Our loan was denied and seller refuses to sign release to allow realtor to refund earnst money. What recourse do I have?

Asked by mikemc127, Howell, MI Mon Jul 22, 2013

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Karen Paytas, Agent, Clinton Twp, MI
Mon Jul 22, 2013

As Haig stated check your purchase agreement. If the seller refuses to sign the release they can't sell the property to anyone else unless doing so. Talk to your Realtor and if all else fails you'll need to talk to an attorney.

Good Luck,

Karen Paytas, GRI, CMS
Real Living Kee Realty
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Haig Istambo…, Agent, Rochester, MI
Mon Jul 22, 2013

Regardless of what the seller "wants" to do, he will have to do what the contract calls for. You didn't specify all of the details of your deal, or what is on the contract, but I am going to guess that there is a contingency for obtaining a mortgage on there. I am also assuming you are working with a Realtor correct?

Your Realtor should be guiding you and handling this issue. Please read the contract (Purchase Agreement) and see what is stipulated as far as you being approved for a mortgage. I wouldn't worry too much about what the seller says or does YET, read the contract and you will have your answers.

If the contract DOES have a contingency of a mortgage on there (most do), and you were within those guidelines, then you will be fine, but it may take some doing to get your EMD released. Contact your Realtor to help you and if they can't, contact the Realtor's Broker.

Good Luck and feel free to contact me if you need further help.

Thank you,

(248) 379-6547
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