Property buyers lender wants a building burnt before committing

5 Replies

We are selling a cabin in Wisconsin however the buyers lender said they want an old abandoned cabin burned before committing to their loan.  The county has not condemned or deemed this old cabin on property as a hazard but the buyer's realtor insists the cabin be burned to satisfy the lender.  We are not paying for it to be taken down but concerned they will try to force us to pay to bury the remains of the cabin at our expense.  We did not agree to this and even explained we would not cover that when showing the property.  The buyer's realtor has initiated the process with the local FD to burn the cabin but I am concerned that there will be additional road blocks if there are items that remain in the rubble that need to be buried that will cause issues with the buyer's lender.  Any thoughts and feedback on this would be greatly appreciated.  We are not in a position to incur any additional costs nor did we agree to paying for the removal of the cabin in any contract etc.  Just want some thoughts from people on this situation.  If the cabin is burned down and the lender still has an issue with the remaining rubble not being buried what implications might we face.  Just want to know what possible issues will be present.

Is any of the wood reclaimable?  You may be able to find someone willing to take it down and clean it up in exchange for the timbers/wood?  Maybe even pay you to boot ....

Tell them to find a different lender , or find a different buyer ......

Burning the cabin is not in their original contract.

Otherwise, tell them they have to addendum the contract to add that the buyer will cover all expanses in burning the cabin, regardless of if the property closes to them or not .

Never let someone else’s decisions expose you to risk. Especially their deduction to use that lender 

Thanks, yes, we do not have any other options to work with anyone to clear out the cabin for reclaimed wood.  This was literally a last minute request from the realtor who reached out to the FD to remove it though I know this is only an issue with their lender (supposedly).  I understand that their realtor requested a letter from the county explaining the cabin is not an issue from their end but apparently they are wanting to move forward with removal of the cabin for this deal.  We have been told the FD will burn it for no fee but it is what may happen afterward that we are concerned.  Thanks for the suggestions.

I would not agree to any of that.  I would have the buyer change lenders.  There are lots of lenders, maybe one out of the area.  What is the problem with the cabin?  You say it is legal?  Why do they want it removed?  In the alternative, cancel the contract.  Or, agree to having the cabin removed only after the close of escrow.  What if you burn the cabin and the deal does not go through?  You did not agree to this.  It is your property.  You do not have to have it removed,

I agree with Amy about the wood.  My sister had a barn that she needed removed and someone came and PAID her for the wood and they took it down for her. Win-win.  I think she posted an ad and that was all it took.

If you really want to sell to this buyer, get a huge non-refundable deposit that you keep if the deal falls through and the cabin is destroyed and is more than enough to cover the cabin and any clean up.  Maybe they don't care about the remains.

Make sure to let the fire dept know that under no circumstances are they to torch the cabin without your written permission and give them your phone number.

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