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Should a Buyer make Repairs on the Property they want to Buy Prior to Closing?

This topic  was discussed in a Quick Topic from Kate Brooke’s Legal Newsletter that is an excellent resource for the Greater Portland Metro Area. My answer is as was in the newsletter,  NEVER.

I am often asked this question by purchasers and it has nothing to do with a buyer’s level of sophistication either. I have seen it from all sides of the spectrum. Usually, it has to do with expedience.

It is easiest for me to explain why it is not a good idea by simple Risk Management which spills over not only to the Seller but to all parties including contractors and vendors.  When there is good risk management in a transaction, that lowers the risk for all parties and saves a lot of potential grief!

What would happen if there is an accident while the work is being done?  The seller’s insurance company gets a call…. Yikes, I don’t want to think about that one. Or, the buyer is suddenly unemployed and does not qualify for the loan. Now who is going to pay for the repairs?

The simple answer is  do a “Worst Case Scenario” and you will reach a good answer.

By |August 3rd, 2013|Categories: Borrowers, Buyers|Tags: , |0 Comments