Now that you had your home inspection you want to ask yourself what items on the report you can handle “as is” and what items you want to negotiate with the seller. This article offers a three possible approaches to consider in how you move from your home inspection to closing.
Arguably, the best option is to add a reair list to an addendum in your purchase contract. Taking this approach may cause extra hurdles with your lender and runs the risk of the buyer not being completely satisfied with the repairs. however offers a strong contractual position if the repairs aren’t performed to the buyer’s satisfaction.
Another option to take after your home inspection is to ask seller for a discount off the purchase price equal to the value of repairs. This is probably the most straightforward approach and lets the buyer conduct the repairs on their own timeline according their own preference who in who handles the repairs. The drawback to this approach is the possibility of repairs costing more than what was allotted for in the discount.
The third approach is drafting a letter to the seller outlining the repairs to be completed before closing. Although this approach has an advantage it opens the buyer up the possibility of the repairs either not be completed by closing or not being completed to the satisfaction of the buyer and then not having the terms spelled out in the formal contract.