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Repairs Prior to Close or Prior to Owning the House

Appraisers often call out condition, health and safety, or repair issues that need to be addressed prior to close. Examples include missing floor coverings or water-heater straps, or peeling paint.

If the repairs are minor, there is usually not a problem. Significant repairs present problems, however, because sellers often are unable to do them (REOs, short-sellers with no money), or they refuse to do them (sellers in hot markets).

The only solution is often for the buyers to pay for repairs themselves, prior to close, on a property they do not yet own. These buyers are rightfully apprehensive.

In these situations, all we can do is to make sure that ALL other loan and appraisal conditions are signed off before the buyer pays for any repairs; we make sure the repair-work is the only condition remaining to be signed off to ensure the buyer is not risking money to fix a property he might not end up owning.


Jay Voorhees
Founder/Broker | JVM Lending
(925) 855-4491 | DRE# 01524255, NMLS# 335646