Once a house is sold, the buyer has an opportunity to inspect the property during walk-throughs to determine whether everything is addressed satisfactorily prior to close, and if not, what steps will be taken to correct any outstanding issues.
Depending on whether repairs had been negotiated to be completed by the seller prior to close, you may do two different walk-throughs. The first would be done five to seven days prior to close. This walk-through is done to check whether all repairs have been completed. Although the seller may have provided receipts for repairs, it is still a good idea to check that it all has been completed correctly. The second is the final walk-through once the seller has vacated the property.
Repairs Walk-Through
The seller will provide receipts for all work completed by a contractor/handyman. Often however, a seller will do some of the smaller items themselves. Even if a licensed contractor does the repairs and you have a receipt, that doesn’t always mean it has been done correctly. I recently had a transaction where the pool company supplied a receipt for repairs that had been completed, but when we did our walk-through not only were some of the items that had supposedly been repaired still not working, but they also had removed a broken pipe and replaced the new one incorrectly. You want to address any issues with repairs prior to closing. It is much harder and sometimes impossible to have these issues taken care of after you have closed on the home. Doing this walk-through five to seven days prior to close gives the seller enough time to have the contractor come back out and correct the issues.
Final Walk-Through
The final walk-through gives the buyer an opportunity to assess whether the home has been left in pretty much the same condition as when the contract was written. This walk-through should be done once the seller has completely vacated the property, which may mean you are doing it the evening before closing or even the morning of closing. You want to ensure all appliances are working, personal items have been removed, the seller didn’t forget to leave any items that were agreed to in the purchase contract, such as the refrigerator or washer and dryer. Doing this final walk-through gives the buyer the opportunity to address any issues that may arise before closing. Even if you have already signed at the title company, you can request they do not release the file to record until you confirm that you accept the property after the final walk-through.
What Can You Do If There Is an Issue?
This is why I ensure my clients inspect for repairs at least seven days prior to close. It will give the seller enough time to have the contractor back out to correct any incomplete repairs. If the seller is unable to get the repairs completed prior to close this will become a negotiation, which is another reason why it is so important to have a good Realtor working on your behalf. I advocate for my clients to find the best solution, each situation is different and sometimes you need to be able to think outside the box to get issues resolved and still close on time.
What if The Seller Has Taken Items That Were Included in the Purchase Contract?
I had a situation where the seller had agreed to leave the refrigerator as part of the purchase contract. When the buyer did the final walk-through the morning of closing, I got a frantic call from the buyer’s agent saying the refrigerator wasn’t there. I called the sellers who were driving cross-country. They had totally forgotten the fridge was part of the purchase contract. It was loaded in the back of the moving truck and was half way to Texas. It was a genuine mistake on the seller’s part. We couldn’t get it back, however, and the buyers were not going to close without it. The solution was we put in writing that the buyers would receive a check for an agreed upon value of the refrigerator, which they then used toward the purchase of a brand new one. Everyone was happy, and we closed as planned.
What Sellers Need to Do
Check to make sure the repairs are done correctly, and check each item off against the list of items you agreed to repair on the Buyers Inspection Notice.
If any items, such as the refrigerator, washer and dryer or other personal items, are included in the purchase, stick a big bright note on it with Do Not Move to remind yourself and the movers that they need to remain at the house.
Make sure the house is clean when you move out. It doesn’t have to be spotless, but it does need to be clean. If you are too busy packing and moving, hire a cleaning crew to come in and do a quick clean as soon as you move out, so you don’t have to worry about it.
If you are thinking of buying or selling a home, or would like more information on inspections, please contact me directly.
Lorraine Ryall has been a Multi-Million Dollar producer for the past nine years. If you are thinking of buying or selling and would like more information or a market analysis, please contact her at Lorraine@Homes2SellAZ.com, or call (602) 571-6799. Visit her website at Homes2SellAZ.com.