Can we get our earnest money back?

Asked by Stephanie Kohlmann, 53226 Fri Jan 30, 2009

We recently put an offer on a home, it was accepted, and we put $2,000 earnest money down. We didnt think we would have much to worry about with the property inspection, due to one being on file from march of 2007. That inspection indicated the property was in acceptable condition, with no hazardous problems to report.
We get the inspection done 1/29/2009, and there are major electrical safety issues, garage foundation issues(basically needs to be rebuilt) and a electrical garage door that does not work properly. There are also plumbing issues, where water does not drain correctly from appliances, bathroom,kitchen pipes. How could this have been missed? I also found out that night that I was researching the wrong neighborhood, and it is not a safe area, in general.
The seller has the right to cure, but I feel that these problems are too great to risk family safety. Can we terminate? Lender also says that we may not recieve financing

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Bill Eckler, Agent, Venice, FL
Sat Jan 31, 2009

We are sorry about this most unfortunate experience.

Since you have an contractual agreement to sale agreement should be the path you follow. It should clearly identify your responsibilities and options relative to the property.

At this point, it would be advisable to consult an attorney for their input.

Good luck
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Dallas Texas, Agent, Dallas, TN
Fri Jan 30, 2009
Speak with you buyers agent, return of earnest money is governed by your executed contract. If you are within your option period. An amendment signed by buyer/ seller / listing and buyers brokers must sign to release earnest money back to you. Inspection reports look overwhelming at times have your buyers agent review all. Even new construction via inspection can look bad.
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