Categorized | Buyers, sellers

BINSR – choice when seller doesnt make repairs

Happy Friday.  Thank you for reading the #1 Phoenix real estate blog, Wexzilla.com.

The Scottsdale real estate market has been extremely active. There are more buyers looking to purchase homes for sale in greater Phoenix than we have seen in years. Many, no longer ‘most’ of the homes for sale in Phoenix are short-sales and bank owned or lender owned homes.

I mention this reality as buyers are faced with the ‘As-Is’ sale — A real estate purchase in which you still retain the rights of the 10-day inspection period which is so favorable (and necessary) to a successful home buying process. However, when buying ‘As-Is’ , you are stating and signing clearly that you will not ask for repairs and that you understand the home may be flawed, yet you are still willing to undertake the purchase. Most people, feel the deals or pricing is so valuable that they will skip the traditional home purchase process in which you would submit the inspection report with your request for repairs as seller to make corrections for those repairs.

Finally after almost 5 years of a declining market the majority of sales that my buyers are working with our traditional sales. Therefore, after the inspection I sit down with my buyers in we submit a buyer inspection notice with a list of items that require correction in which we request that the seller repair prior to close of escrow. In most cases, the seller expects to make repairs even goal up and beyond repairs and get a HVAC servicing to certify a potential home warranty the buyer may own with companies like service one home warranty, American home Shield or Fidelity National home warranty.

Sometimes, a buyer will provide an extensive list which may include items of preventative maintenance or any other items that are reasonable requests; however, the seller feels do not require corrective action as per the specific language in the Arizona Association of realtors contract paperwork.  Again, per the language, the sellers not required to make any repairs.

Most  sellers expect to make some, but what happens when the buyer is not satisfiedwith the seller response to the request for repairs?

per the BINSR, at the bottom of page 3, buyer options are that:

a) the buyer can immediately elect to cancel and receive a full refund of earnest money deposit

b) buyer except the seller’s response and agrees to close escrow without correction of items that the seller has not specifically agreed to in writing in the BINSR response

technically, these are the only options. However most people are not as rigid in reality as is the contract language.

So, to parties can always negotiate and agree to amend, rewrite or cancel any contract as long as all legal parties agree. So, you can negotiate however as a buyer, if you are to ask be aware they can say no. Us, your only choices would be to cancel orin close escrow with the seller corrections.

There are two ways where your buyer broker can represent your best interests: Your Phoenix realtor or should always negotiate on your behalf to protect your monetary interests. And, also the working relationship with the cooperating seller (or buyer) in to do so;  Sometimes your best interest are not surely financial.

For example, health the working relationships make any potential bump in the road easy to get through. Buyers and sellers do not often times draw firm lines in the sand if previous relations have been exceedingly amicable. Not that asking for more necessarily makes relations acrimonious. Sometimes, ‘pushing your luck’ so to speak may do so. Again, the buyer is always right!  Your realtor should be firm and protect your best interest of all time. Just be sure you know what your best interests are!

If you have questions about the buyer inspection notice and seller response document, if you would like to know more about how to prepare a complete buyer inspection notice so that you can get a successful seller response please e-mail me at james@wexzilla.com or call me today at 480-221-8080

Take a look at the best Scottsdale homes for sale:

See all Real estate in the city of Scottsdale.
(all data current as of 7/23/2014)

  1. 2 beds, 2.00 baths
    Home size: 1,325 sq ft
    Lot size: 122 sqft
    Broker reciprocity icon
  2. 3 beds, 2.00 baths
    Home size: 1,662 sq ft
    Lot size: 5,218 sqft
    Broker reciprocity icon
  3. 3 beds, 2.00 baths
    Home size: 1,743 sq ft
    Lot size: 5,736 sqft
    Broker reciprocity icon
  4. 3 beds, 2.50 baths
    Home size: 1,728 sq ft
    Lot size: 1,872 sqft
    Broker reciprocity icon

Listing information deemed reliable but not guaranteed. Read full disclaimer.


Leave a Reply

Spam Protection by WP-SpamFree

The ARMLS logo indicates a property listed by a real estate brokerage other than Realty Executives.
All information should be verified by the recipient and none is guaranteed as accurate by ARMLS.

Copyright 2014 Arizona Regional Multiple Listing Service, Inc. All rights reserved.

Data last updated 7/23/14 6:12 AM PDT.