Updated almost 3 years ago on . Most recent reply
Negotiation advice selling rental
Hello. Newbie real estate investor looking for any advice to help me decide how to approach this negotiation. Currently trying to close on an out of state sale on a SFH rental with a tenant scheduled to move out at close. Of course after their inspection the buyer has their "fix it" list and its quite long (per my realtor) On my end my PM had an estimate performed on all items listed by the buyer, totaling $6,250. We went back and forth with several proposals and it lead to my most current counter and preference was not perform any repairs and to reduce the price by $5000 and after close a $5000 check is given to the buyer to complete the repairs as they see fit. The buyer accepted and wants the home but did not sign the addendum. They want everything repaired or back out. I'm trying to sell sooner than later and I am considering repairing the work up to $5000 but because Im coming out of pocket Im worried the buyer could back out of the deal or any other requests. Anything is possible but has anyone been thru similar negotiations and is somewhat the norm to hear? Any examples to share?
Most Popular Reply
#3 1031 Exchanges Contributor
- Investor
- Las Vegas, NV
You have them $10,000 to do $6,250 in repairs and they still aren’t happy? ($5,000 price reduction and $5,000 check at closing.)
As far as I know, the last signed contract is still active if they go past their inspection period. Your realtor should tell you what’s going to happen fi they don’t sign but certainly you don’t have to give them a discount or a check if they don’t sign it. And if their inspection period has passed you at least get their earnest deposit.
Both realtors should be on top of this as it’s how they get paid. It sounds like the buyers realtors dropping the ball. In the future put deadlines on addendums. Good luck.