Homeowners are trying to keep my earnest money after we terminated a contract, looking for some guidance (AL)

So my wife and I made an offer on our first house in Alabama about 1 month ago. During the inspection process, we found several major issues that we couldn't live with – asbestos tile under the carpet, major electrical issues, etc. The guy considered himself a contractor, but his DIY work was very low quality. We decided to walk away from the contract and keep looking.

In the contract, it clearly states that: "if inspections reveal conditions that are unsatisfactory to buyer, then the buyer may (a) terminate the contract or (b) request that the seller fix the conditions." and "if buyer elects to terminate as a result of the inspections, the seller agrees to promptly sign the mutual release directing the return of earnest money to buyer"

Well now they are butthurt about us walking away, and they are trying to keep our $1k earnest money. My realtor is saying that we are protected by the contract, but the homeowners are just trying to delay the inevitable. My question is : is there anything we can do to get our money back and speed this process up? It has been about 2 weeks since we signed the mutual release and I don't want this to fizzle out and never see our money again. Thanks in advance.

More real estate tips at Program Realty Wix site

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