Posted by JPiper on November 09, 2000 at 06:06:39:
I recently bought a Fannie Mae property. I was required to sign a four page addendum here…which I assume is probably a standard addendum everywhere.
In that addendum there are several conditions to the “Seller’s” performance (that is Fannie Mae). One of those conditions is that they are able to convey good and marketable title. Another condition is that they decide NOT to acquire title to the property. In either case (and others as specified in their addendum), they may VOID the contract of sale.
In the event that Fannie Mae voids the contract under the conditions set forth in their addendum, then the addendum specifies that the Seller would return the Buyer’s earnest money deposit, and that neither party will have ANY further obligation under the contract.
Bottomline is that if you signed an addendum of this type (which is a condition of buying a Fannie Mae property here), then all you’re entitled to is the return of your earnest money. You’re out any extra money that you spent…you would have agreed to that when you signed the addendum.
READ the documents that you have signed.
In the event that you haven’t signed an addendum of this type (doubtful), then sue them (if the amount of money is such that it’s worth it).