seller holding deposit

[steffb503]

What is the name of your state (only U.S. law)? NY
I am asking for a friend, She lives in AR and she made an offer on a house in NY. I was the one who looked at the property for her.
Her offer was accepted, contingent on her getting financing. The offer was written that she had 45 days to secure financing with the option for an additional 45 days. She did take advantage of the additional 45 days but in the end she was refused the mortgage.
She at that point sent the real estate agent a letter expressing her regret and explaining how she could not secure financing.
The real Estate agent sent her a form for her to sign, releasing the deposit to the seller. She did not sign it.
They then sent her a form to release the deposit to her the buyer. She signed and returned it. That was 3-4 weeks ago.
Today the real Estate agent said it is all up to the seller, even though the escrow account is in the real estate co name.
Is this legal?
Is there anything other than filing a complaint that can be done?

 

[John Se]

What is the name of your state (only U.S. law)? NY
I am asking for a friend, She lives in AR and she made an offer on a house in NY. I was the one who looked at the property for her.
Her offer was accepted, contingent on her getting financing. The offer was written that she had 45 days to secure financing with the option for an additional 45 days. She did take advantage of the additional 45 days but in the end she was refused the mortgage.
She at that point sent the real estate agent a letter expressing her regret and explaining how she could not secure financing.
The real Estate agent sent her a form for her to sign, releasing the deposit to the seller. She did not sign it.
They then sent her a form to release the deposit to her the buyer. She signed and returned it. That was 3-4 weeks ago.
Today the real Estate agent said it is all up to the seller, even though the escrow account is in the real estate co name.
Is this legal?
Is there anything other than filing a complaint that can be done?

What were the exact words of the financing contingency in the Purchase contract?

 

[justalayman]

Did she provide notice of the failure to secure financing before the expiration of the second 45 day period? Did she send a denial letter from the lender she sought financing from showing she was rejected?

 

[steffb503]

Yes she sent them three rejection letters, three separate lenders , all prior to the second 45 days.

 

[Zigner]

It would be best if your friend signed up to ask her own questions.