Rental Property Investor · Wilmington, DE · Member since 2015 · 22 posts · 2 votes
Hi All,
Coming down to the last day before my closing (4/27/2017) and just got off the phone with my realtor telling me the seller will not be able to complete the AGREED upon repairs by the closing date. I should mention that the seller made the repairs originally himself even though the contract states repairs must be made by a Licensed Professional, he obviously is not. I found out he did them himself when I sent in my contractor after the repairs were made. The listing agent and seller then agreed to make the repairs again with a licensed contractor per the contract. I now found out that they wont be made and they want to offer me a check for the cost of repairs at closing. My question is can I ask for more money for repairs or walk away? The seller is in a bad situation and needs to sell. My reasoning for asking for more money for repairs is that I was incredibly nice in only asking for 3 out of 8 needed repairs per my inspection and then played around with. Someone please let me know if I have a leg to stand on here and what actions you would take! Thank you so much.
BiggerPockets Money Podcast Host · Longmont, CO · Member since 2014 · 7k+ posts · 10k+ votes
9y
@Joshua Maisel , I always prefer a check to the seller completing repairs for this exact reason - you don't know who is doing them or if they are even being done.
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
9y
Since they didn't comply with the contract, you can: accept the check, ask for more, or walk away with your EM.....your choice, since they are in breach of the contract.
You can do what ever you choose since the contract is now open to renegotiation. I would go for more but it is irrelevant that you were "incredibly nice" in the past. There are no rewards for being nice but now is your opportunity to get tough. For your inconvieance I would be pushing the seller to his breaking point.
BiggerPockets Money Podcast Host · Longmont, CO · Member since 2014 · 7k+ posts · 10k+ votes
9y
@Joshua Maisel , I always prefer a check to the seller completing repairs for this exact reason - you don't know who is doing them or if they are even being done.
Real Estate Investor · Encinitas, CA · Member since 2016 · 3k+ posts · 3k+ votes
9y
@Joshua Maisel As is often the case, @Mindy Jensen speaks the truth! Or maybe I'm just too skeptical for my own good. If the seller is responsible for the repairs I always assume they will be done to the minimum possible standard, if that. Why? Because after closing, good luck coming after them for the money because of a poor repair. I know can do it but the time, effort, and soft costs just (unless it's a huge issue) don't make it worth the time. Get the check (even now, get the check) so that the repairs can be done to the standard that you (figuratively) will want to live with.
Rental Property Investor · Wilmington, DE · Member since 2015 · 22 posts · 2 votes
9y
Thanks for all the input. Wanted to update everyone with how it played out. I ended up going to closing and asking for a check to be made out to me for the repairs. When I got to the closing table there was a check, however it was $50 lite. The roofer sent me a text message a couple hours later saying the repairs were completed (again) and sent a picture. It looked EXACTLY the same as the first time so I know nothing was done. He didn't ask for payment either which was weird. Atleast I got money to pay someone else to make the repairs. Good lesson learned though. Thanks again.