can the seller of a house back out of the deal in n.j. after a deposit and inspections have been done and the buyer was approved for the mtg

Asked by Maddy, Deltona, FL Fri Jul 22, 2011

can we get back the deposit and all the money that we spent for all the inspections Thanks

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10
Amankamal07, Home Buyer, Westfield, NJ
Fri Oct 23, 2015
I am in process of buying home my side everything done I received call yesterday from my real estate agent that seller have tenant living in the house tenant have right to stay there 90 days because of section 8 and we cant close the deal so I don't know what to do now.i am first time buyer ... my closing date 10-27-15 Any Help Plz...
0 votes
Bear, Home Owner, El Mirage, AZ
Wed May 2, 2012
The buyer is in the drivers seat. If you back out of the deal after contingencies are met, be prepared to be sued if the buyer so desires, and, you will lose.You will pay the buyer for all expenditures, you will pay his lawyer, you will pay all court costs, and you will pay his broker for lost commission.
0 votes
Gerard Carney, Agent, Spring Hill, FL
Wed Jul 27, 2011
Congratulations you have just purchased a new home!
0 votes
Jeanne Feeni…, Agent, Basking Ridge, NJ
Wed Jul 27, 2011
Hi Maddy, if both contingencies were satsified with contractual timelines met, then I think the seller would be in breach of contract. You need the guidance of your attorney on how best to proceed.

Deals unravel for many reasons - you need an attorney to guide you...

Best,
Jeanne Feenick
Unwavering Commitment to Service
Web Reference:  http://www.feenick.com
0 votes
Eileen Passa…, Agent, Westfield, NJ
Sun Jul 24, 2011
Mandy. In most parts of NJ we use an attorney to guide you through the process as well as your realtor. You question is vague in the sense we don't have the particulars of this transaction. Unfortunately anyone can back out of a deal. sometimes it costs them monetarily but the process to get your money back is slow and prevents anyone from moving forward to buy or sell until the matter has been settled
or satisfied hope this helps you and please consult an attorney. Good Luck!
Web Reference:  http://EileenPassananti.net
0 votes
John Sacktig, Agent, New Jersey, NJ
Sat Jul 23, 2011
Yes, as noted by Nelson the seller can back out of the transaction. I have seen seller’s do exactly this for a few different reasons.. some had contingencies on purchasing a new home and some just backed out. Of course you can look to be reimbursed for the inspections and possibly the your attorney ( buyer) attorney costs to date. You should have no issues getting back your deposit, of course this is my opinion based on experiences that I have encountered.

How about a few more details regarding the seller backing out?
0 votes
Nelson Jaram…, Mortgage Broker Or Lender, Dunellen, NJ
Sat Jul 23, 2011
The Seller unfortunately can alway back out of a deal but he might have to pay or at least reimburse the buyer for losses. Assuming that he is taking the house off the market and keeping it. "Seller Remorse"
But I would consult an attorney. Good Luck!!
0 votes
Marilyn Hold…, Agent, Westfield, NJ
Sat Jul 23, 2011
Maddy,

Trying to make sure I understand your question -- you are the Buyer, and now the Seller wants "out"
of the deal? Here in NJ (at least in northern NJ), we use Attorneys in our real estate transactions and,
typically, both the Buyer and Seller have their own Attorney and their own Realtor. A lot depends upon
whether you were out of the "attorney review" period and were "under contract". You didn't say whether
you were going this alone (perhaps a FSBO, w/o Realtors and w/o attorneys?). Assuming you have an
Attorney, ask him/her whether your transaction was "out of attorney review". This question often comes
up as to whether you should proceed with Inspections before this point (as you, the Buyer, are spending
cash, which you may not be able to get back). Each transaction is different, and so the order in which
things are done will differ, but your Realtor and Attorney can better explain the specifics of this transaction.

Good luck in your home search.

Marilyn Holda-Fleck
Prudential NJ Properties-Westfield
0 votes
Ron Thomas, Agent, Fresno, CA
Fri Jul 22, 2011
Let me take a wild guess and say that you are doing this without the help of a Realtor?

for a Buyer, the Realtor is free,

he would have guided you about Contingencies and Time Limits.

You didn't save anything, because he would have been free.
It sounds like you are stuck; but maybe you ask the help of a Realtor now; he will need to see your Contract.

Good luck and may God bless
0 votes
Edith Miller…, Agent, Summit, NJ
Fri Jul 22, 2011
Unless there was some fraud on the seller's part or disaster like a fire, absolutely not. You can be sued for specific performance and at best you will not get any deposit monies back. The question is really not answerable without more information. If the buyer has lost his/her job the bank will pull the mortgage. A mortgage approval is based on certain circumstances and if the circumstances change the bank will not give the mortgage and they can pull it back the day of the closing if they want. however if it can be proved that the buyer purposely left their employment in order to be turned down for the mortgage, then that is fraud. There is a difference between a mortgage approval and a mortgage COMMITMENT; more information please.
0 votes
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