What If You Found Your Dream Home But It Needs Major Work Done?
So, you’ve found the home of your dreams, you’ve had an inspection done (which we always recommend), and you find out the house is perfect…except for one major issue (we call that a material defect) like the roof (dun dun dunnnn). Should you just give up on the house and walk away? If you find yourself in this situation, chances are it will feel like a deal breaker.
Before you lose heart, though, know you do have a few optionS…
First, I would highly recommend getting 2-3 bids from local contractors to find out how much it will actually cost to replace the roof. You can exercise your “five days for additional inspections” if you need time to get roofers out to bid the project. Unless you waived this option, this is already baked into your inspection contingency.
It might be tempting to just let your inspector or real estate agent ballpark potential costs for you, but don’t. You should get actual quotes so you have the knowledge you need to make an informed decision. This may also help with presenting your requests to the seller’s agent and in your negotiations with the seller for the repair costs.
The inspection process allows you to make a request, so I recommend asking for a new roof in your inspection response and perhaps you will be able to get that covered by the seller. The seller can respond to your request, and then the ball is in your court for you to respond.
If the sellers decline your request in the end you can either decide to take on this project armed with the quotes you obtained, or if it is beyond your scope of work you can terminate the contract based on the inspection findings.
NOTE: Since time can be an issue, one alternative to the seller replacing the roof before closing is they could offer a closing cost credit so you can keep more money in your pocket at closing and use those funds to pay for the roof. If the sellers are tight on cash, a second option could be for the sellers to find a roofer that will allow them to pay for the roof replacement costs out of the proceeds of escrow when the home closes.
In A Seller’s Market
But what if you are buying in a seller’s market, and you are in a situation where the seller is NOT going to do anything. Do you give up your dream home because of the roof? If you are in a position where you are going to have to write an offer with NO inspection, please get a pre-inspection prior to submitting your offer. You can do an inspection for major items only, such as the attic, roof, crawl space, plumbing, electrical, furnace, and hot water heater. If you find that the house is SO good, but the roof needs to be fixed, have your inspector take as many photos as possible so you can provide them to a roofer. (This is why having a local real estate agent is key, as they’ll have a roofer on speed dial who can help you with a quote in a pinch.) Do your best to get a quote so you know if you want to take this project on, as other buyers might waive an inspection and take the house as-is.
Closing Thoughts
So where does this leave us? If you can afford to replace the roof and understand the scope of the project to feel comfortable taking it on, then it is worth buying the home. Roof replacements are technically pretty easy and straightforward—there are not a whole lot of hidden surprises in fees, so if you can get one or two quotes and you feel good about getting the work done it usually doesn’t mess with your move-in timeline and actually living in the home (unless you have an active leak in the ceiling—then you might have a bigger issue).
A lot of these tasks related to shopping for a home involve making decisions quickly in the current market. That’s why hiring a full-time local real estate expert who is connected to industry vendors and contractors will be crucial to getting the answers you need at the last minute. The most informed buyers will win the home and be best protected.
I hope this is helpful for any buyers out there who are currently on the quest for their dream house. If you are interested in more advice when it comes to buying a home, be sure to check out my other articles on my blog.
Paige Schulte, top real estate agent in Gig Harbor and your neighborhood expert, has all you need to know about our wonderful community. Visit Paige’s Gig to learn more.
Interested in selling your current home or starting the search for your dream home? Call us today at (253) 313-4093 or book a call at your convenience.