having the deposit go directly to seller before closing

[Yocheved Beer]

Hi all,

I was under contract for a house, and all was well untill the sellers lawyer said that the security deposit must be given to the seller and not held in an escrow account. My lawyer told me this is insane because the seller could just walk away with the deposit monies. Or if the house gets damaged before closing than the seller could just walk away with the money.

Is this normal and or recommended? Btw its a probate sale that needs court approval 

[Jason Wray]

Your attorney is correct and it should be held with the title agent in escrow. You and the seller have to agree to a contract which includes dates and appraisal/inspection if getting financing. The seller bears responsibility on the contract as well to deliver on their end.

Seller still has to hold up on their contract to deliver a property that will appraise and pass an inspection.  Unless the property is being sold with no contingencies.