I just wanted to take a moment to offer a word of warning to potential buyers that are getting ready to take the leap into buying a property in Big Bear Lake or elsewhere. In times past, it was commonplace for the seller to fix a certain amount of items in order to get the home sold. It seems like a wise move to spend a little, to sell the house and allow the transaction to go smoothly. Lately, this does not seem to be the case. With the big losses being suffered by home sellers these days, a tight fist has become the norm.
For example, I just closed an escrow on a home here in Big Bear, where the seller refused to spend a single dime on repairs. During the home inspection, we discovered both the spa and oven were inoperable. The estimate for repairs came in at over a thousand dollars. My clients, trying to be reasonable, asked for $500.00 to get a new stove and they would take care of the spa, the major expense, on their own. When the seller was contacted by the listing agent, his response was " We are losing enough money as it is, they can take it or leave it." My clients were dumbfounded. They made a reasonable request and were turned down. The sellers were prepared to lose a qualified buyer because they knew they had priced their home low enough that if my clients didn't get it, somebody else soon would. Luckily, me clients realized this fact, and agreed to pay the items themselves.
Then, just when everything seemed to be going smoothly, we got hit with a termite report with $1,000.00 of section one work on it. In the contract the sellers capped the section one work at $500.00 with any additional to be negotiable. Well, when it came time to negotiate, they refused to pay one cent over the $500.00 they had agreed to. Leaving my clients, once again, with the option to either pay the money themselves or walk away. They were getting a great deal on the house, so they bit the bullet and payed the $500.00.
My point being, things are changing and it is no longer a certainty that a seller will make any concessions to the buyer. Sellers are losing money in this market and is harder than ever for them to come up with the extra money necessary to make the requested repairs. I not saying you shouldn't ask, just have your clients prepared for the advent of a negative reply.
Originally Posted at www.bigbearilluminated.com
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