Thread: Buyers only put 500.00 down!on 323,500 house!~

It will depend on the rules of the local MLS board. Here in florida, we can continue to take back up offers as long as it is listed in the MLS as pending accepting backup offers. You will need to check with your realtor, and if he/she does not know, have them ask their broker.

Good luck, I hope it closes. The low money to me is a red flag

If you have already accepted the offer there is not much you can do to address this. Ask your agent if you can take back up offers (you don't mention what state this property is in).

You can always request a larger Good Faith/Escrow deposit than what is on an offer - for future reference.

I know it is a tough market, but your agent really should have tried for more earnest money. Even if you are able to show the home and get backups, there are so many houses on the market people rarely want to waste their time looking at a home with a contract on it.

Beside, no law requires a buyer to pay a deposit. A buyer can buy a property with no earnest money and pay in full at closing.

I use to buy with no deposit, because the 2 times I put a deposit, I lost them. One time, the Inc owning the property had to much debt, couldn't buy free and clear but the RE Co kept the deposit as commission, and the second, the seller dissappeared witht eh money.

Since, I pay in full at closing as buyer.
As agent, I ask my seller what they want to do.

Be very carful here, this is a sign of a week buyer. Once you sign that agreement you are stuck with the offer and bound to sell it if the buyers perform, even if you get a full price offer. I would suggest adjusting the contract to your advantage, by putting some real strong deadlines for the inspections and when they release their contingencies. I would suggest that the buyers complete all their inspections within a 5-7 day period and a release of contingencies within 10 days. This is a really strong timeframe and the buyers might not go for it, but this protects you by only allowing your home to be off the market for around 10 days as long as you don't sign any extensions. Play it strong and make the contract work for you.

sorry about the predicament you find yourself in. It is a week offer, from a week buyer. I do not know what state you are in or what the rules of that MLS are, but I would order your agent to continue marketing the house until the mortgage commitment is back. but that may not be possible.

It's not that the buyer only gave a $500 deposit, it's that the sellers accepted a $500 deposit.

How about an update by the original poster. It is kind of a two way thing here in the forums.

You ask questions.
We answer and give tips.
You update us so we can get something out of it as well.

It seems the market is bad but the advice from realtors can even beat that.
Accepting with $500 earnest money without real tight deadlines is insane.

Desperate times call for desperate measures. You didn't mention if a pre-approval letter was included in the offer. I take an offer as a whole and don't focus on one thing. I prepare my clients up front that nothing is done until the check is in the hand. Earnest money is getting harder and harder to recover if a deal falls apart these days.
Sure the earnest money is low, but whats the escrow period, how much are they putting down, have they spent money on the inspection and appraisal yet?
I would be hesitant to say this is a bad deal until I knew more. I think it's like 97% of all deals written close. The numbers are in your favor.

Best of Luck!