Home Buying in New Hampshire>Question Details

Sahsa, Home Buyer in New Hampshire

If buyer backed out who gets deposits, realstate egency, sellers?

Asked by Sahsa, New Hampshire Fri Nov 30, 2007

If buyer backed out who gets deposits, realstate egency, sellers?

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Answers

7
The answer to your question is in the contract that you signed with the buyer. However, the answer could
also be in your contract with your Real estate brokerage. It is definatly a contractual question, whereas the answer is found in the agreed upon fully executed contract between the parties.
Web Reference: http://www.SuzanneDamon.com
1 vote Thank Flag Link Fri Nov 30, 2007
Hi Sahsa,

If your agent used a New Hampshire Association of Realtor contract, (which are reserved for Realtors), that issue is clearly spelled out in the form. That form is intended to be a contract between the buyer and seller. If the deposit is not being returned to the buyer--usually for a cause identified in the Purchase and Sales Contract--then those funds will either become the property of the seller, or in some specific (but rare cases) the seller and his agent may split the deposit.

If you did not use a NH Association of Realtors form as the "purchase contract", the form or contract you did use will probably have a performance clause--meaning if the buyer does not perform or chooses not to perform, the seller has some relief (like keeping the deposit).

If the underlying question is, Why should the Realtor get anything? That eventuality and agreement is between the Seller and his agent--the agent has probably been buying advertising and representing the seller in the transaction and this payment is really just a special thank you from the seller to his agent.

If the underlying question is, Would a "buyers agent" share in any payment generated off a deposit being held by a seller" That would likely be considered a conflict of interest and most certainly he or she should not accept such a payment. Also, all payments of any kind must be given the the Broker (normally the owner of the agency) and then the Broker pays the agent. So this issue--which is clearly an ethical topic--would also have to be evaluated by the Broker before the agent would get any funds.
Hope this helps and answers your question.

Dane Hahn Cell 603-566-5460
dane@daneandsandra.com
0 votes Thank Flag Link Fri Nov 30, 2007
Sahsa, I responded to your email. You will want to check your bulk mail folder to find it.
0 votes Thank Flag Link Fri Nov 30, 2007
Seller does as long as it is spelled out in the contract.
0 votes Thank Flag Link Fri Nov 30, 2007
It will state on the purchase and sale agreement what the provisions are. If the buyer is backing out due to the results of an inspection and the P+S was subject to acceptable inspections by the agreed upon date then the buyer should get the deposit back. If the P+S was subject to financing and the buyer was unable to get financing according to the terms in the P+S AND by the "commitment date" then the buyer should also get the deposit back. If the buyer is just backing out due to cold feet, then usually the buyer would not get their deposit back. Hope this helps. Please feel free to give me a call if you have a detailed question too. Good luck.
0 votes Thank Flag Link Fri Nov 30, 2007
Without seeing the contract and the listing agreement, no one can answer this question for you.

Best of luck with the sale of your home.
0 votes Thank Flag Link Fri Nov 30, 2007
It depends. What does the contract say... It's either going to be the buyer or seller and RARELY anyone else.
0 votes Thank Flag Link Fri Nov 30, 2007
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