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Santhi Mani
  • Rental Property Investor
  • Los Angeles, CA
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Deal falls through due to events just prior to closing- what next

Santhi Mani
  • Rental Property Investor
  • Los Angeles, CA
Posted Nov 27 2018, 20:10

Let us say inspection went through well but two days before the closing there is a roof damage due to heavy rains and corresponding leak inside the living room.

Question:

01. If seller unable to fix the new repairs prior to the agreed closing date, could buyer walkout of the deal?

02. If seller accepts to fix the deal but buyer has additional cost due to extending the lender rate lock etc, could buyer ask the seller to pay it additionally?

In case of #01 above, are there any commission due to the listing agent or buyer agent even when the deal falls through?  If so, who pays it?

In case of #01, buyer could legally getback the earnest money deposit?

Any  other costs the buyer or seller need to be aware of?

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