Today, we talk about how to advise buyers and sellers on the home inspection and repair negotiating process. We answer the most common questions that home buyers have so you can be prepared ahead of time for them. Also, if you are representing the seller, these are the items to have them be aware of ahead of time so the deal goes smoothly.
Here is the podcast:
The topics we cover include the following:
- Setting expectations upfront.
- What fixes are mandatory after a home inspection?
- Who pays for a home inspection?
- How long does a home inspection take?
- What happens after a home inspection?
- Reasonable requests after the home inspection.
Things I wouldn’t ask for:
- New furnace, air conditioner, or roof just because they are old.
- Hairline cracks in the driveway or foundation scratch coat
- Non-safety related plumbing and electrical items
- Cosmetic issues
- Smoke and carbon dioxide detectors
- Repair items under $10 (bulbs, switch plates)
- Visible items able to be negotiated at time of offer
Most common items:
- GFCI Outlets
- Roof deficiencies
- Electrical panel deficiencies
- Window seals are broken
- Water in HVAC drain pan
- Temperature differential
- Service/Clean HVAC
- Thermal expansion tank missing
- Static pressure too high (above 80psi)
- Wood rot on siding and exterior trim
Kyle Handy 0:03
Hello, hello, welcome everybody to the Monday mastermind, Kyle here. And as you can tell behind me, I am actually in our new house, we literally just got our internet set up probably about 10 to 15 minutes ago. So luckily the guy came right at eight o'clock like it was supposed to. So I am here with you guys. Today we're going to be talking all about the repair process and kind of you know, how to look at home inspections, how to talk to your, your clients, whether you're on the buying end of it, or if you're representing the seller, and, you know, setting realistic expectations for everybody, just to make the deal go as smooth as possible. So, I'm going to give you guys a couple of my pointers, a couple of the, you know, specific examples of some of the items that we asked for some of the things I don't ask for So anyways, we're going to kind of go over all of that here today, it is going to be a little shorter. As far as the topic that we're covering today, I didn't have slides or anything like that that I could prepare for. I got everything. Good. We just got back from Las Vegas last week, we were at a XP convention. And we got back late Saturday night, and literally been moving and getting kind of some stuff in order for the big move, which is actually tomorrow is when we have all of our furniture and things being delivered. So that being said, I didn't want to miss out though, on the Monday mastermind. This is super important to me, guys. You are all super important. I love all of the feedback, everybody, you know, chime in with some suggestions, different topics that we can cover, and it always just you know, being consistent and showing up. And so anyways guys Hey, Steven. Good morning, David. Good morning. How's everybody out there doing today? I hope it's well. Alright, so without further ado, I'm going to get my notes and we will get going here. So, Alright, so first off, you know, I think the first thing that I want to note is, you know, to have a successful repair process take place. Expectation setting is so important up front, whether you're representing the buyer, whether representing the seller, you know, kind of what I do as far as when I talk to the seller is I always make sure they're very clear that, hey, you know, we're going to have to negotiations in this process, you know, we have a negotiation when we accept an offer, and we're also going to have another negotiation when we get repairs done. And so I want to set that expectation up front that usually what we agree on, as far as enough or price, we need to also have a little bit of money still backed into there and still have some money set aside for what's probably going to come on that repair amendment. And so you know, that's very important to have that discussion up front with the seller at the time, of the listing agreement at the time that you're accepting an offer, you know, do it multiple times to make sure that they're very aware that there's probably going to be repairs needed. And I even go as far to saying that, hey, standard, it's about 1% of your purchase price, just, you know, as a rule of thumb, it doesn't mean that's always what it is. That's kind of what I prepare them for. And I do share that and I say, but hey, use that as a, you know, with a grain of salt. Now, just because, you know, it can, it can wildly, you know, change depending on the condition of the house. But what I've seen most of the time is about 1%. If it's a $200,000 house, you know, we'll see to $2,000 in, in repairs, and sometimes that's actually probably a little high, but again, I'd rather be on the conservative side. So that way, if the buyer comes back and ask for, you know, things that might add up to 1000 or 1500 dollars, you know, the sellers pleasantly surprised. And so and then same thing on the buying end, I always tell the buyer like hey, you know, here's kind of the expectations as long as there's not a Something major, you know, it's not like we're going to nickel and dime them for everything. You know, most of the time, it's about 1% of the stuff that we might ask for. Obviously, that all can vary depending on how much or how little it is, we don't just add in things just to make it the 1%. But I just try and set some kind of a realistic guide for them. So that way, they're not thinking that they're going to just be asking for everything that the inspector notes. So again, expectation setting is so so important,
