Real Estate agent says down payment deposit isn't necessary to pay (in my case) lol?

[kmthang]

Long story short, my buyer didn't close the deal and made me extend the closing day to several months on their verbal promise they'll compensate me for all the living expenses till they close it. They didn't close ever, so we ended up selling it to another buyer at higher price than the previous one.

Now I'm in court with old buyer. This old buyer's agent told me at the court that because I ended up selling at a higher price to another buyer, which means I made profits. So the deposit contract the old buyer and I signed is not necessary anymore. They even want some of the deposit money back (it's being held at a trust fund company).

That logic is new to me. Is that reasonable? Just because, I ended up selling it to another buyer and a bigger price at later time, the documents I signed with previous "potential" buyer get nulled? I am confused. He said I won't win in court reclaiming that deposit money and the money the buyer previously verbally promised me.

Is that so?

 

[Cory Sperle]

What does the contract say? Usually if they do not remove their condition's or close the deposit is forfeited to the vendor. He should not have the ability to sue you in this case or vice versa. Now if you had sold for less, you could have went after him for damages (loss) of your potential gain from buyer 1. Anything verbally agreed to is null and void unless you have documentation.

 

[kmthang]

What does the contract say? Usually if they do not remove their condition's or close the deposit is forfeited to the vendor. He should not have the ability to sue you in this case or vice versa. Now if you had sold for less, you could have went after him for damages (loss) of your potential gain from buyer 1. Anything verbally agreed to is null and void unless you have documentation.

I see. I'll have to re-read the contract then. I thought I'm entitle to the deposit at least. I'll update and look for further advice after double checking it.

Sent from my LG-H915 using Tapatalk

 

[Thomas Beyer]

My opinion ( and not legal advice): The old buyer forfeited their deposit because they did not close.

However, there is usually a clause that gives 50% of this deposit to the realtor. As such it would be good for you to read and/or post this clause here !

Pretty simple and straight forward. Whether you sold the place to another person, and for what price is irrelevant.

 

[REInvestors888]

IMO: The old buyer's agent is out there to bully and scam you. Don't be fooled. Once agreed conditions are not met within agreed period of time, the seller (you) pockets deposit and free to sell to new buyer. Simple and straight forward as Thomas said)).
However, I think we are missing some info here because the realtor won't go to court unless he has a winnable case. Better consult a real estate lawyer.

 

[Thomas Beyer]

As stated above, there is usually a clause that gives 50% of this (non-refundable) deposit to the realtor. As such it would be good for you to read and/or post this very clause here !

 

[RE123RE]

Interesting case. How easily a potential buyer can lose his life savings and not even have a case or get the house.