Legal Question in Real Estate Law in Pennsylvania

i put a deposit down on a house. I could not obtain a mortgage. do I get my deposit back?


Asked on 11/11/11, 9:12 am

1 Answer from Attorneys

Miriam Jacobson Retired from practice of law

Depends on what your agreement of sale says. If you had a mortgage contingency and were refused a mortgage in writing within the contingency time, you should be able to cancel. You must follow the procedures and method of communicating with the Seller and Realtors. If the contingency time has passed, you probably won't be able to get the deposit back.

If the agreement of sale did not also limit your liability under the agreement to your deposit, you may also be at risk for the entire purchase price. However, if you did not qualify for a mortgage and can't afford to pay for the purchase without the mortgage, you may be able to negotiate with the seller to get back all or at lease some of you deposit.

THIS RESPONSE IS NOT LEGAL ADVICE, SINCE I DO NOT HAVE ALL OF THE INFORMATION THAT WOULD BE REQUIRED, AND I DO NOT HAVE A REPRESENTATION AGREEMENT WITH YOU.

* If the answers to your question confirm that you have a valid issue or worthwhile claim, your next step should almost always be to establish a dialog with a lawyer who can provide specific advice to you. Contact a lawyer in your county or township.

* Another reason for contacting a lawyer is that it is often impossible to give a good answer in the Internet Q&A format without having more information. The unique circumstances of your situation and things that you may not have thought to mention in your question may completely change the answer. If you want to be sure that you have a complete answer to your question and an understanding of what that answer means, establish a connection with a lawyer who practices in the area of your concern.

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Answered on 11/11/11, 9:47 am


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