There are certain to be issues that arise during the course of the various home inspections that are typically performed during the home buying and selling process. While certain issues can create opportunities for negotiations, there are no set rules concerning what sellers are required to repair. This puts the ball in the buyer's court, who now has a few options about how to proceed when an inspection presents condition concerns.
1. Renegotiate the Buying Price
Even if a certain flaw isn't particularly a major issue or a concern of the potential buyer, there is still room to take advantage of the situation by asking for a price reduction. This can be particularly beneficial to buyers with DIY skills or those who plan to hire a contractor for renovations. While this is the most common approach, buyers must be sure that they have adequate funds post-purchase to make the needed repairs, particularly if they're structurally related.
2. Cancel Purchase Related Agreements
When buyers decide there are just too many issues with a home, there are options to cease the process. If the involved parties cannot agree on terms, buyers can typically cancel the purchase agreement and/or offer directly, as well as put a halt on any broker agreements, refinancing documents or other binding documents. Keeping this option available requires buyers to ensure that there are such contractual contingencies in place within documents prior to signing them.
3. Request the Seller Perform Repairs Prior to the Sale
There are pros and cons to requesting sellers to arrange for home repairs prior to completing the sale. The pros are that the work is done and the buyers don't have to worry about shelling out cash for repairs upon moving in. However, what happens when the work isn't performed up to the buyer's standards? Realistically, most sellers have no motivation to hire top-quality contractors, so subpar materials and labor might be utilized during the repairs. Think long and hard about how you handle home repair requests, and perhaps get your real estate professional involved in securing an agreement concerning using qualified contractors for such repairs.
4. Push For Credits Instead of Repairs
Home buyers might do themselves a favor by requesting closing cost credits or price reductions for system and condition issues that arise during a home inspection. In fact, many real estate agents often recommend this course of action, as it gives buyers complete control of the repair process. After all, repairs being arranged by sellers can ultimately take longer than planned and delay the sale, not to mention that the repairs may not be up to par.
5. Take No Action
There are bound to be flaws and imperfections when buying a used home, but buyers don't necessarily need to address them with the seller. It can be unrealistic to provide sellers with a long list of mostly small or tedious repairs, which can also make sellers feel defensive. Consider buying the Belle Meade home as is or taking another route as suggested in the aforementioned tips, as sometimes taking no action is the best action. Consult with your real estate agent for more in-depth advice concerning your particular situation.
Need more tips for negotiating home sales after the initial inspection? Contact a local real estate professional for expert guidance in today's home market.