I have my eye on a vacant property that was built in 1981. Drive by and code violations show that it needs considerable exterior work, including a new roof. Possible Title V and ground water contamination issues, may need a new foundation. Is it the seller's or the buyer's responsibility to handle these inspections? Can I put it in the offer that the seller has to have a home inspection done? I have my suspicions that this may be a complete gut, but it's impossible to tell without getting inside. What should I do next?
Its always the buyer's responsibility to do the due diligence. You can write it into the offer, but usually a seller won't be willing to pay $400 for an inspection when you can just walk away with your earnest money after reading it.
If you call up the realtor, they'll walk you through the inside - and usually you can get a contractor to come with you and give you an estimate to repair if you know it's going to be a complete rehab. Just be upfront about what you want to do when you contact everyone.
If you need financing usually the bank will demand the seller fix contamination issues / roofing issues, and then the seller will refuse, so financing will usually fall through in this scenario.
Thanks for the reply. I am not going through a Realtor, as it is a drive by property. I am also wholesaling the property to a cash buyer. Can I write in the inspections to the cash buyer, or should I *gulp* estimate as best I can? After all, if the property turns out not to need the work, the rehabbed makes more money.
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