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I've got issues (after the Home Inspection) that must be addressed before I finalize and head to closing.
Trouble is getting estimates this close to the ending contract date (7-6) because of the holiday, scheduling, etc.
Using just the Home Inspection report, I did get a Good Faith Estimate (really just a ball park figure) on the electrical issues of nearly 2K but the plumber hasn't replied yet on the water and gas leaks found on the report.
Do sellers usually grant an contract extension?
I want the home but these issues need to be fixed.
How forceful should a buyer be on getting seller concessions on the price?
I'd rather the buyer make those repairs and I'd just pay the price I bid. But getting the repairs done to my satisfaction are paramount. I don't want the seller having a non licensed person doing those repairs haphazardly.
There are other items that I consider should be part of the negotiations like fencing, garage door rotting wood, etc. I'm just not sure how many to include in the first round.....
First of all the thought that any home has any kind of gas leak that goes unnoticed by a seller or even buyer and then gets "discovered" by a home inspector is highly unlikely -- gas has that stinking mercaptin added to and you'd smell that a mile away. Much more likely the stove and / or dryer have the old style flexible connectors. The recommendation is to replace those WHEN YOU GET NEW APPLIANCES, it ain't something you need a plumber for!
Secondly any time a "buyer" gets the impression that sort of thing is "unsafe" to the point of needing repair it really points to an inspector that did not do a good job of pointing out that most of the "findings" on such an inspection report are really not a big deal. Similarly and good buyers agent ought to be able to walk their client through a report with the inspector and get everyone in agreement as to what is serious enough to warrant repair. Did you not see the condition of the house before making offer? Fencing? How'd this weasly seller hide that from you? Garage rotted? Really?
Depending on the size of the house $2000 could be the charge to install a whole new electrical panel, again something that almost certainly is not a reasonable request for most sellers.
If the seller has already priced their home appropriately and your agent agrees that the already agreed to price is fair for the home in the current condition it may be best just to budget for things like electrical upgrades as part of normal home ownership maintenance projects.
Now if there was some strange hidden defect that truly would require attention before safely moving in my advice is ALWAYS to get multiple estimates and then use seller concession on price to hire the firm you will be most comfortable with -- much better to have the warranty for work done / products needed with the buyer instead of some seller that is out of the picture.
For future reference, both buyers and sellers benefit from having language in the contract that allows for the possibility of necessary repairs found by inspector -- whether you go with dollar limit, or just a procedure for resolution when needed, the value of having such terms agreed to makes the process of closing go much more smoothly. Anyone who uses a nit picky inspection report to reopen negotiations is basically firing a broadside into even a distressed seller and human nature being what it is this amounts to an invitation to be tolf to "pound sand" when the deadlines are looming. Even the most understanding seller in the world is not going to react well to a panicky buyer messing up their holiday weekend...
The gas leaks were detected by the inspector. He used an electronic device (much like I use in the A/C repairs on vehicles). It's not the stove or dryer, but the main line coming from the meter and at the gas fired water heater inlet - 8 inches from a constantly lit pilot flame. So yes a plumber would be required for those repairs.
The report hasn't been discussed yet with my buyers agent due to the holiday. We have yet to meet and go through the report. We plan on the seller being apprised as well.
The electrical issue IS a big problem for me. There are too many 'small' issues to ignore. These were likely made by the former owner (seller) who was clearly making electrical modifications to avoid permitting. And yes, both the panels (main and remote garage) need to be replaced. My insurance agent will see the report and likely refuse insuring the home.
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Now if there was some strange hidden defect that truly would require attention before safely moving in my advice is ALWAYS to get multiple estimates and then use seller concession on price to hire the firm you will be most comfortable with -- much better to have the warranty for work done / products needed with the buyer instead of some seller that is out of the picture.
This is my desire. I'd prefer it. The electrical contractor I called is commercial in nature and they have always done work at my job to perfection.
I'm not trying to pressure the seller or wrangle thousands off my offer. I just want to know my family can be safe, insured and not have to worry if I plug in my shop vac in the garage that the place isn't going to go up in flames.
The fence is that crappy looking unpainted wood panel stuff everybody seems to be using today. My wife hates it. It's coming down if we buy the place. The garage door rot was 'hidden' by a painter and painters caulk. That's an issue that should have been in the disclosure statement.
I shouldn't be the one paying for their inability to maintain the property nor should I pay more because of they attempted to hide some defects.
Again, I don't want to pick nits with the seller. Most sellers think their place is perfect (then why sell?). I'll make my case at the meeting. I increased my bid to ensure I'd win against the other bidder. But my requested concessions (just estimates) will bring my price down to my original bid (exactly).
What I don't understand is, why don't sellers have a Home Inspection done and recommended (red) repairs made BEFORE listing a home? Seems to me that would be a great selling point. They'd likely get very close to their asking price if they did.
Hmmmmm, as a seller I would think you were an idiot to request something be done with a fence that surely was visible when the offer was made.
Many, many homeowners do repairs with caulk & paint. Is the garage door unsafe? If not I would tend to ignore any request involving that as well. Of course, the price point of the home would have some bearing on this. On a higher priced home I would be expecting better repairs as a buyer.
Now, gas leaks and unsafe electrical would be something that as a buyer I would require be remedied to my satisfaction prior to closing. I would not close on a house with those types of issues. Period. I would not be looking for concessions.
