By the time a real estate transaction gets to the inspection stage, both sides have a fair amount invested in getting the deal done. When the inspection turns up necessary repairs, sometimes, the situation gets resolved amicably. But if the seller won’t make those repairs, the buyer may feel utterly blindsided. What can you do now?
These are situations where an experienced real estate attorney can make all the difference.
If the seller won’t make repairs, the buyer has a few options
As a practical matter, if the seller refuses to make repairs, the buyer has a few options, depending on the terms of the purchase and sale agreement:
- Negotiate a lower price: One option to complete the sale is to lower the purchase price to offset the cost of repairs. In principle, this puts the buyer in the same position as if the seller had done the repairs, but it can complicate matters from a financing perspective.
- Walk away from the sale: If the purchase and sale contains an appropriate contingency, the buyer can get their earnest money back. That said, they may still be out the cost of the inspection, not to mention having to start the whole home-buying process over again.
- Take legal action against the seller: If the purchase and sale agreement provided that the seller would take care of any necessary repairs, then the seller can be held in breach of contract. However, pursuing a lawsuit can take months or even years, with the sale hanging in limbo in the meantime.
- Accept the home as-is: The buyer can also just eat the cost of repairs and move forward with the sale at the original price.
How an experienced real estate attorney can help
As a real estate buyer, you want your interests to be protected throughout the process. Getting a lawyer involved early can help to prevent situations like this in several ways. Your attorney can build appropriate contingencies into the purchase and sale agreement to ensure that, if there are any unexpected repairs, the seller is obligated to pay for them, or that you can walk away with your earnest money if they don’t.
An attorney can also use their knowledge and experience, in partnership with your real estate agent, to anticipate any likely issues with a particular transaction and make sure you are fully prepared.
If there is a dispute over repairs after the inspection, then your attorney can represent you in negotiations with the seller and, if necessary, litigation. Just as importantly, your real estate lawyer can make sure you are aware of all your options and the likely results if you pursue legal action, so that you can make an informed decision.
Contact our real estate lawyers today
While Indiana law does not generally require an attorney to be present at a real estate closing, it’s almost always in your interest to have legal representation. Disputes over repairs are just one of many things that can go wrong when buying a home or commercial property. The right real estate attorney can guide you through the process and advocate for your rights throughout.
Attorney Janet Davis Hocker and the team at Hocker Law, LLC have extensive experience handling real estate transactions in Indianapolis and throughout Indiana. Contact us today to find out how we can help.
“I had an absolutely superb experience. Throughout my time working with Hocker Law, I felt l that I was listened to and my priorities were always respected at the forefront of any decisions. Having such a strong advocator gave me a lot of peace of mind! Would recommend without reservation!” – Bryan E., ⭐⭐⭐⭐⭐