After 3 day cooling off period

[touchingcloth]

...if the buyer pulls out of the purchase of a property:

1) Does the buyer lose his deposit?
2)i Is the REA legally entitled to their commission?
3) If the buyer doesn't pull out, but just doesn't meet the settlement date, what are the options for the vendor? (Can they just pocket to deposit, legally force the buyer to buy, How long before the house can be put up for sale again?)

Many Thanks in advance

 

[Firsthomelooker]

I'm surprised no one had answered this yet. Assuming the property is in NSW as your location says sydney:

1) Generally Yes
2) Generally Yes
3) Issue a 14 day notice to complete; if not settled in 14 days vendor keeps deposit, agent gets commission. House can be put up for sale immediately and vendor can sue purchaser for any difference in sale price and selling costs. Technically speaking they can get specific performance and force the buyer to settle the contract but in all reality they wouldn't bother, because they have the first option above.

 

[Perp]

Yep, what FHL said sounds about right. Basically, if you have an unconditional contract to purchase, you should proceed with the purchase if it's at all possible! Otherwise you may find yourself facing a huge liability.

 

[touchingcloth]

Thanks for the replies guys.

Should we enter a falling house market, then some buyers may be tempted to lose their deposits.