Earnest Money in WI

[[email protected]]

In Wisconsin: The buyer put in an offer and it was accepted on 4/22. There was a contingency for financing that lasted 18 days. That would have expired on 5/10. We were originally supposed to close on 5-19. They asked for an extension until 5/31 for closing, not for the financing contingency, saying everything was fine, they just had some minor issues to clear up. All the time up to 5-31 they kept saying all was fine, and they would close on 5/31. Today, 6/1 they finally said it wasn't going to work and they want to cancel the contract and get the earnest money back.

My question is, do they have a right to the earnest money?

 

[acmb05]

In Wisconsin: The buyer put in an offer and it was accepted on 4/22. There was a contingency for financing that lasted 18 days. That would have expired on 5/10. We were originally supposed to close on 5-19. They asked for an extension until 5/31 for closing, not for the financing contingency, saying everything was fine, they just had some minor issues to clear up. All the time up to 5-31 they kept saying all was fine, and they would close on 5/31. Today, 6/1 they finally said it wasn't going to work and they want to cancel the contract and get the earnest money back.

My question is, do they have a right to the earnest money?

Is there a contingency in there that they get approved for the loan? If so and they did not get approved then yes they get it back.