Loving Placer County

Understanding the upfront fees – the appraisal fee will be an upfront fee. The inspections (depends on the area) are often steered by the buyer side with a few exceptions in Northern California for country properties where you sometimes see septic and water tests on the seller. A delay on coordinating any inspections once you’re in escrow (while being mindful of when your inspection period starts and your contingency of purchase form are critical here). If you do not need to start inspections because of the way the COP form (see above) is marked – be mindful of this …

• Do not wait to order your appraisal or hold off inspections – your delay as a buyer can be self-sabotage and risk a seller issuing a “notice to perform” if you do not hold to your contractual obligation. There will only be so much your lender or agent can do to protect you, if an appraisal review runs late or an inspector can’t accommodate a last minute request, you might be fine and be granted an extension to your contingency period, or you might get a notice to perform and potentially be kicked out of contract.
• Warning: Contractors and inspectors can be booked out for a week or two, particularly for specialty items, or any testing involved. Some may be free for a bid, but some may cost to you at a cost / fee. This is not the time to be cheap and pass over an inspection which can potentially save you from a costly mistake.
• Fluid communication and updates between all parties (buyer + seller) we hear way too often, “Wow, you guys are so great at communication.” You MUST be a great communicator and play well with others to have a contingent sale go smoothly. If your agent is only nice to you and not others – some think this is a way to play “hard ball” for sales, but you just have someone has a horrible reputation in town. 
• If you have a seller credit coming to you as a buyer – be sure to loop in the lender and title company ASAP as this can add a day or two for review (not always, but something you have to be aware of).

ALWAYS have a housing solution, plan B. Your home you’re purchasing may not close on time, and/or life can happen and a deal falls out of place –  be wise and try your best to secure your housing as a back-up plan (rental, staying with family/friends, etc). 

Seller Occupancy After Closing – this has to be negotiated up front during the counter phase and we always suggest a few weeks at least to try and mitigate any delayed closing on any side of the deal(s). It can happen, even on the most perfect of files monitored. There are numerous bodies behind the scenes on loan and this can affect your closing. Along with TRID – be aware of this as a buyer. TRID can delay you alone (see #3 above, last bullet).

• Most lenders will not allow over 59 days of occupancy by seller after closing, and most buyers aren’t the biggest fans of much of anything past 29 days (if any at all)
• Education and information is King/Queen. Know your options – we are not asking you to think negatively that it will fail, it’s just planning for all outcomes to the best of our ability.

Sometimes it’s best to take the credit and sometimes it’s important to wait to see request for repairs executed before close of escrow (COE). It depends on the scenario what’s the right route. 

• If you’re concerned about findings when you open up the roof to do dry-rot or pest work (WDO) – sometimes it’s best to wait and get it done and delay closing and of COURSE this stinks to do, but it could save you thousands if more work that’s needed is uncovered when you open things up. 
• If you have work being done, as part of your request for repairs – ensure there’s mention of all work being done BEFORE close of escrow.
• Sometimes it’s best for buyer to take the money credit – to take control of overseeing repairs by their own trusted contractor that way they know who the work is being done by, and may be able to save cost.
• Ensure that a licensed contractor is doing all work and receipts are provided before COE (close of escrow). There are some of the shenanigans that can occur, so don’t let anyone bully you.

Give us a call for your scenario and we can find out if we’re the right solution for your needs. If we’re not – we’ll get you connected to someone who is the right person for the job! 916-308-2446