When you’re selling your home in Fairfax or Burke, the buyer will likely order a home inspection. Any necessary repairs will come up and probably bring your agent and the buyer’s agent to the negotiating table.
Even if you’ve already had a home inspection done, the buyer’s inspection may uncover something you were unaware of. Repairs don’t have to kill the deal, but you should know how to handle them.
Repairs You Must Fix
Unless the buyer has made an all-cash offer, you might have some repairs you have to fix before the deal will go through. Lenders won’t approve buyers to purchase your home if it has serious issues. Repairs you will need to fix include:
- Structural deficiencies
- Building code violations
- Safety hazards
If the repairs fall into one of these three categories, you will likely need to handle the repair before the deal can move forward.
Handling Repairs When Selling Your Home
When the home inspection comes back and shows something needs to be repaired, you have a few options to consider. You’re not required to fix anything cosmetic or anything caused by wear and tear. However, you should be ready to negotiate based on the work needing to be done.
Option #1 – Take Care of the Repair
In some cases, it’s in your best interest to handle the repair yourself. If the buyer is threatening to walk away from the deal, you might want to handle the repair. You might not want the deal to fall apart over something small you can easily have fixed.
It can also be beneficial to handle the repair if you’re worried the buyer might try to negotiate for a lower price. The buyer’s agent will often try to negotiate based on the higher portion of the price range for a repair. If you can handle the repair for a lower price, it can allow you to leave the agreed-upon price the same.
Option #2 – Offer a Repair Credit
Instead of lowering the agreed-upon purchase price, you can offer a repair credit towards closing costs. This can help you keep the price where it is and allow you to keep the deal from falling apart, at the same time.
A repair credit also allows the buyer to choose the contractor and have the repairs done to their standards. You will also avoid the stress of dealing with the repair and the deal can move forward on the original timeline.
Option #3 – Negotiate a Lower Purchase Price
Another way to avoid dealing with the repairs yourself is to negotiate a lower purchase price for the home. You can offer a reduction to reflect the cost of the repair or come to an agreement with the buyer on a specific amount.
While lowering your price might not be ideal, it could be better than letting the deal fall apart. Depending on the repair and the type of agreement you can reach with the buyer, it might be the best option.
Option #4 – Refuse to Make Any Repairs or Offer Any Credits
Usually, this option isn’t the best choice, but it can still be used. You can refuse to make any repairs or offer any type of credit to the buyer. If you deal with repairs in this manner, the deal has a higher likelihood of falling apart.
Get Expert Advice
Before you decide how you want to move forward with repairs, you should speak with your real estate agent. They will be able to provide expert advice to guide you through the process.
A good real estate agent will be able to negotiate the best deal possible on your behalf. They will know which types of repairs fit which scenario and what type of buyer you’re working with.
Avoid Repair Requests Altogether
One of the best things you can do, as the seller, is to avoid repair requests altogether or at least be prepared for them. You can order a home inspection before listing the home for sale. This will give you a good idea of what to expect.
If the home inspection report comes back with a few small things needing to be repaired, you can take care of them before you even list the home for sale. This means you’ll eliminate these obstacles before you even have an offer on your home.
Repairs can be a deal killer if the buyer isn’t willing to work with you. Having a good real estate agent on your side will help make it easier to negotiate if the home inspection doesn’t come back clean.