Earnest Money?

Question

So to make a long story short.

My Realestate agent allowed us to sign a contract without having to provide an earnest money check. We went through the inspection and the house has maybe 20 thousand dollars according to inspection. We no longer want to proceed with the purchasing the home but the real estate agent is now pushing us to provide the earnest money check. I can't afford to loose 1000 dollars of earnest money and Im scared I will. What should i do?

Neal Collins · Answer

Step one is to read the offer you submitted. Figure out if you have an inspection period or other contingencies. Also be sure to look at the earnest money section. Is it on a promissory note due upon closing? Are funds supposed to be delivered to tilte or to the agent?

Step two is to terminate the offer.

Step three is to never ever put yourself in this situation again. Understand what you sign your name to. If you're using an agent and they can't explain the contract to you then go find another agent.

Jacob Beard · Answer

@Brian Kelley yes it is pending inspection.  Also that Is a good point I'm not sure if she did that or not as far as saying its there

Jacob Beard · Answer

Oh, I see

Rather She has it or not I still have to provide it because it says so in the contract. That makes sense but what if I still want to cancel!

Brian Kelley · Answer

Was your contract subject to inspection?  If so, you simply didn't like the results of the inspection and you can move on.  Did the agent state their was earnest money when there was not?

Guy Gimenez · Answer

@Jacob Beard

I say this with all due respect.  You should immerse yourself in learning all you can about contracts and contract law.  The time to worry about what you signed is before you signed it, not afterwards.

It may be time to have an attorney review your contract to determine what your options are since no one here has seen the contract you signed.