entitled to the deposit?
2. Is the Condo Doc Clause a valid performance complaint now that the buyer has made clear that the real reason is because they found another property?
3. Can they hang up the sale of our home to a different buyer if we refuse to release them from this contract?
4. Should we be worried when they threaten us with Lawyers?
Our realtor is pressuring us to just let them go. This is a matter of principle at this point. They should expect to lose their deposit shouldn't they?
Buyer has backed out of the agreement. 11/21 signed an agreement of sale and had a $500 deposit. In the contract it states that Homeowner Association Documents will be ordered within 10 days of signing agreement. Agreement also states that the deposit should be $5000.
11 days after signing agreement, Buyer pays an additional $4500 and begins the process of moving in. Settlement date is set for 12/21 and buyer did things like request phone service, had home inspection performed, etc... Once the entire deposit was received, my realtor ordered the Association Docs. She stated that she didn't want to order them before receiving the entire deposit to make sure that the buyer was serious.
Buyer calls realtor on the 12th day and backs out of the deal. The site the Condo Doc clause in the agreement of sale. Buyer is now requesting that we sign a release form and give them the deposit back so that they can PURCHASE THE OTHER HOME THEY FOUND. We refuse to sign the release because we feel they owe us damages as we took our house off the market, started packing, fixed all repairs asked in the inspection, etc...
Questions:
1. Are we entitled to the deposit?
2. Is the Condo Doc Clause a valid performance complaint now that the buyer has made clear that the real reason is because they found another property?
3. Can they hang up the sale of our home to a different buyer if we refuse to release them from this contract?
4. Should we be worried when they threaten us with Lawyers?
Our realtor is pressuring us to just let them go. This is a matter of principle at this point. They should expect to lose their deposit shouldn't they?