I put a conditional offer to buy a house with a deposit. Conditions were financing and satisfactory home inspection and were accepted by the vendor. The house did not pass the inspection so I did not remove the condition and informed the seller agent that we want to withdraw the offer and will not buy the house because of the issues, which came up in the inspection. On this the seller agent gets upset and threatens to sue us if we did not remove the condition.
Its been two weeks since this happened and in spite of our calling them and faxing the release forms there has been no response form the seller agent and I have not got my deposit back. My agent is suggesting to wait for some more time and then take legal action.
I am trying to understand what’s going on. If I keep waiting I lose time and cannot finalize any other house till this issue is resolved. Taking legal action has its own involvement.
What will be the best course of action in this situation?

Dear PWin

Don’t expect answers to such (un)important issues. Such matters are seen as your personnel problems on this forum. Post a thread like, "Perhaps I am thinking of moving to Kazakhstan after 2 years; Anybody is coming with me...?" or say, "My neighbor’s dog barks at me. Maybe he (or she) does not like me ...."
And ppl will start discussing that like a very big issue.

Ben

Your step was OK. If inspection brought out flaws which could not be easily rectified then you are within your rights to withdraw the offer. Conditions are exactly that. If they are not met, then your offer automatically becomes void.

How to get deposit back is another question. Your agent is right about waiting, as litigation is costly and should be the last resort. You can come back with information how it has panned out.

You are fine in raising this issue in forum as it adds value to experience of all Canadian desis, and Real Estate &Mortgages is correct section for it.

Best of luck.

You have backed out of the contract by using the home inspection clause that clearly states "absolute and sole discretion of the buyer". The seller will soon realise that he stands to loose on legal grounds and will sign the mutual release. If he does not do this, his house sits in the market, neither the buyer or the seller benefit. You might not be able to buy another property and the seller will not be able to accept another offer on this property unless the mutual release has been signed. Wait and watch another 1-2 days, I am sure you will come out of this situation.
Regards,

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Amit Kalia, Broker, REALTOR®
RE/MAX Real Estate Centre., Brokerage
independently owned & operated
100 City Centre Dr, Unit 1-702
Mississauga, ON L5B 2C9
Phone No.: 905-339-5111
Website: https://www.realestate-ontario.com/
Condo Blog: https://condopundit.com/blog/

A lot of times, these "upset" agents and others pull off this worthless sabre-rattling to see if you would wimp out.

This is a tactic used by sleaze balls working for sleazy employers with the full intent of exploiting what they may perceive as your ignorance about the contracts and law and the legal system. They are just preying on your fear.

The seller's agent should know that all parties involved have signed a binding contract, that, as Amit stated is clear and binding. So, do they want to sue you?Let them go ahead. See how far they get.

Although, as long as this drags out, you may not be able to buy another property, the seller has got more to lose as he/she cannot sell the property.

Be confident, don't give in to these scums. You will prevail.

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Dimple2001

Thanks for the input guys.
I'll keep the forum updated about the situation.

Quote:

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Originally posted by dimple2001


Although, as long as this drags out, you may not be able to buy another property

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Chandresh

Advice is free – lessons I charge for!!