Kyle Handy 4:28
explaining the process and how it actually works. You know, typically what what I like to do in my process, at least for the buyer, is that there are things that are obvious things that we notice right away when we go into the property, you know, even before we make the offer, I like to put those repairs into my offer. I think that it's a little bit harder to justify an offer or a repair amendment on things that were obvious when you guys walked through the house, you know, so For instance, you know, if there's, you know, grading issues or like something that you just know, you know, landscaping or just cosmetic things that are met major, like, you know, rot rot on your facia or trim, or things like this or doors that bind or opening like things that you obviously know, when you're going through that home, you want to make that part of your initial offer, because it becomes harder when you get to the inspection part. And you get to writing that a repair amendment that they're going to believe that you didn't see that and and, you know, and whatnot. Now, regardless, I still know you know, there's some times where people will say, Well, hey, I don't you know, I'm not an inspector, I'm not a general contractor. Like, you know, I didn't see that or I don't feel comfortable asking for it until I know, you know that somebody has checked it out aside from me and hey, I get that too. If that's the case, maybe don't make it as part of your initial offer. But make a note of it to the to the listing agent when you're submitting Allah Hey, just want you to know, here's our offer, you know, there's a couple of
Kyle Handy 6:02
things that, you know, we we saw, while we were walking through, we're going to wait to ask for anything until we've actually made our repair amendment and repair negotiations. But I just wanted to give you a heads up that there's probably, you know, this item, this item, this item that's going to come up, so at least that way you've discussed it, and they know that, you know, potentially that there's going to be something coming with regards to the obvious defects. Now, of course, what the inspection is really meant for, and what the repair movement is really meant for are things that are not obvious, you know, and that's why you get a home inspector to come look at the property, you go out and you know, things like GFCI receptacles, or if there's things that are not grounded properly, or things that are inside the, you know, electrical panel or plumbing types of items that you couldn't have known unless they did some specific tests, then those are, of course, the ones that you want to use that repair amendment for. But that being said, again, so it's really about those extra dictations settings. Let me see here the next thing are. Yeah, so what fixes are mandatory after a home inspection? So, so again, that's not a real, there's not a real clear answer as far as mandatory. Now, of course, if the buyer is getting like a VA loan, then there are going to be some things that the VA will require after the VA has done their appraisal on the property. And so those could be things. The way I like to look at it are things that are extremely, you know, safety hazards or you know, complete structural defects to the property. So for instance, you know, of course, like if the foundation is not not good, then of course, that's going to get noted that's usually a deal killer, especially for a VA offer, found or roofing types of items, appliances, that there's appliances that are missing, that should be there. Like for instance, if there's you know, a double oven and the ovens gone or something like that, you know, that stuff is going to get noted Well, and those are going to be mandatory in the sense that they're going to be required for the VA to give that buyer alone. So you know, either the seller is going to have to make a choice on if they're going to make that repair or not or lose the deal. And then the buyer, same thing they need to know going in that, hey, you are a VA buyer. If we're looking at properties that are very rough, that may be a tough situation for you, a lot of times, you know, they're going to need something that's, you know, maybe small things, cosmetic things, handyman type of items. But if there's anything that's, you know, major defects, wrong with the house, they're not going to get approved on at home, they may be wasting money for option money, they may be wasting money for inspection, all of that kind of stuff. So it's really not in their best interest to be really looking at properties that are meant for investors, cash buyers, or maybe conventional buyers even. But anyway, so as far as mandatory goes, there wouldn't be Other than the VA stuff really be anything mandatory. That gets done most of the time. It's really just kind of between the seller and the buyer to kind of come to terms with what needs to get taken care of. So, all right, let's see going on to the next one who pays for a home