In a perfect world the real estate transaction has no glitches, no hiccups, and everything works perfectly from offer to closing but the reality is, every transaction is different because every home, buyer, seller and agent brings a new dynamic to the table. When a buyer submits the inspection contingency report requesting repairs or replacements the seller has the choice of counter negotiating, refusing to conduct any repairs, or following through with the necessary replacement and requests from the buyer. But what happens when those approved requests don't get completed?
Here are a few steps buyers can take when the sellers do not follow through with the requested repairs may have agreed to.
- Determine when the repairs need to be made. The seller has until the final walk-through to complete the repairs and if the want to have not been completed it may postpone the closing date until the repairs are made to the buyer's satisfaction.
- If closing cannot be postponed, the buyer can request a credit from the seller to complete the repairs on their own. However, the repair costs may be higher than anticipated and once the sale is closed the buyer cannot request any more credit or money from the seller.
- Buyer and seller can renegotiate the repairs or replacements. Because both parties typically want the transaction to close on time, buyers may have no choice but to renegotiate the requests in order to proceed with the purchase.
- Buyer can request the seller deposit funds in an escrow account until the repairs are completed. If the seller does not agree by the date set forth by both parties that buyer receives the money to make the repairs themselves. If the seller completes the repairs or replacements, that escrow money is then returned to the seller.
- If all else fails, the buyer can cancel the home sale for nonperformance. This is usually the last ditch effort on the buyers behalf. If the seller truly will not agree the buyer may have no other choice but to terminate the transaction.
One thing to remember, stay calm and discuss your plan of action with your buyers agent to come up with a reasonable solution. It can be stressful during this time but once completed you will be glad you took the time to follow protocol and move into a safe and completed home.
As a real estate agent in Columbus Ohio I love helping buyers and sellers come together over the right house for the right price. I would love to speak with you about buying or selling in the Columbus area. Feel free to visit my website for more information.
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