Legal Question in Real Estate Law in California

The seller just found out she owes $7,500 in escrow and is now saying she doesn't have it and wants the buyer to pay for it. The buyer is already paying more than the appraised value. Escrow is scheduled to close in 2 days. The buyer feels the seller is trying to manipulate the buyer.

What is the buyer's legal recourse if the seller backs out?


Asked on 11/11/15, 9:27 am

1 Answer from Attorneys
William Christian Rodi Pollock

More facts are necessary. There should be money in escrow to pay the costs, unless this is a short sale and the Seller is getting no net proceeds. Sure the Seller is "manipulating", but the real question is what your contract says and why the issue has arisen, and that will determine what to do with it. Your alternatives may be to say no, and move forward or, if there is simply not enough money available to actually close, walk away. Then you have to decide whether the home is worth the extra money. Suing a Seller with no money is a losing proposition. Any answer without a close review of the actual documents and the facts is only guess work.

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Answered on 11/11/15, 10:44 am


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