Can EM be lost if seller signed 2 days after third party expired even though ammendment was sent two days earlier?
840appraisal has been paid for and awaiting report. I called, emailed, and texted agent wondering why her seller went ghost for almost 3 days.... ughhhhh
Addtional Details:
- UPDATE: seller signed contract amendment to extend third party, right to terminate and closing date( all on the same doc) To clarify I sent amendment two before third party expired and was signed two days after it expired. \nBuyer paid for appraisal ordered by underwriters two days ago so it looking hopeful for my client.\nThanks everyone for such EXCELLENT input!!! - Mar 10, 2021
10 answer(s)
About 3 years ago
My question would be "Did the Seller actually sign the Amendment to extend the Third Party addendum deadline? That is the most important thing here. If it was signed and executed then all parties agree to continue moving forward to get the deal close.
Like (3)
DislikeAbout 3 years ago
The question does not present an issue other than a possible delay with the amendment being signed. I am assuming the amendment was to extend the commitment period on the third-party agreement? If so rather it was signed before or after the commitment period expired the commitment period was extended.
About 3 years ago
Greetings! Usually the Earnest Money is only lost if the buyer doesn't uphold their part of the contract. I'm not 100% clear on what you are asking, but please reach out to your broker or a real estate attorney to further clarification.
About 3 years ago
Not fully understanding the question. Based on my understanding without a signed amendment a termination should have been initiated.
#1 Awarded – Best AnswerAbout 3 years ago
Hi, any questions related to default should be address with a real estate attorney. Not knowing the whole solution, it does sounded like to me you now have a signed amendment by all parties to extended the Third Party Financing Addendum. Changes can be made to the contract at anytime during the course of the terms of the contract. As long as ALL parties are working towards the same goal and making efforts towards closing, then everyone is in compliance with the contract.
Hope is all ends well, best of luck!
Hope is all ends well, best of luck!
About 3 years ago
Sure. If buyer didn’t terminate before the seller. Also, you can’t control the other agent and the other agent actions don’t have anything to do with whether your deal goes through or not. If you were my agent, I would ask to have the conversation and figure out what it is the client wants to do. Then we come up with a plan.
About 3 years ago
Not clear on what you are asking. What did they sign 2 days after? The amendment? What were they amending? The amendment is not binding until both parties have signed and it has been executed.
About 3 years ago
In short, earnest money can only be lost if the buyer fails to timely perform contractual obligations not the seller.
About 3 years ago
Hi Luis!
I don't know the whole situation, but just going with the info you gave in your question...
First, the EM can only be lost if the deal doesn't close. Is it on track to close or did the financing fall through? Second, it sounds like the seller did sign the amendment, so you shouldn't have any trouble even if the deal doesn't close. If you sent the amendment 2 days before the third party expired and the seller never signed it, then you would have an issue. As it stands, it sounds like you have a signed amendment to an executed contract, so your client should get their EM back if the deal doesn't close.
If it is a financing issue, let me know. I work with a lender that might be able to save the deal. He's worked absolute miracles for us in the past on deals I thought were lost. Text me at 281-450-7199 or email jmeador.realtor@gmail.com.
Best of luck!
I don't know the whole situation, but just going with the info you gave in your question...
First, the EM can only be lost if the deal doesn't close. Is it on track to close or did the financing fall through? Second, it sounds like the seller did sign the amendment, so you shouldn't have any trouble even if the deal doesn't close. If you sent the amendment 2 days before the third party expired and the seller never signed it, then you would have an issue. As it stands, it sounds like you have a signed amendment to an executed contract, so your client should get their EM back if the deal doesn't close.
If it is a financing issue, let me know. I work with a lender that might be able to save the deal. He's worked absolute miracles for us in the past on deals I thought were lost. Text me at 281-450-7199 or email jmeador.realtor@gmail.com.
Best of luck!
About 3 years ago
This is a question for your Broker, or perhaps an attorney. In short, a contract can be amended anytime prior to the closing as long as both parties agree.
Disclaimer: Answers provided are just opinions and should not be accepted as advice.
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