Metro Atlanta Buy Lease Sell Sadly Accepts Agreement Termination in Buckhead Atlanta GA DAY 2
Dear AR friends,
RE: The blog from 30 May 2011
Tonight I have an idea where the tipping point towards termination of the Buyer's Agreement was located. The friend probably just stimulated the process.
Here it is:
My personal satisfaction comes from narrowing down choices and having just the right choice so the decision may be made the first day out. Therefore - I was honed in on getting the search done well.
I misunderstood their target - I thought it was to BUY a home. I totally missed that they were just interested in looking and were not ready to buy! All their comments led me to believe that they wanted to find a house -- and we found exactly what they had asked to have, in exactly the neighborhood they wanted and at least $100K less than the neighborhood level, leaving room to update the baths and still be OK financially and it was four BR not 3 and had fresh painted walls, refinished TRUE hardwood floors, new carpet and had all kitchen appliances -- all they asked for was there in one lovely home! I think the reality of having to make a commitment was another issue. They are first time buyers who need more time and .
Anyway - let's move on to the interesting subject of Earnest Money. Pamela's comment alerted me to how different each states rules are for Earnest Money. In Georgia, we have the State Code that holds the laws for EVERYTHING! The Georgia Association of Realtors (GAR) Purchase and Sale Agreement, Paragraph 4, clearly states the Earnest Money policy.
4. Amount and Deposit of Earnest Money. Buyer has paid to (Name of Brokerage here) (“Holder”) earnest money of $_____ check, OR $_____ cash, which has been received by Holder. The earnest money shall be deposited in Holder’s escrow/trust account (with Holder retaining the interest if the account is interest bearing) within five (5) banking days from the Binding Agreement Date. If Buyer writes a check for earnest money and the same is deposited into Holder’s escrow/trust account, Holder shall not be required to return the earnest money until the check has cleared the account on which the check was written. In the event any earnest money check is dishonored by the bank upon which it is drawn, Holder shall promptly give notice of the same to Buyer and Seller. Buyer shall have three (3) banking days after receiving such notice to deliver good funds to Holder. In the event Buyer does not timely deliver good funds, Seller shall have the right to terminate this Agreement upon notice to Buyer.
The Georgia Real Estate Commission offers a FAQ page for further information about Earnest Money.
One day I'll write a longer post about that but for now - DAY 31 of the 31 Days of May Challenge - for now - BYE!
Have a happy day,