FHA loan will not allows you to purchase a property unless the code violation is eliminated before closing. In this case the buyer would have to put the money up front before closing to do the work on the house.
Orlando Lamas R.A.
If you are paying cash and your contract states "AS IS" ... the repairs are yours on your time frame 99.9999% of the time...
If you have a lender involved on an FHA Loan loan and the the contract states "AS IS" the repairs that are in violation of FHA guide lines are still yours (most of the time) but they must be fixed before closing w/o a repair addendum in order to fund or Close...
The Lender is in charge unless you are paying cash. The Bank really only has to provide you with a clear title!
Ron and Debbie are correct about outstanding code violations as well. You need to check with the county and municipality to make sure there are no outstanding code violations such as exterior repairs, maybe broken windows, painting - the list goes on. (However, I have been successful in negotiating with the seller(s) to fix some of the code violdations as part of the accepted offer). In addition, in our state, I am finding more and more that once the new owner has closed, the city is usually agreeable to extend any dates and deadlines realizing of course that they need time to get settled. So buyer beware is a good rule of thumb here, and check with your individual municipality to see how that is handled. Title company may be of assistance as well.
When buying a property with code violations you inherit them. The bank will pay any accrued fees up to closing, however they are then yours to fix in whatever way you choose. You would be best served with a visitn to your code inforcement office. I know what happens in Port St. Lucie, however, I do not know how North Miami works.
Debbie Albert, PA
Coldwell Banker Residential
I have had success with getting certain defects paid for by seller. If the defects fall under a category that prevents seller from selling to anyone in our state, they really have no choice. If a buyer has an inspection and finds defects as defined in the OTP, they will most likely not get it sold. A good example of this would fuses versus circuit breakers. There are very few, if any, insurance companies left that will provide hazard insurance unless this update is complete. Therefore, the home cannot be sold until this is completed. If the buyers refuse to do it - as they should in most cases - then the seller has no choice but to update.
Bottom line is "as is" doesn't always mean "as is" under certain extraordinary circumstances.
So buyer beware. Do your homework, and check with title for any possible issues.