inspection? That's another commonly asked question with regards to home inspections. And in that case, it is I would say, every time I've ever done a deal, it's been the buyer. I guess there could be a way that you could somehow finagle a seller into paying for the home inspection. Although that is not the the common practice common practices that the home buyer pays for their home inspection. Ours out here in Texas typically run anywhere from 375 350 kind of on the low end all the way up to I've seen them over $1,000 just depending on you know if there's a pool if there's a septic system, you know, termite kind of inspections, General inspection of the houses large house, so you know, they can range anywhere from you know about on $300 on the low side thousand dollars on high side. And then as far as new construction goes, a lot of times what buyers will do for new construction is they'll get three different stages of inspections. So they'll get an inspection done. Well the home is at foundation stage, they'll get a home inspection done while it's at frame stage before the walls, the drywall and sheet rock is put up, and then they'll get their third one that's going to be taking place at the completion of the property. It's kind of like the final inspection. And you know, keep in mind now most of what we're talking about today is on resale homes. Once you go to a new homes. I mean, most of the time when we get an inspection report back on a new home, we're asking for just about everything I mean that thing is brand new. So even like small cosmetic types of items, those are all going to be asked for on a new home, new construction and most of the time the builder does take care of it. They just send them their subs back in their you know their paint or whoever it is. They can get. They can take care of it. Now on a resale home. It's pretty different I've actually got a list here of some of the items that I would not ask for on a resale repair amendment. And so, for instance, you know, a new furnace, a new air conditioner, or a new roof, just because it's old. That is not something that is typical in this, you know, in this practice, you will again want to set the expectation up front that hey, that's not what this repair amendment for. Now, if it's deficient, if there's things that are broken, things like that, of course, then yeah, absolutely. You know, if you've got your inspection report to back it up, you know, they may need to go out and get a separate, you know, found a or separate roof inspection, you'll get a roofer to come out there or an ATC person to backup what your general inspector said. But in general, you're not just going to say, Well, you know, that roof is 15 years old, you know, I think that it needs to be replaced. I want that as part of my repairs. Now, again, you can you know, you can do anything, right, like, you know, your buyer is your client if they are you dead set on making this happen, of course you have to listen to them. But again, before it ever even gets there, you shouldn't be setting these expectations. So those thoughts are going through their mind because if you don't have these conversations, they're going to be going through this whole process, you know, probably thinking about this, you know, type of an item 10 different times or or more. And then when it comes to it, when you try and tell them no or that you don't think that that should happen. They've already had it in their mind for a long time. So it's a lot harder to change their mind at that point. So make sure again, that you're setting expectations up front that you know, new furnaces, new air conditioners, new roofs, that type of stuff, you don't just repair, you don't put a put that in the repair movement to have a new one put on just because they're old. That's not a typical thing. Alright, so next, we've got his hairline cracks in the driveway or foundation scratch code. So a lot of times, people will see on the outside, you know where the foundations that there'll be like a crack They were maybe even some of its missing or fallen off, or the driveways will have some kind of hairline cracks in them. And buyers if they're, you know, not prepped properly up front, they get worried about that stuff they hear so much about foundations and and what it can cause. So I think it's important to note and hopefully your inspector is also helping back you up on this, that those types of items are not super important. There is a coat a skin coat that's kind of on the outside of the foundation, and if you see cracking and that that's not you know, necessarily, you know, saying that there's anything wrong with the foundation. Now, if the buyer is concerned if if the inspector notes that not only is it cracked on the outside, but you know, there's evidence to believe that there's no more damage inside. Well then by all means, you know, get a separate foundation company out there and have them take a look at, you know, at everything and make sure it's all good to go. But if it's just those cracks, like especially even in the driveway, I think it's worth noting to some people because they don't want always understand that a lot of times those driveways and sidewalks, that's all flat work that's completely important separately from the foundation, it doesn't indicate anything is wrong with the foundation. But again, if you don't have that