Formal inspections are an important part of the home closing process. Mortgage lenders typically require that a paid professional inspect the property to check for defects. Buyers and their agents often conduct pre-closing walkthroughs or final inspections before sitting down to sign the paperwork. In some cases, the final condition of the property does not align with the inspection report, as there is new damage to the home.
What options do buyers have if a property’s condition changes after the formal inspection before the closing?
Ask the seller for repairs
In many cases, there is an expectation that sellers should repair any damage they cause to the property while vacating the home or during their last days of the property. Holes in the drywall or windows broken by moving activities are usually the responsibility of the seller. Buyers may need to reach out to the seller in writing to ask them to address the repairs.
Delay or cancel the closing
When sellers are not receptive to buyer concerns about damage to the property, it may be necessary to delay the closing or potentially even cancel the closing. The extent of the damages and the cost of repairing the property may influence the best way to respond. In some cases, buyers may determine that walking away is the best option, provided that they included appropriate contingencies and can do so without losing their earnest money.
Knowing how to respond to issues that arise in the final stages of a residential real estate transaction can help buyers stand up for themselves. If sellers damage a property, they are typically liable for the cost of repairing that damage.