Legal Question in Real Estate Law in New Jersey

I I have a short sale property in south NJ where after all approvals were granted, and days before the closing (approx. 45 days) the buyer backed out due to the process taking too long. My agent told me they found something else but honestly I don�t trust my agent. Bottom line, they want their GFD back ($2,500). I told my agent that I didn�t want to sign the release of funds regardless if the reason and wanted to keep the money since I feel the buyer didn�t act in good faith. He told me that NJ law stated that I don�t receive the money but the GFD sits in escrow for eternity. We have a new buyer, set to close in the next couple of days and he just stated that the property cannot close with the new buyers unless the funds are returned from the attempted previous sale that fell through. All of the information from the agent sounds inaccurate. I wanted to know where I could get some information to counter his claims if they are in fact inaccurate. Thanks for your help.


Asked on 7/08/15, 9:31 am

1 Answer from Attorneys
Miriam Jacobson Retired from practice of law

Your Realtor is correct, you can't go forward with another buyer until you agree to release the deposit of the previous buyer. You could check situations like this if you were represented by a lawyer in the transaction.

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 7/08/15, 10:30 am


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