yes, I plan on contacting a local attorney. We sold our house and closed about 2 months ago. Last minute we found some mold issues that their inspector didn’t find. They couldn’t be repaired prior to closing so we left $10k in escrow and signed an addendum about what that would cover. Part of the addendum stated that the buyer would get 2 estimates on everything. They haven’t gotten 2 estimates on ANYTHING, they just got 1 and went ahead with the repairs without even presenting the estimate to us. One room of carpeting had to be replaced, it came to $46/yard which they claimed was “middle of the road” even though it actually included Tempur-pedic padding instead of normal crushed foam padding (it was from Home Depot).
In my mind, they are in clear breach of contract, but I don’t know what the remedy is. The addendum is horribly written; it doesn’t specify who chooses the contractor after the 2 estimates or any kind of detail. We were bullied into signing and closing; the buyer was threatening to walk and wouldn’t even wait 1 day to get the details of the addendum straight.
Any advice? Thanks in advance!
I’m an active licensed Realtor in CA (not sure where you and the house are), and I’m not qualified to give legal advice. However, in our standard Purchase Agreement contracts, its outlined that if there are disputes, there are steps to take to try to remedy, and that first includes arbitration and mediation. I haven’t seen the details in your contracts, so I don’t know anything in your situation for sure. Go back to your agent, and his/her broker manager and be a PITA if needed. And talk to your escrow contacts too, so you understand what they’re doing (they have a fiduciary responsibility to you).
IMO, a thought that may put your mind to ease a little bit is don’t worry about what the buyer/owner is spending. They can spend as much as they want and on whatever they want. From where I come from escrow is not going to pay any invoices or release a cent to the buyers until you the seller agree and authorize.
And yes, talk with a local attorney as you stated. Best to you!!
Are you still in OH? Check the contract, you may be required to go to arbitration. Also, does the contract speak as to how any escrowed amounts are released? Who is escrow agent? I would put them on written notice soon that there is a dispute as to payment of escrow funds.
Yes, I’m still in Ohio. The title agency is who is holding the escrow money. Assuming the buyers have paid the contractors, the buyers are waiting on as much money back out of the escrow as I am at this point.
Wow. You presented the mold? You are a first rate person.
Hope all goes well. Most people would have said nothing and claimed ignorance.