Clear Contingencies
There are three basic contingencies: Inspections, Appraisal, and Financing. We will guide you through each step and negotiate on your behalf so you don’t waste time or money.
BASIC INSPECTIONS: General | Termite | Radon
The purpose of the general inspection is to identify major concerns with the property and educate the Buyer on the general condition of the property, not find every single imperfection or issue.
- Other available inspections include HVAC, Structural, Sewer, Survey, etc.
- Common repair requests include: Fixing faulty outlets, repairing plumbing leaks, replacing broken window seals, and structural corrections if necessary.
REPAIR NEGOTIATIONS
After inspections are complete, the Buyer will send a list of requested repairs that we will review together. We will negotiate on your behalf, focusing on issues related to safety and function (not aesthetics and upgrades). Often, Sellers spend at least $2,500 on post-inspection repairs.
Safety & Function
- Outlet not working
- Leaky Roof
- Foundation issues
- Water in crawl space
Aesthetics & Upgrades
- New paint
- Gutter guards
- Replace working appliances or HVAC
Appraisal
We will meet the appraiser at your home to build rapport and provide relevant information to support the sale price, such as comparable home sales, a list of upgrades you have done, or other offers received.
If the appraisal comes back below the contract price, the Buyer will have 3 options:
- Buyer & Seller can renegotiate the price of the home
- Buyer can come up with the difference out of pocket
- Buyer can terminate the contact
Financing
The Financing Contingency protects the buyer in the event of job loss or other financial circumstances that could arise outside of their control. We will ask the Buyer to provide a pre-approval letter with the initial offer and make sure they are using a reputable lender. The Buyer’s loan will go through two stages: Processing and Underwriting.Processing
All information provided by the borrower is verified. This information includes verification of the borrower’s employment, identity, income, and assets.Underwriting
Underwriters review all documentation in the Buyer’s file. They make sure all program guidelines are met. After the review is complete, the underwriters issu a loan approval.