Inspection

It is common for a home buyer to have a property inspected. This produces a report and then a response from the buyer detailing what he or she wants fixed. Sellers can often feel a little taken aback as they are responding to the inspection report. Let’s keep the buyer from picking your pocket. Here, you can see some different strategies. Because every house, housing market, and the transaction is unique, discuss these tactics with your agent. 

The Bull

Tell the buyer, “No, I’m not going to do any of those things. Instead, I’ll just find a new buyer.” This works best if two conditions exist: 1) there is little inventory in your market putting your home in high demand, and 2) the inspection didn’t reveal any major defects but instead revealed several or many minor items. If you the offer is too great to let risk losing the buyer, consider making just a few repairs. A small compromise can go a long way.

The Bribe

Why is bribe such a dirty word? Your buyer is likely facing thousands of dollars in closing costs. The buyer may have negotiated for some seller concessions (closing cost allowance from the seller) in the purchase agreement. But, if it is not all covered or none at all was asked for, offer the buyer money towards his or her closing costs in exchange for not making the repairs. Alternatively, if the buyers do not need any additional closing cost allowance or you are the amount would violate what is allowed based on the buyer’s loan type offer them stuff. The agent writing this blog post once bought off a buyer seeking a $6,000 septic tank replacement with two couches, a gun safe, and a snowblower. The seller didn’t want to move them across the country so we offered them up. Yeah, we used the b-word, bribe. This is 100% allowed.

This tactic isn’t the greatest money saver. However, it does relieve you as the seller from having to manage the completion of the repairs. Your time is valuable, right? Also, to justify your offer more, it always helps to have some budgetary quotes from some vendors or contractors who are capable of completing the work.

The DIY / Jack-of-all-trades

Often buyers will provide their list of repairs and demand you use licensed, insured, and bonded contractors for all of the work. Respond to the buyer by saying you will complete the work but you as the seller get to choose who completes the work, including yourself. Most of us know someone who is pretty handy and can take care of a lot of things. Your friends or family members are likely to charge a lot less than a contractor. This method works best if you agree to complete most of the items they have requested.

Responding to a home inspection does not need to be stressful. Remember, the buyers chose your house for a reason. They fell in love with it enough to make an offer and proceed. Just keep them moving forward in the process and you will likely make it to the finish line – the closing table!