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Updated over 6 years ago,
Seller did not disclose: can I get Good Faith Deposit Returned
Do I have a right to have my Good Faith Deposit returned? I lifted my contingencies on a purchase of a duplex. A few days later I spoke with property manager who revealed BOTH properties had leaky roofs and water damage, yet sellers disclosed this on only one property. Seller did disclose roof leak and water damage on the back unit but did not disclose anything on the front unit. This is true for the legal forms and when I explicitly inquired about lead, asbestos , etc. in the front unit. (NOTE: I only knew that the back unit had a leaky roof and mold because the tenant disclosed to me during the inspection that she had previously been advised of mold. The the sellers did not disclose knowledge of mold on their disclosures.) Since this was a 1977 home I asked the sellers about whether there were any reports for water damage, lead, asbestos, etc. on the front unit and they stated no. (Sellers' agent explained to me realtor that they are old and have someone else manage the property which led to them not properly disclosing the mold in the back house.)
Since speaking to the property manager two days ago I learned that BOTH duplexes had leaking roofs and water damage. I also come to find out that reports exist. (Coincidentally, when I informed my realtor that I spoke to the property manager and he informed me he had lead, asbestos, mold reports on BOTH units, she stated she had the reports for both units even though I was provided reports for only one unit.)
QUESTIONS: 1) If I keep the property, how do negotiate new terms since the contingency was lifted and how do I learn/trust what remediation was done? 2) If I walk away, may I still get my Good Faith Deposit returned?