Jlindsey5896, Home Buyer in

Short sale offer- will I get earnest money if I withdraw?

Asked by Jlindsey5896, Mon Jul 30, 2012

I have an offer pending on a short sale in Hoffman Estates. It has been almost 6 months and I honestly do not want the property anymore. I put $1500.00 in earnest money. If i withdraw my offer- what happens to the money? Will i get it back?

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Answers

8
If the lender has not accepted your offer you should be able to recover your deposit in full. Of course it depends on the terms of your agreement. Speak to your realtor.
0 votes Thank Flag Link Fri Nov 16, 2012
When I represent my buyers in a Short Sale, I make sure that there is a short sale addendum attached to the contract. This states that you are allowed to back out of the contract after 60-90 days if there is not a short sale approval yet.

If there is no addendum stating this, check what your attorney and the seller's attorney agreed to in the Attorney review period.

Any other questions? Call Me.

Martin Foster
Real Estate Broker, CDPE, SFR
Weichert Realtors
630-429-4486
0 votes Thank Flag Link Fri Nov 16, 2012
The terms of your sales contract will determine that, did you do this offer with the assistance of an experienced short sale Realtor on your side?

Check the terms, if need be get help from a real estate attorney to figure out your rights acc. to
contract terms.
Sincerely yours,
Edith YourRealtor4Life & Chicago and Northern Illinois Expert
Working always in the very BEST interest of her clients, Buyers, Sellers and Investors alike....
Covering for @Properties the city of Chicago, all N and NW suburbs, the fine homes on the
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0 votes Thank Flag Link Mon Jul 30, 2012
Here in IL you would get your earnest money back if you use our area contract.


Lyn Sims
RE/MAX Suburban
(847)230-7324
http://www.LynSims.net
0 votes Thank Flag Link Mon Jul 30, 2012
Whether or not you are entitled to having your escrow money returned without penalty will depend largely on the terms of your agreement. People finding themselves in this type of situation should be in touch with their agent to find out the particulars of their transaction.

Good luck,

Bill
0 votes Thank Flag Link Mon Jul 30, 2012
The first is to look to the terms of the contract. I expect you have an attorney representing you, they would be the best soruce to advise you with regards to obligations and performance under the contract. Typically, the contrcat is written subject to the approval of the lender. Should you wish to with draw prior to the lenders approval, depending in how the contract was written, terms negotiated and any riders, you should be able to deliver your notice and receive your earnest money. You may also want to know how the circumstance can change should there be 2 lenders. Again, a good reason to consult with an attorney. Wishing you all the best.

Warmest Regards,
Susan K Klatt, Broker Associate
Coldwell Banker
224-805-1432
0 votes Thank Flag Link Mon Jul 30, 2012
You need to look at your contract and talk to your attorney regarding your contractual obligations. Most short sales have a short sale addendum that gives the bank/seller x days to close or you can withdrawl and get your earnest back.
0 votes Thank Flag Link Mon Jul 30, 2012
Normally the offer is written contingent on the bank giving approval. As long as the approval has not come then it is still a contingent contract and you can walk away and get back your money. Your agent should be advising you of all this.
0 votes Thank Flag Link Mon Jul 30, 2012
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