Posted by River City on August 19, 2005 at 06:01:26:
Why didn’t you insist on earnest money? When a purchaser puts earnest money on a contract, they have a reason to fulfill the terms of the agreement. If they do not deposit earnest money, there is no incentive to go through with the agreement, except for the purchase of the home. Buyers get “buyer’s remorse” very easily, especially when there has been no earnest money given.
However, earnest money has nothing to do with whether or not you can back out of the deal. If your contract allows termination by either party, it should state how the seller and buyer can terminate the agreement. Read the contract carefully and follow to a “T” the directions on terminating the agreement.