Elizabeth Weintraub

So, there was a home inspection contingency then. If I am understanding you correctly, you decided not to pursue the transaction because the bank wanted you to buy the property "as is," and the home inspection was for your own edification? Is that correct?

See, here's the kicker. Unless repairs are specifically negotiated in the purchase contract, every contract is sold "as is." Every buyer is purchasing a home in "as is" condition -- it's standard verbiage in the contract. And every buyer has the right to get a home inspection for the buyer's edification. The seller is under absolutely no obligation to repair, fix or replace anything -- not HVAC, not electrical and not plumbing. So, if someone told you that a home inspection contingency meant the seller was going to fix the property, they misinformed you. That's not how it works.

Buyers can ask a seller to make repairs, based on the results of home inspection obtained at the buyer's expense, but sellers are free to refuse. If the seller refuses, the buyer may cancel.

In your situation, the bank was telling you up front that it would make no repairs, regardless of what you found in the home inspection. For the most part, banks do not make repairs. However, some do, even when they say they won't. In any case, with the vast amount of REOs on the market, you might want to reconsider pursuing REOs and go after homes owned by individual sellers (not short sales) if it's important to negotiate repairs. But please realize, individual sellers aren't required to make repairs, either. They're just a bit easier to negotiate. However, all Request for Repairs require negotiation. - Sat Jul 5 2008, 07:02

There is no agency in California that licenses home inspectors. Sorry. Inspectors can belong to a trade association and, in fact, be certified by that trade association, but they are not licensed by the state of California. You may say a home inspector is "qualified," but you cannot represent them as being licensed because no such license exists. - Wed Jul 2 2008, 11:03

Psst, Lisa, there are no licensed inspectors in California. - Wed Jul 2 2008, 06:27

Always get a home inspection. Your agent should have written that into your offer. But even if she or he did not, you still have the right to a home inspection. Read paragraph 14-b-1, which explains that you have the right to conduct a myriad of inspections within the inspection period. By default, that time is 17 days. - Sat Jun 7 2008, 10:41

Woodlake is one of Sacramento's best kept secrets, and I absolutely would buy a home there. The prices are affordable. It's like living in East Sacramento without paying East Sacramento prices. Some people are put off by the ZIP, if you can believe that! But there is nothing wrong with that neighborhood, and we list a lot of homes in Woodlake.

For example, last year, you could have purchased this castle-like home with a coat of arms on the door, tremendous square footage and a pool for around $500,000. Something like this magnificent home in East Sac or Land Park would cost you upwards of a million dollars.

Woodlake is conveniently located near downtown, too. If there was a drawback, I'd say it's having to drive past commercial and some less desirable areas coming into downtown, but that entire corridor is slated for rehabilitation, so it's not going to look like that forever. - Thu Jul 3 2008, 10:49

What is Boca Raton doing in Sacramento? - Mon Jun 30 2008, 20:04

Yeah, well it's not removed. :( Maybe the Trulia police are eating donuts. - Mon Jun 30 2008, 18:39

I reported this posting as spam yesterday, Jim, so I wonder what it's still doing here. - Mon Jun 30 2008, 14:35

Yup, it's tough without a crystal ball. I tell my investors to look for the biggest square footage, the largest number of bedrooms and the newest home. If you can buy that home in Natomas for cash flow with 20% down, and plan to hold it for a while, it doesn't matter too much if the market turns around. Cash flow is cash flow, and homes that require little maintenance are even better.

Natomas is closer to downtown than Elk Grove which, in my mind, makes it a better investment. But as to when the market will turn around and you'll spot the sparkling appreciation rate many hope for, I wouldn't count on any of it. That's not investing in my book, that's speculation.

Investing is cash flow. - Sun Jun 22 2008, 20:53

I do whatever is best for my clients. In this market and, need I say, in certain areas, making an offer without viewing the property is the ONLY way your offer will get accepted because it beats out everybody else who is dinging around. Out of all the offers I have written this year, the buyers turned down only one.

My loyalty lies not with the banks nor the listing agents because they are both paid by the seller. My loyalty lies with the buyer.

If I am showing REOs (bank-owned homes) in Land Park, that's a different set of circumstances. But when my buyer is interested in an area where there are tons of REOs, let me tell you, the banks are playing hardball. Buyers deserve that right, too. - Sun Jun 29 2008, 19:00

I advise buyers all the time to write offers sight unseen. It's a really smart thing to do if you are working with an experienced agent. It might sound weird if you've never heard of it before. But the truth is, in CA, you have 17 days by contract default to do inspections, which means your deposit is refunded if you cancel.

The reason to make an offer sight unseen is because some homes move very quickly. Especially REOs. By the time an agent has the time to talk to a buyer about, make an appointment, get the buyer over to see it, there could be 30 offers and that home is sold.

The early bird gets the worm.

On the other hand, your agent could be lazy or not feel you are serious. Hard to say. I'm not privvy to the conversations between you and your agent.

But believe this, you never truly know the condition of any home until you have it inspected. And most buyers don't get an inspection until the offer is accepted. Your agent could be brilliant or a moron. Hard to say. Agents who don't call you back typically fall into the moron category.

What is troubling me is you don't seem to trust your agent. It's hard to trust agents until they earn your trust, and by the time they earn your trust, you could have lost out on a bunch of really great deals. So, I advise you to follow your instinct and do what feels right to you. You lose some, you win some, but at least you feel OK with yourself. Good luck to you. - Thu Jun 5 2008, 21:01

Sue, Cal Vet loans are held by Cal Vet. They sell 30-year bonds to fund the program and the buyer receives equitable title only, as a Vendee, on a land contract. - Fri Jun 27 2008, 15:07

I haven't heard of Cal Vet helping out its borrowers. It won't even offer refinance assistance. However, all this could change over the next few months. Even Fannie Mae has decided to change its guidelines -- as of yesterday, it now will allow short sale sellers to buy another home in two years versus the five it requires (excepting extenuating circumstances) for foreclosures.

There has been tremendous pressure on the government to step forward and offer solutions to the housing foreclosure problems.

You can go here to find out what Cal Vet will do for you. This is the link for contacting Cal Vet as a current customer: http://www.cdva.ca.gov/CalVetLoans/ForCurrent.aspx - Fri Jun 27 2008, 14:53