Do You Get Your $Dough Back? Expectations??

[SD Swede]

The best boss I ever had taught me never, ever, to send an email when pissed off. Advice that served me well. So this may be premature and, god forbid, my feelings may shine thru. Well, I'm

You may have seen my 912 for sale. In the last few days 2 persons have, in my opinion, promised to buy. I base this on their words, but mostly by their deposit to hold the car for them, take it off the market and telling several others its sold. I know, more than most, that words can be empty but usually the $ speaks well. I'm not so bent about the fact that people do change their minds. In both cases no one ever looked at the car, they just plain could't/would't use the funds for a Porsche purchase anymore.

So, my real question is with regards to the deposit. In the 1st case I just plain felt bad for the guy (good business practice error #1 probably) and offered the deposit back. He was actually surprised and very thankful. He was also a very respected Porsche community personality. In the 2nd case, I just received an email saying he no longer wants to buy, and please return his deposit. In neither case was it the car and/or its condition. No one ever looked at it or had it inspected. Is it general practice to expect to get your deposit back? It would seem that you are backing out of a deal you agreed too? No, i never mentioned that the deposit was non-refundable.

Just trying to get a feeling for what may be our community's expectation...maybe just on a case by case basis I guess??? Opinions???

[oscillon]

I presume it's important to be clear to potential buyers that, to you, a deposit is a fee that buyers will pay if they break the deal without "just cause". Unless otherwise stated, and unless "just cause" is defined, it seems to me that it's really not your money.

[beh911]

The world is full of flakes.

I would be as frustrated as you are.

"Deposits" are supposed to be in good faith and the interested party is on the hook for them unless there is some extremely difficult situation (just lost job, death in family, etc). I realize the "etc" part is where the potential buyer likes to land and expand this rule.

Of note, earnest money in real estate contracts has basically turned into "please reserve while I think about it the next couple weeks." At least in GA. And this is supposedly a legally binding contract.

No, haven't been in your situation personally, car or real estate wise. Just empathizing

[Frank Beck]

If deposits are refundable they're worthless.

Buyers of frivolities should be willing to put their big boy pants on and suck it up if they fail to execute.

For any reason.

[LiveFromNY]

If deposits are refundable they're worthless.

Buyers of frivolities should be willing to put their big boy pants on and suck it up if they fail to execute.

For any reason.

Exactly...

[Schiefer]

My 0,02 NOK..
Take the high road, return the money, move on.

[Mr9146]

If deposits are refundable they're worthless.

Buyers of frivolities should be willing to put their big boy pants on and suck it up if they fail to execute.

For any reason.

It bothers me that I actually agree with Old Man Frank on this one.

A deposit is non-refundable unless it's implicitly stated as being refundable prior to money changing hands.

[JT912]

Might be a sign that you should keep the 912 and sell that other Porsche of yours.
Might add "non-refundable deposit required" to your listing which may help avoid a third round of this situation.

[Greg D.]

My 0,02 NOK..
Take the high road, return the money, move on.

+1 but in pennies... (minus shipping cost)

[mfitton]

To avoid this mess always make the deposit non-refundable and state it in writing. Now that being said make it a reasonable amount but enough so that it at least hurts a little maybe $500 or $1,000 just to keep the flakes away. Also you need to define in writing when the balance is due, so when they flake you can move on to the next buyer.