After my buyer did the home inspection, the inspector noted that the roof and AC unit are at the end of life and may need replacing (among other things) So, since this is a short sale, we asked for a price reduction - my buyer doesn't want to pay the top dollar for the house that will need thousands of dollars put into it very soon. The listing agent comes back and says I can't do that and the bank will never agree to that. Also, he noted since my buyer is getting an FHA loan, that will never fly with them either - not to mention the appraisal was already done and no repairs were needed.
Has anyone else out there ask for a price reduction on a short sale in lieu of the repairs?
Replies
Can you switch the buyer to an FHA203k loan and then get the price reduction. All the expenses are borne by the buyer and the seller & their lender have no skin in the game. The expences then can be deducted. Only way i see this working. I have had my best luck with rehab loans with Wells Fargo.
I would get at least one, if not two bids from contractors to complete the work. There is a company that advertises on here PresPro.com who can help you with that. We have had great experiences with them so far.
Once you have an inspection calling out the required repairs along with a couple contractor bids, submit this over to the listing agent along with an addendum for a price reduction. We usually include contingency renoval verbiage in the addendum so they know that if they agree to the reduction, we will agree to remove all contingencies. That way they know they've got a deal.