I think your first step is to get your agents broker involved who can then call the listing agents broker who could put light on the situation..
Hope it works out for you
Realty World eCurb REALTORS
As you have explained, everyone is finally on board with this sale except possible the seller? Prior to considering taking legal action, it would be advisable to have your agent confer with the listing agent to determine what is holding things up. There could be any number of minor issues that need to be resolved before the seller feels comfortable moving forward.
If your agent isn't getting you the results you need consider contacting the listing agent yourself.
I suggest you contact an attorney and see if there is a real estate fraud department in the local District Attorneys office.
Agents cannot give legal or tax advice. From what I understand from the experts is that you have a binding contract, but you would have to make sure that there is nothing in the offer that gives the seller an out.
The above is not legal advice, consult a competent attorney as opposed to an incompetent attorney.
Al Goldberg Broker
A short sale has risks for a buyer. The homeowner may not have been properly informed that they have other options than to sell. The homeowner's personal situation may have changed such that they can now keep their home. I doubt that a homeowner would, after deciding for a short sale, decidee instead to let it foreclose (a much worse choice).
Yes, you can always consult an attorney and sue. They love to take your money, and the aggravation will be your added benefit. However, I doubt that you will be awarded the home from a distressed homeowner/seller. Short sales can be great deals, if you're willing to wait for the short sale approval, and if you've been assured that the listing agent actually has the skills and background to negotiate with the seller's lender. And LAST, that the agent has reviewed all other options with the homeowner prior to listing their home. That would ensure that the decision for the short sale had been well analyzed such that the homeowner did not qualify for other options when they put it on the market.
For you, I suggest you move on, and understand there are no guarantees on a short sale purchase offer in this market. I'm sorry for your disappointment.
Unfortunately, no Realtor can tell you whether you should sue for anything...we're not lawyers!
My best advice is to get brokers on both sides of the deal involved...
You can consult with an attorney, and I bet they'll tell you that most short sellers are broke and that by the time you get a court date, the property will have been foreclosed upon.
Whether the seller wants to move or not, they will be.
All the best,