Earnest Money Agreements and Refunds

In many situations like this, although contract termination is the sticking point, the main issue for buyers is simply getting their earnest money back. In light of this, here are a few things you can do to help make earnest money less of an issue whenever a seller refuses to acknowledge contract termination.

None of these alternatives are ideal, but they at least give your buyer some options to consider other than suing. Put up no earnest money. Put up earnest money deposits in stages. This is slightly more attractive to a seller. A different earnest money holder. The buyer might receive some comfort from having the earnest money held by someone aligned with the buyer. A friendly earnest money holder decreases the chance of earnest money refund in colorado inadvertent or intentional release of the earnest money to the wrong side.

Again, contracts do not enforce themselves. Sometimes parties who are clearly in the right find they have no choice but to file a lawsuit to options trading brokerage accounts the terms of the contract.

By sharing some of these earnest money refund in colorado ideas with buyers, you might be able to take steps to reduce some of the risks and avoid full-blown legal fights over earnest money. His practice areas include real estate, real estate finance, and broker representation. He can be reached at jon frascona.

Earnest Money Battles These options may help buyers and sellers avoid lawsuits over contract breaches. September By Jonathan A. About the Author Jonathan A. View the discussion thread. CHICAGO, IL D.

It’s Almost Impossible to Keep the Earnest Money -

When Prospecting Is Unethical. We Could Lose s. Most Recent Court Cases No Conspiracy Against Discount Firm.

Profile Info May Violate Fair Housing. Brokerage Can Represent Competing Buyers. No License for FSBO Ads. Most Recent Law Columns Drones: Title Snafus and You. Don't Fill in the Blanks.

is the seller legally obligated to refund earnest money deposit?

Property Defects and You. The Fallout From Fraud. Most Recent Ethics Columns When Prospecting Is Unethical.

The Ethics Around AWOL Agents. Realtor Magazine Plus Current Issue Archive Digital Edition Most Popular Quizzes Handouts for Customers Buyer's Guides Webinars. Value Architecture Coach Architecture Guide. Brokerage Management Features Franchise Report Broker Standouts Commercial Features Conversations.