Q: How long does an escrow company have to return my deposit when I have decided not to purchase the property?
I put down a large deposit on a townhome in Ojai. After inspecting it, there was substantial repairs which needed to be made and damage to the property which was not explained. The seller wasn't being very helpful and I had a really weird feeling about the place. I backed out of he deal before the contingincies needed to be lifted. I held up my end of the bargain. Now the escrow company who promptly cashed my check is giving the run around. I am very frustrated.
A:
Disclaimer: The materials provided below are informational and should not be relied upon as legal advice.
The escrow holder is a neutral third party--it will not judge which party (buyer or seller) is right. If both parties sign papers authorizing the escrow to be cancelled and deposits be refunded to buyer (you), then the process will be fairly quick. Otherwise, it can take much longer and, in extreme cases, the parties may need to resort to legal and equitable relief. I suggest you immediately consult your real estate broker and your attorney to protect your legal rights.
A: For you to receive a return of your earnest money deposit, you would have had to cancel within the contingency period and sent the proper forms to the seller's agent. The seller would then have to sign escrow instructions canceling escrow and returning the deposit to you.
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