Early release of deposit before settlement

Hi everyone,

Am awaiting the purchase of my property which settles on the 10th July 2017

The vendor has asked for the settlement date to be brought forward which I have accommodated

The REA has now informed me that the vendor is requesting an early release of deposit from the REA trust before the settlement date which is 2 weeks away

Is this a normal request?
Are there any issues from my end which can go wrong (ie the property does not settle on time)

Thanks in advance

 

I wouldn't. Only risk with no advantage on your part.

 

Yeah the money might disappear and then the property doesn't settle. Plus a whole range of other similar scenarios basically involving your money disappearing.

I'm surprised the REA didn't even give a reason to you to try and justify it.

 

there are a few threads on here already. Property in VIC?

 

Hi guys, yes property in VIC.

I was in two minds about it, but most likely will just wait for the 2 weeks until settlement.
Wanting to help, however must cover myself first.

 

Offering that as a tactic to get a bargain from a desperate seller is one thing, but doing it mid contract is very unusual.

 

It is normal. Having bought and sold in Melbourne, I was offered an early deposit release (as a seller). I didn't find it appealing. Personally I would not do it as a buyer or seller. There is some good info here:

Section 27 - How to Get the Deposit Released

 

I was asked mid contract in Vic if I was going to seek a deposit release (as a seller). I declined. I just don't see the point.

 

It's funny. I always thought that a deposit release was initiated by a seller but perhaps could be by the REA wanting early Comm

 

In VIC only it seems

 

Correct. It is a VIC thing.