suppose if the buyer has not violated the rules and because of insufficient funds he is not approved from the bank or the funds he provided are not

Asked by Tina, Metairie, LA Wed Jun 5, 2013

approved.and the buyer knows that he will not be able to provide any more. He has also informed the seller two weeks before the closing.Even then, can the seller keep the deposite or can sue and force the buyer to buy the home.Is it not good to go and look for another and also face the seller's action.

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Brek Schutten, Agent, Grand Rapids, MI
Wed Jun 5, 2013
If there was a financing contingency in your contract and you cannot obtain financing based on the terms stated in the contract, you would most likely be acting within the contract. However, it is always a good idea to have a real estate attorney look at your situation to give you professional legal advice.
Web Reference:  http://www.BrekSchutten.com
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Pete Bruinsma, Agent, Grand Rapids, MI
Wed Jun 5, 2013
Ron's right. The first page of your buy/sell agreement should tell you whether or not you have a financing contingency. That will dictate the answer here. If you have a financial contingency, and no other issues, you should be able to receive your EMD back. If the seller is being obstinate, have your agent talk to the listing broker and inform them of the situation.
0 votes
Ron Thomas, Agent, Fresno, CA
Wed Jun 5, 2013
In a normal CONTRACT, the Buyer is "promissing" that he will buy the property:
If the Buyer has any doubts, he should include CONTINGENCIES for the LOAN, the APPRAISAL, or the INSPECTIONS; which will allow him to step away and recover his DEPOSIT.
If the Buyer has not done this, then he would forfeit his Deposit.

This advice and procedure are supplied by the Buyer's Agent: If the Buyer has declined using an Agent, then he proceeds at his own peril.
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