Thread: Inspection Period - Foreclosure

In Florida..not sure what state you are in, but we calc days as working days so 10 days is actually 2 weeks (calendar). I would hire an inspector and then go get values for what needs to be fixed before the inspection period ends or your client could be on the bill to buy the place...but most likely, the bank isnt going to sue anyone, but they may try to get the escrow

The key is to get the inspection done within the due diligence period. Then you can try to negotiate with the bank on any repairs, but be aware that most banks sell the houses in "AS-IS" condition. This means that they probably won't be willing to make any repairs. In that case, your client would have the right to back out within the due diligence period if there is something they dislike in the inspection report. That is why it is key to get the inspection done soon.

As far as the time frame goes, it will depend on how the contract reads and what state you are in. However, most of the time the clock starts ticking once all parties have signed the contract and it has been delivered.

I have had contracts where the bank would not do repairs or give a credit for repairs and I have had contracts where I was able to negociate repair credits. Each bank has their own guidelines.

The date from which the listing agent gave you the signed contract, Jan 31st; you have 10 business days (or whatever timeframe you put into the contract) to get inspections completed. Ten days is more like Feb 13th, but don't wait til the last minute; you need to get a lic. contractor to give you a cost for repair if you are going to ask the bank for a credit or lower the price of contract to offset repairs. Remember, inspection results and request for repairs, price adjustments must be made in writing.

Each bank works differently, some will make repairs and others won't.
Hopefully, yours will. That is the beauty of bank owned homes, some are gems are others not so much.

Most banks will not give a credit for repairs since they are advertised "as is". I have been able to get a few credit though, might as well ask it can't hurt. Have the repair list detailed showing the bank the amount of work needed

Originally Posted by mWoods

Each bank works differently, some will make repairs and others won't.
Hopefully, yours will. That is the beauty of bank owned homes, some are gems are others not so much.

I am sure this problem has worked itself out, seeing as this post is almost 2 years old. Please check the dates of the post before you resurrect these old threads.