Does your contract have an inspection contingency? Or an insurance contingency? If so, there is your leverage to get the sellers to make the repairs.
Hmmmmm, as a seller I would think you were an idiot to request something be done with a fence that surely was visible when the offer was made.
I've decided the fence isn't really a big issue for me, I'd tear it down and put up a better type anyway. I'll drop it from any requests.
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Many, many homeowners do repairs with caulk & paint. Is the garage door unsafe? If not I would tend to ignore any request involving that as well. Of course, the price point of the home would have some bearing on this. On a higher priced home I would be expecting better repairs as a buyer.
Yes, it doesn't reverse as required by law when it hits something on the way down.
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Now, gas leaks and unsafe electrical would be something that as a buyer I would require be remedied to my satisfaction prior to closing. I would not close on a house with those types of issues. Period. I would not be looking for concessions.
I'd still prefer the contractor of my choice.
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Does your contract have an inspection contingency? Or an insurance contingency? If so, there is your leverage to get the sellers to make the repairs.
I'd rather the buyer make those repairs and I'd just pay the price I bid. But getting the repairs done to my satisfaction are paramount. I don't want the seller having a non licensed person doing those repairs haphazardly.
I'm assuming you meant to say "seller" and not "buyer" above as I assume you are actually the buyer. Assuming that assumption is correct:
1. I'd rather the seller make those repairs
2. But getting the repairs done to my satisfaction are paramount.
If it is trully paramount to you then your best bet is to do the opposite and you should take care of the repairs and try to get money off of the purchase price.
It is not really possible to comment on the electrical panel issues without seeing the details, but I would not assume that just becuase things are old or odd looking the seller was trying to get away with anything. Frankly having a mindset that turns your seller it some coniving cur is counter productive. Maybe they did hire electricians that just did unprofessional looking work, maybe the town has a lax inspection policy. The important thing is that you must remember the seller wants to sell at a fair price for the condition of the house. If the inspection revealed that the condition did not warrant a premium over the bid then you and the other buyer are equal...
We just closed on an older house in March (built in 1983). You will always have issues listed on an inspection report. I usually break them down into 3 catagories before I decide how to address them with the seller.
1. Life/safety. These are issues that could kill or hurt you if not addressed. Gas leak would definately be on this list. So would the non-reversing garage door.
2. Cost based. These would be things like the age of a hot water heater, a/c units, electrical or structural and roof issues. Mechanical, Electrical, Plumbing, (MEP) and structural always equal a higher expense to fix or replace.
3. DIY. These are things like the fence or bad finishes and fixtures. Items that aren't critical and can be fixed or replaced at your leisure.
For #1 - We always require the seller to repair and then have our inspector come through to re-inspect and sign off on the work. Just an FYI - our mortgage company actually required a copy of the revised inspection report showing that the life safety issues in our new house had been corrected before they would close! Just something to watch out for.
For #2 - If issues are found on inspection in these systems, I would evaluate the likelihood of failure and cost to repair and then go back and ask for concessions from the seller.
For #3 - we consider these as part of the price since they were obvious when we signed the offer.
This is just the guideline we use when evaluating the inspection report. Its a buyers market right now so don't be afraid to re-open negotiations. Remember though, you must be willing to walk away if the seller declines to work with you.
Sorry I don't consider "non-reversing" garage door a life safety issue -- decades and decades of high quality gararge door "pickerupers" are still in service w/o the stupid little photocells that 99 times out of hundred reverse to force you out of your car to tilt a broom handle in. If you want a new garage door opener I can put in a nice bottom end unit for under $150. - Craftsman
The rest the advice STILL needs to be taken in CONTEXT -- a 20 year old with 20 year old appliances / roof in an area where all the other recent sales have SIMILAR age / condition / value is not reason to go back to the seller, and frankly you can SEE that stuff w/o an inspector so, IMHO your offer should be reflective of those things...
Sorry I don't consider "non-reversing" garage door a life safety issue -- decades and decades of high quality gararge door "pickerupers" are still in service w/o the stupid little photocells that 99 times out of hundred reverse to force you out of your car to tilt a broom handle in. If you want a new garage door opener I can put in a nice bottom end unit for under $150. - Craftsman
The rest the advice STILL needs to be taken in CONTEXT -- a 20 year old with 20 year old appliances / roof in an area where all the other recent sales have SIMILAR age / condition / value is not reason to go back to the seller, and frankly you can SEE that stuff w/o an inspector so, IMHO your offer should be reflective of those things...
Garage door is not up to current safety standards. Liability and risk just went to 100% if an incident occured. Why in the world would the buyer take that risk? The auto reverse also runs on a pressure switch as well as the door beam. If its the pressure switch thats defective, its cheaper to replace than to repair the unit. As for the gas leak - why call someone else in? I'll always take the side of caution. Since the buyer is the one paying the inspector and relying on the report for deficiencies, why wouldn't the buyer require the repair or concession?
As for the mechanicals, I don't know of anyone that voluntarily gets on their hands and knees in an attic during a Houston summer. Certainly not during a walkthrough! I don't know where you live but its over 130 degrees in our attics right now - besides -thats what the inspectors are paid for.
Please remember the OP is a buyer. Your advice seems more geared toward a seller's perspective.
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