Legal Question in Real Estate Law in California

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I trully believe I can get your money back regardless of what the papers say. I am experienced in real estate lawyer and I know how to punch holes in these kinds of contracts.

Re: Releasing Property from Escrow.

Why was the deposit non-refundable? That is usually not the case, as there are numerous possible contingencies. On the otherhand, if you released the contingencies, the seller may have the right to keep the deposit.

If your lender delayed the process, you may have a cause of action against the lender.

Re: Releasing Property from Escrow.

A real estate purchase deal is a specialized kind of contract, and for the most part all the ordinary rules of contract law apply to it, including the role of the escrow holder.

This means that the answers to your questions may depend more on what's written into the blanks in the documents you signed than upon general wisdom.

You call the deposit "nonrefundable," yet at the same time you seem to expect it to be refunded. This is contradictory. Someone with knowledge of such matters should examine your purchase agreement and deposit receipt, and the joint escrow instructions, and the facts surrounding what appears as though it may be your default (although you in turn blame it on your mortgage broker), and advise you where you stand. A local real-estate lawyer is probably the best person to do this, but you might be able to get a useful and understandable answer from your agent or broker (if you used one). Even the escrow officer assigned to your escrow should be able to assist, although he or she would have to take a very impartial stance and should avoid giving legal interpretations (unless a member of the Bar).

It sounds as though you failed to close on time because your mortgage broker made promises that he couldn't keep. This might make the broker legally liable for your loss (of the deposit or maybe even the deal itself), but don't count on it. Loan brokers are street wise and their written agreements are pretty protective, making it hard to hold them to any oral promises or predictions.

Whether and when the escrow holder can "release" the property depends upon the instructions given it by the seller and you. What do they say?

You should probably seek a free initial consultation with a local real-estate lawyer in the county where the property is located, especially if you stand to lose more than $10,000. For a lesser amount, consider filing an action against the loan broker in small claims court, but in any event read (and/or get someone to explain to you) the effects of your written deal with the broker, your purchase agreement with the seller, and the escrow instructions.