Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 16%
$32.50 /mo
$390 billed annualy
MONTHLY
$39 /mo
billed monthly
7 day free trial. Cancel anytime

Let's keep in touch

Subscribe to our newsletter for timely insights and actionable tips on your real estate journey.

By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions
Followed Discussions Followed Categories Followed People Followed Locations
Buying & Selling Real Estate
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 7 years ago on . Most recent reply

Account Closed
  • Pottstown, PA
31
Votes |
79
Posts

Offer contingent on U&O

Account Closed
  • Pottstown, PA
Posted

I'm working on getting my first rental property this year and had a question for the experienced masses. Can you make an offer contingent on a successful U&O inspection (or a non-exorbitant one)? Basically the area I'm looking at is notorious for strict and often costly U&O inspections. And most investment properties are listed as "buyer responsible for U&O" even though it is technically the seller's responsibility. I'll always make an offer contingent on a general inspection but I don't want to move past the point of no return and find out the U&O requires $8k above my planned reno budget. Just wondering if it's even possible. Or do I find a home inspector familiar with the area who can catch those problems early and give me an out if they're too costly? TIA for the wisdom.

Most Popular Reply

User Stats

39
Posts
36
Votes
Janine Covello
  • Rental Property Investor
  • Eastchester, NY
36
Votes |
39
Posts
Janine Covello
  • Rental Property Investor
  • Eastchester, NY
Replied

@Elizabeth- you can definitely add this as a contingency in your offer, but as Patrice mentioned the seller may not  accept...

.

In my case, my seller wouldn't accept this, or even meet me halfway  however during due diligence I was able to receive a copy of their last U&O inspection report (Which they failed) luckily the report had very specific items to fix, and when I matched that up with my standard inspection report (Who I did through Pillar to Post in Philly) my inspector had more or less caught and called out all of the things in the U&O report. 

The U&O report I was given in due diligence enabled me to then budget for the renovations accordingly - which I don't anticipate being too bad (Many of the changes were building code related, smoke alarms, etc) I know it would depend on the property however!

Loading replies...