« Nebraska Graduate REALTOR® Institute (GRI) program GRI 105: Real Estate Investment and Management approved for CE Credit! | Main | In Memoriam: Life Lessons: How to Teach Your Kids about Safety and Strangers ~ by Andrew Wooten »

February 27, 2013


Feed You can follow this conversation by subscribing to the comment feed for this post.

I seems very clear to me.

The lender should be aware of the corrections or potential corrections necessary on the property before closing

This appears to be a logical manner in which to resolve the Inspection Objection.

Thanks for the information.

If both parties can agree that is best, but if the seller reneges then get the court involved and cause a cloud on the title.

In a case where repairs/ improvements are made, I would see the lender as encouraging! The buyer getting more than they bargained for.
In the case study, it appeared an insight into keeping disclosure's from being made to a lender. Sort of a back door approach... This could be problematic.

I read a little into the article of the dangers of a typical "wish list" in alerting a lender to what appears to be a deficient property, when it is merely a wish list.
ei: seller to replace scratched (but unbroken) window. repaint entire interior, replace entire house carpet, etc. etc... I have seen some crazy requests!

I think the Inspection is important for any buyer, lender and seller. Trying to negotiate and resolve issues are huge between parties. Yes, let the lender know as soon as possible and keep them posted on the resolution to keep the contract going on schedule as close as possible or terminate the contract.

Is the seller allowed to withdraw from and terminate the contract upon receipt of an inspection objection form?

In parallel, should an inspection objection form be submitted by a buyer only if the buyer deems it likely that they would want to terminate the contract if the subject of the objection is not resolved?

The Seller's receipt of the Objection begins a new round of negotiations to determine if the parties can come to an agreement on repairs or credits that must be made prior to the closing.

The seller cannot unilaterally withdraw from the Contract at this point, instead choosing to negotiate or not based on the requested repairs and credits from the buyer.

As in any negotiation, if the buyer doesn't ask then they certainly will not receive. So, asking for what the buyer needs to have repaired can be combined with the termination preparation if they are rebuffed by the seller, or it can be just an opening volley in this round of negotiations. Skilled negotiators will find a happy medium while trying to get the parties to come to an agreement.

Verify your Comment

Previewing your Comment

This is only a preview. Your comment has not yet been posted.

Your comment could not be posted. Error type:
Your comment has been saved. Comments are moderated and will not appear until approved by the author. Post another comment

The letters and numbers you entered did not match the image. Please try again.

As a final step before posting your comment, enter the letters and numbers you see in the image below. This prevents automated programs from posting comments.

Having trouble reading this image? View an alternate.


Post a comment

Comments are moderated, and will not appear until the author has approved them.

Your Information

(Name and email address are required. Email address will not be displayed with the comment.)