When a home changes hands, unless it is agreed upon up front that the house is being sold “as is”, some completion of repairs is to be expected. Sellers want to get top dollar for their home, while buyers want a fair price and piece of mind surrounding the condition of major systems, but keep in mind that EVERYONE wants to make it to the closing table feeling good about the transaction, so it is so important that both parties recognize that and remain on the same team.

Lately, I have been working with some DREAM clients. What makes them dream clients? Honestly, they are considerate, fair, and just plain REAL! They’ve been awesome for lots of reason, but on this topic, they have asked for and negotiated some necessary repairs, while remaining mindful of the responsibilities that come with home ownership and respectful of the other party and their individual situation, goals, and priorities.

Entering into a real estate transaction with realistic expectations and an open mind and willingness to work together toward successful compromise is paramount in experiencing the smooth and positive experience everyone is ultimately hoping for. Here are some helpful tips on what you can expect when it comes to negotiating repairs after a home inspection.

Safety First

The first things to focus on are safety concerns. It is perfectly fair and expected for buyers to want to be purchasing a home that is safe for them to live in and free from hazards. Are there windows or external doors that don’t lock properly? Faulty electrical wiring? Improper ventilation? These are fair issues that are likely to be brought up in negotiating repairs. Sellers should be prepared to make necessary repairs or credit buyers to bring major systems up to safe standards. Buyers can and should make such requests, so that the home is safe for occupancy prior to closing.

Leave Out Cosmetic Issues

My rule of thumb is if you were able to view the cosmetic flaw, big or small, when you first toured the home, and you still put in your offer, it should not be the subject of repair negotiations. Rather, it should have been considered in your offer price and subsequent negotiated contractual price of the home. The purpose of a home inspection is to uncover hidden issues that may not be evident during a standard walkthrough of the home. If the driveway is in poor condition, the shrubbery is overgrown, the home exterior needs to be repainted, or the tub needs to be caulked, you saw that before you put in your offer. Those are things you accept about the home before agreeing to purchase, thus you should be prepared to take on those projects as part of being the home’s new owner. Also, think about the big picture. Ultimately, cosmetic choices are a personal preference, so being able to choose what you’d truly like has it’s upside. In addition, you might have a renovation in mind down the line, so some small cosmetic repairs may not make sense in the long run. By leaving these items out of repair negotiations, buyers present themselves in a considerate and reasonable light, thus making it more likely that sellers will be willing to take on or meet in the middle on the more appropriately selected safety concerns.

Don’t Be Nit Picky

If it feels trite or nit picky to ask for it, it probably is. Changing a light bulb or tightening a screw are ticky tacky” everyday household fixes, and should not be included on a repairs negotiation, unless they are tied to some sort of greater safety issue. By leaving such items out of negotiations, buyers again paint themselves in a more positive light, thus making it more likely that sellers will be responsive to items of great priority. If buyers are willing to supply a copy of their full inspection report along with their repair requests, sellers will see these items anyways, and may even choose to complete some or all of them as a courtesy. Being fair, considerate, and reasonable from the start can set the tone for the entire transaction.

Big Deals

There comes, on occasion, an issue that is, in fact, a big deal that no one saw coming. Again, in these situations, it is important to be reasonable. In the likely case that this was an unknown issue, neither party may be in a financial position to finance the entire repair. Being open to creative compromises may be the answer in these cases. Can you meet each other halfway? Does the entire repair need to be completed prior to closing, or could it be done in stages, with the seller covering a portion up front and the buyer agreeing to complete the repair after closing on their own time schedule? Could the seller agree to credit the buyer a fair sum at closing in leu of completing the repair? A credit is sometimes an attractive option, as it relieves the sellers of the responsibility of actually completing the work and enables the buyers to complete it to their liking. If there isn’t a compromise, and the repair is too much to take on, it could be time to walk away, but again, I feel this can be done amicably if efforts to compromise have been made to no avail. Staying calm, open minded, and reasonable and fair will help everyone stay focused on the end game and aid in finding the best course of action for all involved.

Keep Compromise in Mind

Always remember that everyone involved in a real estate transaction wants to get to the closing table and have everything go as smoothly as possible along the way. Trust me, I LOVE a good closing where hands are shaken and even hugs are shared between buyers and sellers, and everyone leaves smiling and ready to begin a new chapter of their lives. They are the BEST! The common thread that I see between all those special situations is people who are truly open to compromise. Keep in mind that a compromise by nature involves NO ONE getting their way on everything they want. A compromise means that everyone agrees to give up a little bit of what they want to arrive at an agreement that is fair. Try to check “all or nothing” attitudes at the door, recognize that the other party has their own story too, and while they might be helping you close a chapter in your life and begin anew, they are likewise doing the same and moving on to new adventures as well…and all the emotions that come with that!

Demonstrating a willingness to work through the issues that arise throughout a real estate transaction is evidently contagious. When one party is fair and reasonable, the other party often follows suit, creating an all around positive transaction for all. Buying or selling a home is an emotional time and can be stressful. Remembering to show compassion and grace, owning up to your end of responsibility, and staying open minded will help solidify everyone’s place on the same team AND at the closing table. This is important whether you are buying that dream home or a vacation rental as an investment and will serve you well in all real estate transactions for years to come.