Walkthrough negotiation - CLUE?.

Asked by Azguy, Chandler, AZ Wed Feb 27, 2013

I have a question. my parents are buying a home in chandler. During final walkthrough they came to know that the backyard trees, bushes and flowerbed are died completely in the recent frost, and also the owner has taken all the flower pots with them. There are couple of technical issues as well (pool water feature not working etc). We had asked about keeping the wall-fixtures in the contract; but still they have not kept any except for light fixtures. It is a high priced deal, and lot of money is in escrow. Can some expert advice be given to fight with this stingy seller? My agent saying that if we issue the CLUE we may loose the house and escrow money may go in jeopardy... It is a regular sale..

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10
Stephanie We…, Agent, Gilbert, AZ
Thu Feb 28, 2013
Your parents really should contact their agent about this since they have intimate knowledge of the contract which GOVERNS this transaction. If they are not confident with their agent, then they should contact the agent's broker. It's a moving target here for any of the agents in this public forum to try and give you a definitive answer based on information we don't have. All the best!
1 vote
Royal Henry, Agent, Gilbert, AZ
Wed Feb 27, 2013
Confusing one of our many acronyms that we use in the real estate industry is totally understandable for the consumer but totally unacceptable by a Realtor, especially one with so many designations behind the name. When we dispense advice, we should know what we are talking about.

Royal Henry
OCD, ADHD, PTSD, SAD
Cactus Mountain Properties LLC
1 vote
Valerie Tour…, Agent, Tempe, AZ
Wed Feb 27, 2013
Your first line of defense is the contract. What was agreed upon, in writing, by both the buyer and seller are what must remain in the house. The warranted items (again refer to the contract) that were working originally must be working during the final walk through. Also was the water feature tested by the home inspector. If it was working and you can make a case for it being a warranted item (you realtor can make a case that it is part of the electrical system) and it should work. They need to relay on their Realtor to make this happen. As for the plants they are not covered however many desert plants can be very resilient after a hard winter and if they are pruned back will be beautiful again. If your parents have a HOA the plants in the front may be taken care of by the HOA. Good luck.
1 vote
Jennie Miller…, Agent, Phoenix, AZ
Thu Feb 28, 2013
Have you asked your Realtor how to handle this? He/she is intimately involved n the details and will be able to guide you.
0 votes
Cara J. Simm…, Agent, Apache Junction, AZ
Wed Feb 27, 2013
Issue the clue report, stating what the issues are & that gives the seller three days to respond. If they are not going to comply with the purchase contract then you need to decide if you want to continue. If you don't issue you will not be able to do any thing after it is over. Your realtor needs to tell title first thing in the morning to stop this. Remember if you don't close tomorrow your figures will chg on the HUD1 statement. You need to work with your realtor to straighten this out. They are your representative in the transaction. Everyone is so far into this transaction I think everyone will work together to get it done.

Cara Simmons,Realtor
ABR, CRS, CSSPE, EPRO, RRC, SRES
Sun Canyon Realty
602-399-0663
Cara@CallCara.com
0 votes
Azguy, Home Buyer, Chandler, AZ
Wed Feb 27, 2013
I think our parents are leaning towards giving the CURE notice. however tomorrow is the closing day. both buyer and seller have signed papers, but funds are not yet disbursed. Any ideas? Can the money be kept aside until we come to an agreement as a response to CURE (from seller)?
0 votes
Cara J. Simm…, Agent, Apache Junction, AZ
Wed Feb 27, 2013
When is the close if escrow? If you issue the Clue Report you have to be ready to accept what happens. What is in your purchase contract? Does it state that certain items stay at the house. Did the water feature work during the inspection? Are you involved in the transaction? Is this only your parents home? If you are not part of the transaction we could advise you. Your parents realtor should be addressing these issues before close of escrow.

Cara Simmons, Realtor
ABR, CRS, CSSPE, EPRO, RRC, SRES
Sun Canyon Realty
602-399-0663
Cara@CallCara.com
0 votes
Debbie Nieman, Agent, Phoenix, AZ
Wed Feb 27, 2013
Since your parents are being represented by an agent I would suggest your parents talk to the agent and if they dont' get the answers they want, ask to talk with the agents broker.

I can only speak in generality as I am not representing the buyers.

The purchase contract states that certain items are "warranty items" which means at the close of escrow those items are to be in good working condition including heating, a/c, plumbing and pool equipment.

Where as the "fixtures" are attached unless there is an exclusion in the purchase contract they are supposed to remain.

Pots and plants unless they are stated in the purchase contract are considered personal property.

I hope that helps- Good luck....


Debbie Nieman
Realtor, Keller Williams Sonoran Living
602-799-5239
0 votes
Brad Bergami…, Agent, Prescott, AZ
Wed Feb 27, 2013
Cure?
Agent is correct.. there is no loosing of the house it is more like canceling contract. The cure notice puts the other party that they are in breach of contract and if the breach isn't fixed it cancels the contrate for you as a buyer.
There are other remedies that might be better for you but the real question is do you wish to purchase the home without flower pots or other items that are not working..
Also most inspectors don't inspect outside water features so it may have never worked.
READ the contract likely what you think you agreed to and what the seller thinks you agreed too may not match.
Best of luck and chat with your agent.
Web Reference:  http://bradbergamini.com
0 votes
Temporarily…, , Tempe, AZ
Wed Feb 27, 2013
I think you mean "cure notice", not CLUE (CLUE is an insurance history report). The flower pots could be considered personal property, with no obligation to leave them. Were they specified to stay in your contract? Fixtures, items that are attached to walls or ceilings are required to stay in the standard contract unless otherwise specified. If the pool feature was working at your inspection, it is required to be working at closing. It may also be considered a warranted item that must be in working condition regardless.

Your agent is correct, there are risks involved with issuing the cure notice. The cure notice gives the seller 3 days to address items that are in breech of contract, if they don't, then you can cancel or seek other legal remedies (read about Remedies in your contract). If you cancel, you should retain earnest money as long as the escrow company agrees that there was a breech. So you have to decide if these issues are important enough to deal with if the seller does not fix (cure) the problems.
0 votes
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