We were supposed to buy the home when the seller brought it up to USDARD standards. He made a lot of repairs. But, as inspections continued, he finally decided he could do no more. By this time, original contract dates were long past. He immediately send a letter stating that since we didn't buy the home within contracted dates, he should get the earnest money.
We responded with a point-by-point letter showing where HE did NOT fulfill the contract and why we should get the money back. The letter was sent to the property address, his home, his lawyer, and his Realtor. We never heard anything back. It's been months, now. Calls and emails to the Realtor have been ignored.
It was only $500 and we're just not in a position to sue for $500. But, since we'd still like to buy a home, it would be nice to have it back! So, what happens to the money? If the escrow account eventually turns it over to the state, do we get it back from the state or do we still have to fight the seller for it then?