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Did your agent tell you this is a good idea?!
There’s no way I’d do this. House is as-is at closing. If you want repairs, request them after inspection and we can negotiate. Once the transaction closes, the rest is on the buyer. See ya!
Maybe id offer to buy them a home warranty for a year (which will likely be much cheaper than any single repair they want). But there’s no way im leaving money in escrow “just in case”.
offer a home warrantee instead, they're cheaper than repairs.
I've literally never heard of this type of contingency. That's what inspections and other due diligence are there for. You can give them a credit to the sales price but that's usually established prior to sale and is fixed.
I wouldn’t do this.
I wouldn’t do this. They can do the house inspection and use any findings for negotiation off price of house, previous buyers gave me 15k for repairs, so we closed -15k of initial offer. Once contract is signed, that’s it.
You’ll never get it back. Don’t do it. If you do, consider it an add-on to the price.
+1 to what everyone has said. Literally do not do this. Once you sell it, it is done and wholly their responsibility.
If they’ve found something in inspection, you can offer a one year home warranty, credits for repair, or repair it yourself.
But if they’ve haven’t found anything there is literally no reason for you to offer anything.
Have bought multiple houses, never heard of this. Do not do it
Never heard of this, seems like a bad idea.
We negotiated a portion off our home price because of repairs needed, based on inspection results. Everything is negotiable- in escrow means you may get some back but, depending on the condition of your house, maybe not. Specify what kinds of costs come out of that fund if are willing to do it (system maintenance, fixing doors, etc - not cosmetic preferences). A home warranty is likely a better option, otherwise I’d go a fixed amount to eliminate the uncertainty.
There is a better way to handle this. I would not do this.
Doesn't the buyer usually put money in escrow? I'm with everyone else, this is a terrible suggestion by the buyers. Either tell them you'll negotiate a credit at closing based on the inspection report or you'll buy them a home warranty.
Never.
As a former Agent i don't know why your Agent would even let you consider that. Their Agent had all the time in the world to request repairs, the MOST i would advise is a Home Warranty for a year. Any repairs after Close are on the Buyers.