A potential buyer has submitted an offer and you’ve accepted. However, the contingency is still looming; the home inspection.
Usually, this is the time during a real estate transaction for negotiations. When the buyer finds out repairs are needed, they will likely try to negotiate a lower price to cover the expense of the repairs. As the seller, you need to be ready for negotiations after the home inspection has been done.
Tip #1 – Get your Own Pre-Listing Inspection
The best way to prepare for negotiations after the inspection is to have one done before you list your home. This will allow you to see what needs repaired and you can even take care of some of the repairs before listing your home for sale. Often, handling the repairs before listing your home will cost less than negotiating a repair credit during the sales process.
Tip #2 – Handle Small Repairs
Instead of offering a monetary credit on the price of the home for small repairs, just fix them. Often, things, such as cracked tiles, fence repairs, sod replacement and other small issues can be handled by one contractor rather quickly. If the repair can be done in less than a week, just take care of it, as it will probably cost you less than giving a credit on the price of the home.
Tip #3 – Push for Closing Cost Credits or a Price Reduction
Unless you’re in no hurry to get your home sold, you want to push for a credit on the closing costs or a price reduction for any repairs coming back on the home inspection. This will keep the process moving along quickly and will allow the buyer to choose their own contractor to handle the repairs. While it’s easy to fix a few small issues, something a bit larger should become a credit during negotiations.
Tip #4 – Listen to your Realtor
A good Realtor will be able to advise you when it comes to handling repairs during a home inspection. Sometimes, it’s something small and they may advise you just to fix it. Other times, they will tell you a credit or price reduction is the best way to go. Realtors deal with home inspection negotiations regularly, so trust them and listen to their advice.
Negotiating after a home inspection can be difficult. If you have a pre-listing inspection done, you’ll know what to expect. Handle small repairs and make sure anything large or time consuming becomes a credit or price reduction. Ultimately, let your Realtor be your guide throughout the process.
If you ever have a real estate question or need, or know someone who does, trust that you can turn to me. 704-650-5707 | AnnaGrangerHomes@gmail.com