The contract says by way of explanation that you should have all your inspections done prior to the end of due diligence -- that is advice, it doesn't make the contract depend on the completion of any inspection, so the fact that you didn't have the radon results doesn't affect the contract and your responsibility to make a decision prior to the due diligence date.
You should also get your inspections done ASAP because if you want repairs done based on the findings during inspection, you need to negotiate and reach agreement with the seller about those before the end of the due diligence date. If the seller doesn't agree to fix things that's one of the things you weigh in your decision to move forward.
You proposing an addendum about the radon results was okay, but you needed to have the seller agree to it before the end of due diligence.
You can ask for more repairs within the due diligence period. However, if the repairs are not completed within the due diligence period, I don't think you have any recourse. In other words if you are past the due diligence date, I think you would lose your earnest money if you are unhappy over repairs and don't want to complete the purchase. Also, just because you can technically ask for more repairs, sellers have feelings and I think making several requests might be counter productive.
So how did this transaction turn out? Hopefully, you are in your new home and enjoying it!
Buyers do not get back fees they spend to perform due diligence such as inspections fees and an appraisal. Only earnest money is refundable is a buyer terminates a contract before the due diligence period ends.
So, I guess the arguement is was the inspection complete but results weren't in or was the inspection not complete?
So, in my defense the inspections were done but this one report was pending.
Unknowing what a court of law would rule in worst case situation, I contacted my agent prior to the expiration of the due dilligence and had an addendum drafted that stated I could back out of the home if RADON reports were poor past due diligence period. Seller did not get report until after the fact.
There, In my opinion, I protected myself. However, the addendum wasn't acknowledged before expiration of initial due diligence but the request was made prior to the date by us.
So, for a wrap:
1. Radon results were not in prior to Due Dilligence. Inspection was done however.
2. Prior to Due dilligence expiration, I had my agent draft an addendum to cover me under original due dilligence period even though results were not known.-if radon level was high.
3. Addendum was not seen by seller's agent until after the expiration of the due dilligence period.
Thanks to all who are participating in this discussion. In my opinion, you are likely the best agents in your field to tackle this not so clear situation. That's for your dedication.
As for tying up the Seller's home, if both Buyer and Seller understand that the Buyer has every intention of buying the home, but that the cost of mitigation will need to get negotiated, and if the Seller understands that they would have to disclose the knowledge of radon if the test comes back high and the Buyer walks, the Seller should be willing to extend the Due Dilligence period.
Hope this helps.
It again raises the question of whether it was the buyer's responsiblity to guarantee results before end of DD or if if was the company perfomring the test. Buyer can't control result status. Perhaps DD date should be lenghtened but then you concern seller with tying up their property too long if contract fails. Not a black and white question for sure. I look forward to seeing other takes on this from REAL ESTATE professionals. Regards,
Anxious to see if other's agree with their interpretation of this law concerning a radon result that is learned past DD date and if additional addendums to the original due dilligence requests can be made up to the final moments of expiration date.