Repair and appraisal negotiations.

Getting your home under contract is exciting, but you are not done yet! Unfortunately, these next two steps can be the reasons that transactions never make it to the closing table. But don’t worry, your Coldwell Banker Caine Realtor® will guide you through the process.

Inspections and Repairs

It is highly recommended that you hire licensed inspectors to thoroughly inspect the home. Once inspections are complete, your Coldwell Banker Caine Realtor® will help you navigate the thorough and often lengthy inspection report to create a list of requested seller repairs. The seller may counter the request based on their ability to make repairs, and negotiations may continue until an agreed-upon repair list, or renegotiated contract terms, are signed by all parties. The seller is responsible for making any agreed upon repairs prior to closing.

It is wise to save a reserve of funds for maintenance and repairs upon move-in. You will live in and utilize your home differently than the previous owner and their obligations for repairs end at closing.

Appraisals

If you are purchasing the home by obtaining a mortgage, the lender may require an appraisal. The buyer has the option of having an appraisal done for a cash purchase. An appraisal is an opinion of value at a specific moment in time.

Should the appraisal come in lower than the agreed upon purchase price and the contract is contingent upon appraisal, your Realtor® will offer options on how to proceed. Buyers and sellers may agree to negotiate amended terms based on the new appraised value. If you are financing the home, there may be an opportunity to apply for a different loan or contest the appraisal. Each situation is unique. Feel confident that your Coldwell Banker Caine Realtor® can help you navigate this complex situation and outline your available options.