Q: Buyer backed out of contract. Home inspection fine. Said she just didn't want it now. Can we keep escrow $?
Buyer did a home inspection (had 10 days) through a non licensed "friend". No report to look at and realtor said house was fine. On the 9th day she backed out. She told the realtor she didn't know about HOA fees. Was in listing and realtor knew. Just got cold feet. We spent $ on home inspection for house we are purchasing, but needed monies from sale of our home to buy that home. Can we keep some or all of her $10,000 deposit?
A: It depends upon the controlling language in the contract for sale, but ordinarily in this situation you should be able to keep some or all of the EMD. You will want to consult with the title company holding the EMD for the process to make a claim.
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