There are obligations on both sides.
So it depends on the circumstances.
There are situations where you may not be able to recover earnest money on both new builds and previously owned homes.
If you do not understand the circumstances you may want your realtor or attorney to review the contract with you.
In addition you may want to contact the State Attorney Generals and the State Real Estate Commissicon office in the state where you were buying the home and file a complaint against the builder, that will get thier attention.
Your contract is your guding document and no one here has read it, so seek legal counsel if you feel the seller wrongfully retained your deposit, but I will add that builder contracts typically state that anything their representative says to you has no meaning contractually. Trust me my friend, builder contracts are as one sided as a mirror and yours side ain't the shiny one.
It's important to fully read and understand how you and the builder are required to perform. This is another reason to always use a Realtor. They builder sales representative represents the builder and their job is to get you to spend as much as possible for the home. Your Realtor's job is to represent you and ensure you are getting the best deal. This is done by educating our clients on the market.
Review your contract and see what your options are. You may be able to set up an arbitration meeting but if so that will be stipulated in the contract.
Best of luck to you.
REALTORÂ® | Mortgage Broker
Keller Williams Realty | 360 Lending Group
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