The terms and conditions laid out in a purchase contract are like the rules to a complex game. Most of these rules are written by the buyer, some by the seller and all are agreed upon by both parties.
During the condition period, expect more strangers to be coming into your home such as a bank appraiser, home inspector, and even contractors and designers if they are planning renovations.
A few of the most common and important conditions include:
Financing Condition – Unless the buyer plans to pay cash for the entire purchase price, they will almost always have a financing condition. This allows them to get a guaranteed mortgage for the home.
Home Inspection Condition – An inspection by a home inspector is a visual inspection. They will look at everything possible without causing damage to the home. This includes the roof, the attic, the pipes, the electrical, the appliances, windows, and more. It gives the buyers a complete understanding of the condition of the home to prevent unexpected repairs once they move in.
You will have to be away from the home during the inspection. It will take approximately 2 to 3 hours. For everyone’s sake, it’s best to get the inspection completed in one visit, without interruption.
A few tips to prepare,
- Make sure the inspector has access to all the major elements and areas of the home. Remove items that may restrict access or movement in the hard to reach places like attics and crawlspaces, unlock any gates, closets, or doors, clear beneath cabinets for easy access to pipes, etc.
- Don’t use fireplaces/woodstoves the evening before or the day of the inspection. They should be cool and cleaned for inspection.
- Confirm utilities (electric, water, gas, etc.) are all on.
- Pilot lights for water heaters, fireplaces etc. should be lit.
- Deactivate all security alarm systems
By correcting the minor, easy-to-address issues beforehand, the inspection report won’t be full of needless, distracting concerns. Naturally, a seller wants to put their best foot forward to sell their home. While we don’t suggest that you run out and replace ageing systems, there are minor things you can do that will help.
- Repair or replace broken, damaged, or missing items such as doorknobs, latches, broken window glass and missing chimney flue caps.
- Clean rain gutters and make sure downspouts are properly attached and draining away from the foundation.
- Replace burned out bulbs and faulty switches.
- Have all HVAC equipment serviced; clean or replace air filters.
If issues arise during the home inspection you may be asked to repair the items or make concessions to the price to cover the cost for the buyer.
Condo Document Review
You will be required to provide all of the recent and relevant condo documents. Be prepared as this usually costs between $100-$500 depending on the management company.
A condo document review takes the guesswork out of purchasing a condominium for the buyer. A professional will review the documents and provide a comprehensive summary that highlights any areas of serious concern.
We customize additional conditions based on your lifestyle and needs. Other buyer conditions could include the Sale of the Buyer’s current home, review of title or RPR, repairs or upgrades to be complete or anything else that you may require.
As a seller, you may also insert conditions onto a purchase contract such as a firm purchase of a new home.
The conditions are subject to be satisfied by a specific deadline as negotiated in the purchase contract. If the conditions are waived, congratulations, you’ve sold your home!
If not, the deposit is returned to the buyer and the listing process continues.