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Who Pays For the Repair After Home Inspection

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As a seller, you have to make sure you fully understand the obligations of the contract you’re signing particularly when it concerns your responsibility for repairs. There is no need for you to fix everything a home inspector thinks could stand for improvement.

A home inspection report is NOT a to-do list. Check HOME INSPECTOR SELLERS CHECKLIST.

That’s what most people think. Basic repairs fall into three categories: ones that are pretty much required, ones that are typically are not required and ones that are up for debate.

Here’s how to determine which is which, along with what you need to do:

Obligatory Repairs

  • It is still important to pick your battles when it comes to repairs requested from a home inspection as these are a hassle, and liable to cut into your profits. Some of these are electrical, plumbing, roof, and HVAC  (heating, ventilation, and air-conditioning). That you can sensibly expect a seller to take care of under most circumstances. As long as the problems are important enough to impact your use of the house negatively.

 

Not-So-Required Repairs

  • Superficial issues such as the aesthetics of the home and normal wear and tear usually don’t have to be repaired. Some contracts will indicate that the buyers cannot request for any corrective repairs. They can just ask for repairs to structural damages or defects, building code violations, or safety issues. Making sure that your local ordinances are constantly checked to know which fix-its legally fall in your domain of responsibility.

 

Debatable Repairs

  • How you handle situations between mandatory repairs and those that do not depend on which part of the market you are in. You have more power to call the shots if you are in a hot seller’s market. While buyers are always advised to have a home inspection for them to know what they are purchasing. When there are a limited number of homes for sale and buyers need to compete for homes, they are more likely to waive their right to ask a seller to make repairs.
  • The best contract for a seller would be for the buyer to agree to purchase your home as-is or to request an ‘information only’ home inspection. Thus absolving you of any need to pay for any repairs.
  • However, in a normal market, you won’t be able to draw such a hard and fast line. Work with your real estate agent to understand what items you should discuss… and where you might want to decline.

Also Read: Home Inspection and Negotiation

You’ll want to be reasonable. After all, you’ve already put a lot of time into the selling process, and it’s likely in your best interest to take in some repairs rather than allowing the buyer to walk away. Also, it always depends on the degree of the requested repair why a buyer is likely to go away. You’ll need to disclose the issue to the next buyer. The sellers are required to let the buyer know before putting it back to the market.

So how to negotiate home repairs?

Here are two sneaky but effective ways to handle the home repair hurdle:

  • Offer a home warranty. Sometimes keep a five hundred dollar one year home warranty in your back pocket as a token to ease concerns during the home inspection if needed. Repair requests session that can come in handy. If there is an element that doesn’t truly need to be repaired but it’s still worrying the buyers and could cause the contract to fall apart. Such as the aging HBC unit. Barter for something valuable to the buyer.
  • Ask if the buyers want appliances or furniture. Well, depending on where you’re at, appliances are included and some may not automatically want a realtor that can help you with negotiations. This is a big part of the home selling process. Make sure that you’re working and you’re not letting you know the home hopefully falls apart for minor things that need to be done. Keep your emotions out of it and work to make it happen.

Do you want to learn more? Then watch this video and find out more about who pays for the repair after a home inspection.

Watch this video on YouTube.

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