Other “Votes”: the Lender, Local Municipality, and Insurer
Unbeknownst to the Seller, the Buyer’s inspection uncovered a material problem with their home that the parties agree should be fixed.
When that happens, who takes care of it?
The short answer: “whomever the parties agree” (at least if no one else has a say — see below).
But that just begs the questions, “who should fix it?”
The Golden Rule: Higher Authority
In practice, the answer depends on these four variables.
One. Is it time-critical?
Remediating elevated radon can wait.
Indeed, lots of homeowners balk at addressing at this now-standard inspection item, noting that “I’ve lived here 30 years that way.”
By contrast, a hazardous electric service panel that’s warm to the touch needs to be addressed right away.
Moot Point
Which leads directly to the second consideration, namely: “does a third party get a say?”
If a city inspector, the Buyer’s lender, or the Buyer’s insurance company require that the fix be completed prior to closing . . . it’s out of the Buyer’s and Seller’s hands.
Note, though, that cities typically allow the Seller to assign many repairs to the Buyer.
Three. How big a price/quality range is there for the item?
It’s not exactly like buying a car, but there are now lots of models and makes of washer/dryer (capacity, efficiency, high-end/low-end, etc.).
Even windows now come in a surprisingly large range of price and quality.
If the Buyer wants the Mercedes and the Seller only feels obliged to buy a Chevy, it’s better to reduce the sales price and let the Buyer take care of it, post-closing — again, assuming there’s no safety issue.
By contrast, a licensed electrician can clear basic electrical items for a standard fee.
Cash-Strapped 1st-Time Buyers
Which leads to the fourth and most practical consideration: “Who can afford to do it?”
If the Purchase Agreement already includes Seller-paid points (defraying the Buyer’s closing costs), and the Buyer doesn’t have the cash (often true of first-time Buyers), it makes sense for the Buyer to negotiate for the Seller to do the repair/replacement.
When that’s the case, though, smart Buyers insist on written protections specifying that any contractors are to be licensed; paid in full (lien waivers may also be a good idea); and that any applicable permits or inspections are obtained.
Last but not least: requiring that the Seller provide them with documentation of all of the above.
P.S.: As a default, I recommend that Buyers get a price reduction from the Seller in exchange for addressing any inspection item(s) post-closing.
That way, they choose the product/materials and contractor, and benefit from any warranty that applies (most warranties are specific to the customer rather than run with the home).
