request for repair
In my pending sales at the moment, it seems that many right now involve buyer due diligence. Yet another sign we are on the tail-end of the seller’s market. Normal transactions over the past 5 to 7 years have not really involved a lot of buyer due diligence. Seems buyers were so excited and thrilled to be given the opportunity to buy a home, they skimmed through the seller disclosures. They also waived inspections, sometimes submitting offers with an inspection contingency release upfront.
Without going into specifics about the offer for the home on 985 Regatta Drive, yesterday the buyer removed all contingencies and we opened escrow. I know, it is backwards to how homes are commonly sold in Sacramento, but we are not negotiating in a normal market. Usually in a Sacramento transaction, the buyer presents an offer, the seller accepts and we enter escrow. Then the seller has 7 days to deliver disclosures to the buyer, and the buyer typically pays her own closing costs.
It goes without saying that I work with Bay Area agents to make a transaction close. I do what it takes. They are not always easy to work with because some do not sell very many homes and have little experience. Some do not have a lockbox key so they can’t access the property without assistance. And some do not know how we do business in Sacramento, just like we don’t really know how they do business in the Bay Area. Our practices are very different.
Last month I featured an updated pool home in Elk Grove for sale and yesterday this turnkey home on Laguna Woods Drive closed escrow at list price. Once everything comes together and the home enters MLS, activity happens fast. But it was a fairly slow beginning. For example, I started working on this listing the first week of January, in the middle of my 9-week winter vacation in Hawaii. Since then, I’ve been back to Hawaii twice. That’s how long I’ve been working on this sale.
When I send home inspection repairs and findings to a seller, it is for the seller’s records only. I tell them this. But still, some home sellers react in unexpected ways. Some sellers take the home inspection very personally. They want to call the home inspector and chew off his ear. (For some reason, more men than women opt to become a home inspector.) Sellers find the composition of the report offensive. Many don’t like the “repair” or red flags noted.
Often, these are the very sellers who tell me at the time of listing that there is nothing wrong with their home. In their mind, they have the perfectly maintained home. I chuckle to myself because I know better. But I don’t argue with them. It’s not always so much that there is a lot of stuff wrong as it is buyers may feel as though they paid all this money for a home inspection, there better be some actual discoveries. Otherwise, why did they pay $450 for nothing?
My first blog about this Campus Commons condo published 5 weeks ago and now this beautiful Powell condo has closed escrow. When I shared the good news yesterday with the seller, she seemed very pleased. She said, “Well, you got us list price,” and she seemed a bit astonished that it happened. Maybe because at first she had suggested a price that was $25,000 less than my suggested list price. I take into consideration how much sellers want, but it’s not generally a factor for me when determining a listing price.