Saturday, July 15, 2006

House 3: Another Update

I've received a copy of the inspection report summary. Nothing too out of the ordinary, considering the house is 50+ years old. Some things were found that the first inspection report found and some things were noted that weren't in the first report. I have yet to hear anything from the buyer regarding what, if anything, they want me to fix. I expect that will come Monday or Tuesday. I also received a copy of the earnest money deposit check.

One nice surprise is that I'm getting the $500 earnest money deposit from the last sale that fell through. (Hmm.. looks like back then I wrote the buyer put down $1,000 earnest money. It was really just $500.) If you recall, the deal fell through because the buyer couldn't get financing. With the new contract Realtors are using, this actually is not categorized as breach of contract and therefore, the earnest money deposit can go back to the buyer. We submitted a Cure Notice when we reached the scheduled close of escrow date. This gives the buyer an official notice that they have 3 days to correct the situation (i.e. find a new loan) or they are in breach of contract. But this buyer never responded to the notice! According to my agent, this means the title company has no official reason why the buyer has backed out and, therefore, the earnest money is forfeited to me! All the buyer had to do was let the title company know in writing that they could not get a loan and they would have gotten their deposit back. Oh well. I guess this is just another piece of evidence that the buyer's mortgage broker and agent were not very experienced. And I'm not feeling sorry for this person either. It's been almost exactly one month since the deal fell through. That's plenty of time for them to contact the escrow company and ask for their deposit back.

1 comment:

Trisha#1 said...

It sounds like the last buyer figured they weren't going to get their deposit back anyway!

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