Thread: Mold Remediation Costs-Who Pays?

Originally Posted by suzq

My home is in escrow and was listed as an "as is" or "tear-down" because that is exactly what it is. We did mold testing and as suspected they found mold. We are in the final negotiations before the close of escrow and the buyer wants me (the seller) to pay for the entire cost of remediation and restoration & half of the re-testing after everything is done. Well this will drag the cost of the property down considerably. I'm of the thinking that I would pay half of those costs and he would pick up the rest. I did advertise the property "as-is" knowing that many things need to be done.

He offered $29k lower than asking price and to me that is fair considering the shape of the place...but now that price will go lower yet.

Do any of you realtors know what costs the seller usually pays when it comes to these costs? (Termite/Mold/etc.)

I'm think I will counter to have him at least pay half of all this kind of repair costs...I wonder if he'll run?

Thanks for any advice given....

Susan

Costs of these sorts are always negiotable unless the contract says otherwise. In hot seller's markets the seller can give a small discount in price and demand that the buyer pay for any remediation costs out of his own pocket. The buyer having few other options and the seller most likely having another buyer just around the corner can find a buyer with these sorts of demands.

In contrast in a slow buyer's market the seller is almost always stuck paying these types of costs because the buyer will just walk. The buyer is going to have hundreds of other options and the seller is likely to wait months before another buyer comes along. This leads to the seller having to cover these costs if they truely want to sell.

You can go ahead and try offering to pay only half but do understand that the buyer may walk and furthermore if you truely want to sell be prepared to do the remediation prior to contract or be willing to pay the costs.

James is exactly right. The other to think about is that if this buyer does walk away, you will now have to disclose that you know there is mold present to any future potential buyers.

Hi everyone.
I am new in the Torrance city and need a good home. Could anyone suggest me some website that provide me reliable and affordable equity inspection?

Hi everyone.
I am new in the Torrance city and need a good home. Could anyone suggest me some website that provide me reliable and affordable equity inspection?

Torrance Certified Home Inspector

Hello,

Much depends on what is customary for a seller to pay in your specific area. These days, MANY buyers seem to expect a seller to pay 'closing costs', as well as inspection fees and other costs. You can ONLY closely examine any offer which you receive to determine what a buyer is demanding from you.