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Could you find vendors who would be willing to get paid out of proceeds if the seller has wiggle room?
Nina Hollander, Broker
Pacific Palisades, CA
See if seller knows any contractors who can wait to be paid at settlement.
Good morning Melvin. It depends on the what they are. The buyer may need to decide if they are willing to take on the issues and what kind of price adjustment is needed.
Perhaps funds could be borrowed.
I had a fixer property listing and an FHA buyer. We knew the appraiser would call out repairs and the lender would require that they be completed prior to funding the loan.
The seller was not in a position to make the anticipated repairs. The seller countered that the buyer pay for all FHA required repairs as a condition of acceptance.
The buyer agreed. He paid for thousands of dollars in repairs prior to close of escrow. The appraiser returned to check the condition of the property, approved it and the loan was funded.
Pacific Palisades, CA
I second what Joan Dickie said. See if they are willing to be paid by escrow.
Make the buyer pay for them.
Melvin - Like most other members have suggested, the best option would be to have a contractor fix and be paid at closing.
It is pretty risky to have the buyer pay for repairs because the deal may not go through.
Use a contractor who will agree to payment at settlement.
What Jill Murty, Realtor - Orange County, CA and Tammy Lankford said...
When we all know before we sign purchase contract the repairs will be issue for this transaction, always go for 203k or Homestyle products. The transaction will close smoothly. I don’t see any reason to not close on any home for primary resident.
I don't understand... what appraisal conditions for repairs? Or are you talking about inspection issues? Lower the selling price for the buyer to incorporate the repairs. Otherwise find contractors who can be paid from proceeds at closing (assuming there are proceeds).
I've had buyer paid repairs happen prior to closing before.
Could it be a home owners insurance claim?
Would the buyer contribute or fix?
Can you contribute or fix?
I agree with Joan Dickie.