I just had an inspection done on a house that I just bought. The inspector feels that the furnace has maybe a year left before it needs replacing. I`m wondering if this is something that should be rectified by the vender? I close on this house on Friday but don`t take possesion until March 31st. I`m fairly new at this game (this is only my 2nd house purchase and the 1st house cost me ~$16000 in repairs and modifications!) Thanks for your help, Tim
Furnace With a Poor Prognosis
- Thread starter TMahoney
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- Oct 7, 2007
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Hi Tim,
Just to clarify, do you close on the house in Friday, or remove conditions on the offer on Friday???
Typically your offer should include at minimum "subject to home inspection and financing". If the house you just bought is still a conditional sale, what you can do is go back to the vendor (or get your realtor to negotiate this) and ask for a price reduction of say $3500 to replace the furnace. If they agree, you just amend the contract at the lower price. The worst they can say is NO, and then it is up to you to move forward or not.
Depending on the market (favoring buyers or sellers??), picking a few "fix-ups" from the inspection report can be an effective technique to save a few thousand dollars on the purchase price.
Cheers!
Just to clarify, do you close on the house in Friday, or remove conditions on the offer on Friday???
Typically your offer should include at minimum "subject to home inspection and financing". If the house you just bought is still a conditional sale, what you can do is go back to the vendor (or get your realtor to negotiate this) and ask for a price reduction of say $3500 to replace the furnace. If they agree, you just amend the contract at the lower price. The worst they can say is NO, and then it is up to you to move forward or not.
Depending on the market (favoring buyers or sellers??), picking a few "fix-ups" from the inspection report can be an effective technique to save a few thousand dollars on the purchase price.
Cheers!
QUOTE (C2Ventures @ Jan 23 2008, 08:34 PM) Hi Tim,
Just to clarify, do you close on the house in Friday, or remove conditions on the offer on Friday???
Typically your offer should include at minimum "subject to home inspection and financing". If the house you just bought is still a conditional sale, what you can do is go back to the vendor (or get your realtor to negotiate this) and ask for a price reduction of say $3500 to replace the furnace. If they agree, you just amend the contract at the lower price. The worst they can say is NO, and then it is up to you to move forward or not.
Depending on the market (favoring buyers or sellers??), picking a few "fix-ups" from the inspection report can be an effective technique to save a few thousand dollars on the purchase price.
Cheers!
Hi Monte, thanks for getting back to me on this topic. I meant to say that I am removing conditions on Friday. (as i said, I`m very new to this game!!) Tim
Just to clarify, do you close on the house in Friday, or remove conditions on the offer on Friday???
Typically your offer should include at minimum "subject to home inspection and financing". If the house you just bought is still a conditional sale, what you can do is go back to the vendor (or get your realtor to negotiate this) and ask for a price reduction of say $3500 to replace the furnace. If they agree, you just amend the contract at the lower price. The worst they can say is NO, and then it is up to you to move forward or not.
Depending on the market (favoring buyers or sellers??), picking a few "fix-ups" from the inspection report can be an effective technique to save a few thousand dollars on the purchase price.
Cheers!
Hi Monte, thanks for getting back to me on this topic. I meant to say that I am removing conditions on Friday. (as i said, I`m very new to this game!!) Tim
- Joined
- Oct 24, 2007
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- 2,289
Are you using an agent? If so... ask them for their advice on this problem. When things like this happen for my clients I nearly always work the seller for some $$ off the price to make up for it or at a minimum have them fix it to my client`s standards with a small increase in price so that my clients can finance the repairs by having them included in the purchase price.
If it is a by-owner deal ask the sellers what they think is fair - you wrote an offer under the premise that the property was in good shape and you then had an inspection done to validate this assumption. Now you see $$ coming out of your pocket in the near future and the deal isn`t as good for you. Ask the sellers how they would feel and what they would do if they were in your position.
Put the onus on them to either work with you to find a fair solution to this (split the cost of a new furnace) or not sell the property... You might be surprised at how well you do!
Good luck!
If it is a by-owner deal ask the sellers what they think is fair - you wrote an offer under the premise that the property was in good shape and you then had an inspection done to validate this assumption. Now you see $$ coming out of your pocket in the near future and the deal isn`t as good for you. Ask the sellers how they would feel and what they would do if they were in your position.
Put the onus on them to either work with you to find a fair solution to this (split the cost of a new furnace) or not sell the property... You might be surprised at how well you do!
Good luck!
- Joined
- Sep 20, 2007
- Messages
- 52
If the deal is already firm you probably don`t have any negotiating room left, but Val and I ran into several furnace problems with our LOndon Properties. We didn`t have enough money to buy a new furnace so for $50/mth we rent a furnace. We built this into our cash flow and it works. Is it the best and only solution no, but it is another way to look for your solution without laying out a lot of cash.
Trudi Johnston
Trudi Johnston