Home Buying in Philadelphia>Question Details

Colton, Other/Just Looking in Philadelphia, PA

Is it normal for the seller to offer money towards issues found after inspection before the inspection has happened ?

Asked by Colton, Philadelphia, PA Fri May 13, 2011

Or is that a red flag stating that they might know something is wrong but not disclosed.

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Hi Colton,
Yes. It is common for a seller to offer an allowance toward repairs. Basically, the owner is selling the house as-is but he/she knows that there may be some things in need of maintenance/repairs. Sellers will sometimes "sweeten the pie" by offering you some credit for repairs. Other times Sellers may offer some credit toward closing costs but will not give any credit toward repairs. Other Sellers may offer a 1 year home warranty to alleviate worries of any major breakdowns of the mechanicals.

Don't be intimidated by any home inspection report. Realize that you will always have some minor, maybe even some major work to do on any house. Any credit you can get from Seller is better than nothing at all. Existing homes, whether original, dated or fully rehabbed and renovated are still not NEW CONSTRUCTION. This is why it is important to have a good REALTOR by your side to negotiate the best deal for you.

Good luck with your home inspection. If I can ever be of assistance, please feel free to contact me.

All the best,
Larry Lichtman
REALTOR, Property Manager
Your Real Estate Resource For Life!
Cell (267) 254-7994
Web Reference: http://www.DJCRE.com
1 vote Thank Flag Link Fri May 13, 2011
As an inspector, I would say that it sounds like the seller is trying to make sure that the buyer knows that he is willing to address any items the inspector may find (to allay the buyer's fear of the inspection, and ensure the deal gets done). It is not an indicator that the seller KNOWS anything is wrong, but their Realtor has probably told them not to be surprised if the inspector finds some defects that should be addressed.

It is unusual for the seller to convey this to the buyer before the inspection occurs, but it makes sense from the point of view that the inspection can be a nervious time for the buyer, hearing all the defects in the home they are about to buy. The seller's offer to pay for items that are uncovered is probably an attempt to make sure that you know that whatever is found can be corrected and the seller will not be difficult to deal with about them.
Web Reference: http://www.SherlockHI.com
1 vote Thank Flag Link Fri May 13, 2011
Hi Colton,

The fact that the sellers offered money toward any issues usually means that they are serious about making the sale work and are willing to cooperate with you to ensure that the deal happens. Unless the house is brand new, home inspections almost always reveal issues (either large or small) that may need to be adddressed. The fact that the seller is willing to compromise on this is a good sign!

Good luck with your purchase!

0 votes Thank Flag Link Fri May 13, 2011
Sure, it shows they want the deal to work and are willing to contribute. This is very common and happens every day, but not always.

0 votes Thank Flag Link Fri May 13, 2011
Hi Colton,
It is normal that a seller will offer a buyer money towards cosmetics, repairs or closing costs prior to the inspection when they want the buyer to know they are serious about selling and that they are negotiable on items or issues that may arrise throughout the transaction. This is on a case by case basis, depending on what your offer price was and how much they are walking away with at settlement. I hope this answers your question.
Andy Brown
0 votes Thank Flag Link Fri May 13, 2011
It is rare that something is not red flagged or at least pointed out in an inspection- it could be a simple as a dripping faucet or a hairline crack in sheetrock in new construction. You are getting an inspection and they are willing to work with you if something turns up- just leave it at that.
Web Reference: http://topbrainerdagent.com
0 votes Thank Flag Link Fri May 13, 2011
If the seller is offering money toward issues found in the inspection, they probably know something needs to be done. It does't mean that it is something that they haven't disclosed. It indicates to me that they don't want to DO repairs that might be needed. If you are interested in that property, look at it, review the Seller's Disclosure, and then discuss with your agent whether their offer is something that you can handle. It depends on the terms of your mortgage whether this offer will work for you. If you need an agent you can contact me. Kathleen Sheridan, Weichert, Realtors - McCarthy Associates, 215-740-3320
0 votes Thank Flag Link Fri May 13, 2011
Hi Colton,

No, it is not normal for a seller to offer money towards repairs before an inspection is even done. Most sellers don't want to pay for repairs and to offer to pay for them before they are even 'discovered' does seem a little 'suspect'.

Shanna Rogers
SR Realty
0 votes Thank Flag Link Fri May 13, 2011
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