Get Escrow money back after cancel

**nextbond** · 10-06-2007, 07:34 AM

Hi,
We live in Illinois. We had signed a contract to buy a house, but after the Home Inspection, discovered major issues. Our attorney sent a letter of contract termination. Seller has signed the form to disburse the escrow back to us.

However the seller's realtor has not refunded our money back for past week.
Now they asked us to show our cancelled check to see if money was deposited in first case.

Is there a timeline/law for realtor to refund our money?

**TahoeResource** · 10-07-2007, 01:31 PM

Your attorney or real estae agent should have included a clause in the purchase agreement stating that the contract was subject to the buyers' (your) approval of all inspections, disclosures, and reports related to the property within a certain amount of time. If you were not satisfied with any reports and cancel the transaction within the specified contingency period, you should have the right to redeem your deposit.

The deposit should have been held by the title or escrow company, not by the real estate agent. You may want to contact their broker to let them know that this agent is holding your deposit and you are prepared to take action for your deposit and legal fees if they don't return the money by a certain date.

You should also consult your attorney for specific regulations regulating practice in the area where the property is located and ask for their advice on how to proceed to collect your deposit.

**Greg** · 10-08-2007, 06:23 AM

The real estate agent's company might be waiting for the check to clear. If they refund your money and your check bounces not only is the real estate company out of the funds but it screws up their trust account like you would not believe. The money simply might not be in their bank yet.