We sold our condo in November of 2009. We had a new house lined up-offer was accepted (per our realtor) after a little negotiation, had the home inspection, came to agreement on home inspection items. Two weeks before close we find out that our realtor never physically got the signed offer in hand (was supposed to get at home inspection) and the sellers were backing out (couldn't get financing on next home). They were an elderly couple and the wife wanted to move, but not the husband as much. The family was trying to convince them, and their son in law owned the realty agency that listed the property. It seemed they were going to convince them, then their realty agency pulled the listing from MLS without even telling our agent. My gut says they never had a signed offer, and the kids were likely the ones who made the home inspection repair decisions. We were left with a newborn and pets and nowhere to live. Fortunately we were able to keep our pets (we stayed with family with the dog, and another family member kept the two cats). As a result, though, we wasted the cost of the home inspection, had to pay for storage (and our furniture took the abuse of three moves instead of one - out of the house, into storage, out of storage and into the house, instead of just straight from house to house). That's part 1.

Part 2 is that everyone in our buyer's agency knew our situation. They got a listing and we went to see it, even though it was above our price range. Considering how much sensitive (if not confidential information we had on them), I think the whole transaction was definitely not arms length. We were encouraged not to ask for repairs after inspection (offer was signed by husband only, under court order giving him the right to, because wife (to be ex-wife) didn't want to sell. We were told roof was cosmetic. Our inspector said it would need to be replaced soon (well, one week after moving in, shingles were flying off). Owner (wife) was at home inspection, making it awkward and was still moving out when we did walk through (so we ended up with stuff that should have been gone, including a bunch of junk in the back yard). It was our first house buying experience and our agent didn't have us check yard, and we never thought of it. Basically, as first time house (but not property, we had a condo) buyers we depended on our realtors and aren't sure that everything was on the up and up. Is there a case, and is it worth exploring our options of the responsibility of both agencies (sellers, and ours) for everything that went wrong? Negligence, at best, for not getting a signed offer in hand, to unethical/illegal (?) at worst (sharing confidential information, selling property with no right to...) Help!