All Things Real Estate Newspaper Issue 5 Volume 4 | Página 3
sellers
Kim's
PROPERTY TALK:
Kathleen O’Donnell
O’Donnell Group Realty
503.519.3400
odonnellgrouprealty.com
Did I Agree to All of the Buyer’s Repairs?
J
ust when buyers and sellers believe
that dreaded negotiations are behind
them, they are faced with the negotiation of repairs during the professional
home inspection contingency period. It
is not uncommon for a buyer and seller
to prepare a counteroffer or two when negotiating price, seller concessions, closing
date, possession date, etc. In retrospect,
those initial negotiations can seem tame
when compared to the buyer’s and seller’s
negotiations regarding the completion of
repairs.
What can add an extra layer of frustration
and angst to this process, is the provision
expressed in parentheses at the bottom
of Form OREF 022A “Buyer’s Repair Addendum”. If the seller opts to check the
box to make a counter-proposal to the
buyer’s request for repairs, there is a provision in parentheses which states (Note:
Unless modified, all remaining terms
above shall apply): Use Form OREF 022B
for counter-proposal). What does this
mean? Does the seller have to specifically accept or decline every itemized repair
on a Buyer’s Repair Addendum? While
the condition of one home may warrant
a request for merely one or two repairs,
and such list may fit on the one page addendum, there are other transactions
where the list of repairs runs the length
of the Buyer’s Repair Addendum and one
or two additional Addendums. Does the
seller have to respond with a two or three
page addendum in kind?
Another agent was recently involved in a
transaction where the Buyer’s Repair Addendum included a request for the seller
to complete more than 20 repairs. The
seller drafted a counter-proposal on the
Seller’s Response to Repair Addendum
(OREF Form 022B) which contained a
significantly reduced list of repairs that
the seller was willing to complete. Prior
to the buyer’s acceptance of the counter-proposal, the agents exchanged numerous e-mails and spoke by phone so
there was a clear understanding that the
only repairs to be completed were those
listed on the Seller’s Response to Repair
Addendum.
*Continued on page 4
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In practice, a Buyer’s Repair Addendum
will include a numbered list of items, say
1 to 5, for the seller to repair, and the seller will respond with Form OREF 022B
“Seller’s Response to Buyer’s Repair Addendum, stating that seller will complete
items, 1, 3 and 4, or will detail the repairs
that the seller will complete. In the normal course, should the buyer accept the
seller’s counter-proposal, the buyer and
seller understand that the seller will repair items 1, 3 and 4, but is not completing items 2 and 5. More than likely, the
buyer’s and seller’s agents have exchanged
e-mails or have spoken about what repairs will ultimately be completed and all
parties are in agreement.
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commercial
buildings. One has a small retail
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Portland!
2311 E Burnside: $845,000
2325 E Burnside: $885,000
Cell 503-260-6231 | [email protected]
Licensed in the State of Oregon
{ PortlandHomesGuide.net }
Specializing in vintage and luxury homes.
EXPERIENCE, INTEGRITY, FOCUS
8
COSTLY HOME SELLER
mistakes
Homeowners who want to sell their home
know they need to get the place spruced
up for marketing, but a tougher challenge
for some is to get mentally prepared for
putting their residence on the market.
After all, if you’ve been happily living in
your home for years, it can be emotionally hard to detach yourself from your
memories and look at the place as a commodity you’re selling.
For a smoother sales transaction that garners the most possible profit from your
sale, avoid these common seller mistakes:
Skipping a home inspection. Depending on the age of your home,
scheduling a pre-listing home inspection
could save you a lot of time and aggravation. You can address issues on your own
time and budget before negotiating with a
buyer to fix problems.
Skimping on your sales prep.
While you may be tempted to ‘test
the waters’ and put your home on the
market without painting it or making
minor repairs, your home is likely to
languish on the market and get a reputation for having a major problem. A thorough, professional-level cleaning should
be your bare minimum seller prep. Your
eventual sales price is likely to be lower
if you don’t sell within the first few weeks
after you list your home.
Choosing the wrong Realtor®. Instead of picking a Realtor® who’s a
friend of a friend, a relative or perhaps
someone who’s great at working with buyers, take the time to pick a Realtor® wi Ѡ)