In Wisconsin....part of the Offer to Purchase has an inspection contingency....does the Buyer want one and how long does he have to do it....and then what IF further evaluation is needed by....a foundation specialist, plumber, electrician, etc. ? The time line can be extended to allow for additional evaluation and based upon that and supporting documentation...the Buyer can decide to ask the Seller to fix whatever...if it is major...he can walk away...OR in the case of short sales, knowing the Seller can't afford to fix anything ...may choose to wrap the fix into the mortgage. Hopefully with latter, the Seller's lender will allow for a discounted price given written evaluation and quotes...no guaranty. The most notorious of these issues is usually the foundation...Agents and Buyers often don't know that every crack is not a big deal....and unfortunately too many contractors in that business like to make a big deal when sometimes, there isn't one. We have a trusted foundation specialist and he is not out to retire on one job...and knows his business.
If the Selling agent is not watching the calendar and the timeline expires...oooops....the Seller(s) do not have to do any fixing at all.
In order to end the contract, the Buyer's agent must send a "notice of defects" and a CAMR (Cancelation and Mutual Release) signed by the Buyers to enable them to get earnest money returned, end the contract and the listing agent can then change the status back to Active and get another offer.
It is not enough...to leave a voice mail, send a text, or write an email saying the Buyers are canceling a contract...there is a right way as described to have this contract come to an ebd so that a new one can be written.
The calendar pages continue to flip, the clock continues to run....and unkindly...the Selling agent either waits until the last possible second...OR has forgotten....either way...after voice and email reminders a Selling agent is not pleased.
If you don't want to invest in software...get a notebook with timelines on it per transaction...it's not hard...most agents seem to be able to do it easily. You are not only tying up the Seller....the Buyer is still obligated to buy the property without the proper paperwork completed.
Be professional...understand that "time is of the essence" really means exactly that...and the consequences are grave and expensive for not keeping an eye on the calendar.
This is a professional service post brought to you courtesy of Sally K. & David L. Hanson, Broker Associates with Keller Williams Realty, honored to be serving Sellers and Buyers throughout southeastern Wisconsin.
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