conversation, buyers minds kind of tend to go all sorts of different directions. So you want to make sure that they note that that's, you know, not something that you typically would ask for or even get worried about. Now, of course, if it's things that are going to be making a hard even park in your driveway, or if it's like an unsafe condition on the sidewalk where the gap is just so big and it's breaking off, well then yeah, you might need to address that. But what we're talking about are like hairline cracks, less than kind of the width of like a quarter or anything like that, even inside the garage floor. Again, same thing. So anyways, alright, so the next thing that we're going to look at is non safety related plumbing and electrical items. So a lot of times you know, they'll you'll see things on air, all sorts of like small little plumbing stuff, handyman type things, all sorts of Small electrical stuff, you know, handyman again, kind of type things, if it's not really safety related, like if it's, you know, like maybe the service panel there is, you know, not it's not grounded or something properly or something that's major and obviously could cause major issues. I mean, those are the things you want to focus on. But if it's just a smaller type item, even like, you know, the hot and cold, you know, being reversed on your plumbing and inside the sink or something like that, again, I typically tell my buyers to fight different battle there, because, you know, chances are, there's probably going to be a few bigger things that they're going to want to focus on, versus some of the smaller types of items. All right, cosmetic issues. I think this is when you know, needs to be noted that, you know, again, if it's a new construction, go ahead, ask away. I mean, hopefully they'll do a blue tape meeting with you where you can go and just, you know, put all the cosmetic issues that you want fixed and they typically will get addressed. But on a resale home, you know, it's not, you know, that that's not typical. The way that it's going to happen, you know, for paint, if it's, you know, uneven paint, or if they, you know, touched it up and it doesn't match quite right, you know, the baseboards are kind of scratched up, or you know, things like that. I mean, that's kind of just what you need to prepare the buyer for that, hey, you know, this is not a brand new home, I just want you to know that cosmetic issues are not something that we typically are going to be able to repair or to negotiate in the repair process. just want you to know that going in. Again, now they can change it and they can, you know, do whatever they want, they can ask whatever they want. But if you have that conversation, you let them know, like, Hey, you know, typically when you move in, you know, you can go and you can repaint you can do whatever you want to do cosmetic wise, but what this is really for is to protect you to make sure that you're getting a safe and sound house, which is what it will be you know, regardless of whatever the cosmetics might be at the time and you buy it so kind of how I talked about that. Even smoke and carbon dioxide detectors. You know, I don't usually ask for You know, for these to be replaced by the seller as part of the repair process. Again, I think that you know, they are important, but I think that it's also very inexpensive and easy item for the buyer to fix once they move in. Plus, they know that they're brand new, they can go out to Lowe's or Home Depot and buy them themselves, install them, or, you know, just get a handyman over to install them that they can't do it themselves. But, but again, you know, that's one of those ones that's very easy to do. It's, you know, less than probably 150 $200 to do the all of the smoke detectors and a carbon monoxide detector, if they have that in that house. After closing any kind of repair item under $10. It'd be funny. I mean, a lot of times you think, you know like that. I'd be crazy saying this, but I've got buyers that will ask for it. They'll say like, you know, switch plates are cracked and they want the switch plates to be replaced out on light switches. You know, things like light bulbs being burnt out and they want the light bulbs replaced. Like all that stuff. I don't clutter up the repair amendment. With it, I mean, that's very easy, you know, super simple stuff to be done. You as a, as a professional, you may want to make sure that you know somewhat you have somebody on your team that is a good handyman, just like, you know, you have a good lender, you've got a good title company, you've got a good home inspector, you need to have a good, General handyman, because that way, I think what what ends up happening is in most people's mind, they'll be willing to concede on these things, if they know that they can trust you, that after closing, it can be done professionally, you know, fairly as far as pricing goes. And so that's where, like, when I have an issue, you know, things that I know that are pretty minor, I will say, Hey, guys, I totally get it. You know, if I was in your shoes, I wouldn't want to fix it either. But you know, that's not typical. And it probably made even, you know, potentially harm the deal, make it harder for us to get the things you really want done. And what I would recommend is you reach out to you know, so instead And after closing and