Will the seller repair everything on the inspection report?
This is a great question, everyone wonders about it. Knowing how to manage the results of an inspection report may help you navigate seller obligations. Some clients demand repairs for all items listed in the inspection report, other clients request no repairs at all. So what should we expect to be done?
The current North Carolina Offer to Purchase and Contract (7/2018) clearly defines that buyers have the right to inspect the property during the due diligence period under section 4.b - Property Investigation (i) Inspections. Most buyers believe sellers should make repairs to the home if the inspector lists them on the inspection report, in order to make the house in “sellable” condition. This is not true. In the next portion of the contract section 4.c Repair/Improvement Negotiations/Agreements it is written in all capital letters, Buyer acknowledges and understands that unless parties agree otherwise, THE PROPERY IS BEING SOLD IN ITS CURRENT CONDITION.
This negotiation process during due diligence period is the opportunity buyers take to request repairs and agree with the seller what needs to be corrected. Buyers may decide to leave the transaction and lose due diligence monies if the seller says no to the requests. The seller could then return the home to the market, or simply decide not to sell. Negotiations can become quite stressful. Don’t worry though, a good realtor with proper skills and a good pulse on the market can help negotiations tremendously.
I usually tell my buyer clients the inspection report is used to determine the condition of the home they are buying. After careful review, we will request repairs that are reasonable and prudent for each situation. All transactions are unique.
You may see on some listings SOLD AS IS because the seller is stating prior to your offer “Don’t ask for any repairs because I’m clearly saying no to them.”
This process of defining necessary repairs is one of the “hurdles” you’ll need to navigate with your realtor. A good team effort can make the home buying process much easier, especially in this area of perceived obligation. That’s why we would like for you to choose the Quarantello Realty Group – we can help you through this.
By: Karsten Kohlrausch 919- 749-6975 Karsten@CQrealtygroup.com