Chad,

We agree with Jim's conclusion, that you really need to speak with a real estate attorney. Our recommendation is to not delay doing this....do it ASAP.

You have to review with your Realtor the time period for "Lender Approval." There is usually a Lender Approval date in your contract. If you are using a Florida Association of Realtors contract then there is 30 days of effective date of contract if not specific date, for Approval Letter and Loan Commitment. If you are past the commitment date then you may be in default and not able to get your deposit back. You really need your Realtor and or Real Estate Atty. to review your contract.
Jim Soda 941-809-7759
Jim@JimSoda.com
My BLOG: http://sodasells.wordpress.com/
Prudential Palms Realty

Ask your buyers agent and title company review the terms and conditions for the executed contract. In most contracts states if lender fails to approve lending then you should be able to have escrow returned less any option deposit, or you might be able to get a % back. Sorry to hear about this however you are not the 1st that declined prior to close.

It depends. Your contract should have had a date for loan approval. That date is the date you must be finally approved for the loan. Most contracts have a contingency clause for loan approval and if denied you should be able to receive your deposit back. I would need more details but it sounds as if you should get your deposit back. In the event the seller still requests the deposit, then you as well can request the deposit and then you have an "escrow dispute" This must goe through arbitration to decide who gets it and this could take weeks and some of the money will go to costs. It is not in the best interest of the seller to dispute this since they will likely not get it (if all you tell me is correct) and it will take months to resolve. No on wins really in an escrow dispute so it is always a good idea to resolve this and move on. You many be able to use this argument to persuade them to just let it go and move on, but I would for sure make your claim to it and not give in since I believe you did everything right. If you need more help or assistance I am based in Central Florida area and we could help if you decide to jump in and try again to buy. Please visit my website and register as a VIP member. Good Luck

Hi Chad, I would need to know more about your contract and what it says. What does the realtor who is representing you say? Hopefully you were working whith your own agent who had your best interests at heart.

If you would like to contact me so that I can ask some questions and you could give me some more information, I'd be happy to look into this for you.

Perhaps the seller would LIKE to keep your deposit but that doesn't mean he has a legal right to do so. It all depends on the circumstances.

My best,
Terri

Teresa M. Fellows
Broker/Associate
Waterside Realty LLC
941-350-4257
tmf4257@mac.com http://www.floridawestproperties.com

Chad it depends on the specifics of the contract. If you used the FAR9, there is a loan commitment date involved. If you did not provide notice on or before that date of your inability to close, your deposit could be retained by the seller. Since you were "forced" to use a lender, I am guessing this is bank owned property. The bank addenda will likely be very complex. If you feel you have the rights to keep your deposit, this would be a case where you should seek legal help. What does your realtor have to say about the situation? Her/His brokerage should be able to offer you some insight.