having them just come in before you've even moved your stuff in and take care of those items, you know, in a couple hours or less just depending on what they are. And if you'd like, I'll give you his number, you can call them ahead of time, share with them what these items are, and just get a good feeling that these aren't going to be anything that's going to cost too much. Right. So like they can give them a list. The guy that I recommend, his name is Steve McCleskey and his company is called inspection correction. And that's what his job is he literally goes in, and he either you know, works on the seller side and fixes all the items that the buyer negotiates for the inspection to be done. Or he can go in afterwards for the buyer. And like say for instance, if we negotiated a credit out of the seller to give to the buyer, well then now the buyer has money and he pays Steve with it to go in there afterwards and fix all the items that the seller didn't want to do. Instead just give a credit. So find somebody like that. Ask around in your area. Just get somebody that you can trust that, that you can give out as a reference to your buyer, because a lot of times, that's all that it really takes, you know, if you don't have somebody, then start start going through that buyers mind of like, man, well, I probably won't be able to find somebody or they start getting nervous. When you make it a big deal, you know that it's going to be you know, you don't know what to do or give them a next step in the process. That's when again, the deals can start to kind of kind of, you know, go south and so just make sure that you're prepared for that. Have somebody good on your team have two or three people good on your team? That way you can give them more than one reference if they need so, all right, let's see one of the last ones here. landscaping items again, I don't negotiate for you know, repairs on landscaping stuff plants are dead. You know, anything other than like if a tree is touching the house, or if a tree is caught up in like the electrical lines, or anything like that. That's really all that I would negotiate for, but anything like with you know, we're Just the landscaping, like if the grass is dead or a tree is, you know, dead or anything like that I even, you know, even if the short you know things, sometimes you'll you'll find a plant that's too close to the house. Most of the time, I won't even ask for that if it's not required. I'll just have, you know, till the buyer okay afterwards, you know, you can pull that that plant out, you know, you can make it look how you want, you know, you just never know, if you let the seller do it, how it's going to turn out at the end of the day, right? Because they're leaving, they're done with this house, you know, so you mean that's where you just have to kind of wonder what mindset the seller is going to be in to want to do that type of work. And so, most of the time, I'll say, Hey, you know, I get it, it's, you know, it's something that you can definitely do afterwards. I've got somebody that's great landscaping, let's get them out there. That way they can do it how you want it, and they may even be able to do a couple extra things for you while they're out there. So anyways, Alright, so what else we've got.
Kyle Handy 21:57
Alright, so here are some of the most common items that I do see in a repair amendment that I do recommend that be addressed. You know, either with your buyers or with the seller, and just letting them know like, hey, these are, you know, things that you know, do probably need to get taken place or get taken care of whether this buyer or some other buyer, these are all going to come back on, you might as well just fix them now. So some of these types of things are like GFCI outlets. You know, a lot of times if you got outlets in the kitchen that are not GFCI or bathroom, or that are outside of the house, if they're not GFCI, the inspector is going to note that they need to be and I would definitely recommend you tell the seller or tell the buyer. Hey, let's you know ask for this item. So roof deficiencies. So this is a big one. We see these all the time here in Texas, we get a lot of hail. We get just crazy roofers that don't really know what they're doing. And again, this isn't something like well, the roof is just old we need to replace. This is actual deficient. See that were noted in the inspection. You know, this could be something like missing shingles. I know like I actually just sold my house. And the one of the ridge vents was rich caps was missing on one of the peaks in the house the whole time and the whole time I live there and so didn't even know that the, you know, wasn't even on my inspection report, but when the buyers got when they did see it, and luckily, it was just over a patio, but even still, things like that, that are major deficiencies. Maybe there's flashing that's missing, all this type of stuff is going to be asked for by pretty much any buyer that's out there. And so as a seller, it's you know, better just to get a roofer to come out there, and you know, and take care of that item. So again, that's something where either if you have your inspection correction type of person, then usually like he's a general contractor. So he actually does some of the items himself, the handyman types of things, but then some of the things that need a license, he'll actually do the work for you and he'll go out there and find, you know, a roofer, a plumber, electrician and then that way you get all the invoices, they're all licensed, so you know that it's, it's covered. And that's kind of how he handles that. If not, if you don't have somebody like that, then you're just going to go find a good licensed roofer that you can actually have come out there and work on your behalf for that seller. as that goes, so anyways, so that's one roof deficiencies. The next one, electrical panel deficiencies. We see a lot of these with the electrical panel, where I mean for whatever reason, you know, things aren't labeled properly, things are, you know, oversized as far as the breakers go there, you know, might not be a grounded, you know, might not be grounded properly. All sorts of things that can happen with regards to the electrical service panel, and most of those things are going to be classified under the safety category. So again, that's just something that we typically will ask for, or as a seller, you should expect that you might need to take care of that. And they're usually not expensive things, the most expensive part is you just have to pay a trade call, usually for the electrician or the plumber, whoever it might be to come out there, you know, so you're going to be looking at two $300 minimum. But most of the time, we're not talking, you know, thousands of dollars for most of those types of items. All right, window seals being broken. So this is always kind of, it's like a 5051. I like to ask for him, especially if we're not already asking for a whole bunch of other things. You know, a lot of times my buyers want to be in a home where they can see out of their windows pretty easily. And so and if you guys aren't familiar with the window seals, we have, you know, these double pane glass here in Texas, and I'm sure you know, all over the country. But a lot of times over time, those seals were away, then all of a sudden you start to see like condensation and fog getting into those windows. And so it'll A lot of times when it happens, it'll happen on entire side of the house. Usually it's like where the sun just kind of bakes and beats down. And so what we'll typically do is ask for those windows to be basically all of them looked at by a window company and have them all be re glazed or resealed. And it's not a hard thing to do, it's not like they have to put brand new windows in there. They're just changing up the glass. But usually it ranges anywhere from about 150 to $250 per panel as as far as the windows go. So if it's, you know, a top and a bottom, it could be a couple hundred bucks, few hundred dollars, and then however many windows it is, so it might end up being over 1000 bucks. Most of the time, I do see it being between about 1000 to 1500 dollars, depending on how many windows there are. So a lot of times especially if the buyer wants to be able to see out the windows and if it's a really bad job, like if the seal has really kind of gone sometimes they're just a little bit you can still you know, they look just fine. But if it's really bad and the buyers you know, then of course will ask for it because they're not going to want to you know to close on a house and have to spend 50 1500 bucks, just to be able to see out there windows. The other thing to make sure to is, I mean, I know a lot of times we've thought that the, the job is actually bigger than it is for the windows, but it's actually because some of the windows are just so dirty. That is another thing is like you know, making sure that it's the actual, the seals are broken versus the window just being so dirty. So anyways, the next one is water in the HVC drain pan. We see that all the time. I don't know if that's just a Texas thing or what, but we must be running our air conditioning so hard here that they do sometimes they'll get stopped up like the primary drain and then all of a sudden it's you know, leaking into that pan. If you see water in the pan, or any kind of rust in the pan, which kind of indicates that there used to be water in the pan. It's definitely worthwhile to get an hbic person out there to service and clean the unit. And honestly a minute I we usually ask for an HVDC person to service and clean the unit every time anyways. Even if there's nothing to notice. necessarily on the inspection report, just because most home warranty companies require that there be an invoice showing that a licensed HVDC technician has looked at the property and looked at the hbic. And given it a clean bill of health before they would actually warranty, any types of heating and cooling items. So that's kind of a protection for a buyer. And it's an easy sell to tell the seller the listing agent say, hey, look, my buyer is getting this home warranty, they require that we have an invoice showing that this HVC system was looked at by an HP or licensed hgse company can you know we're going to add that into our repair amendment. I hope that's not a problem. Usually it costs the seller maybe 200 bucks or so to get a company out there to look at it. Give them just that quick invoice. You know, check all the levels make sure it's looking good. And that's it. That's separate again have a you know, independent inspection third party inspections, you know, the the person that comes out there, the general inspector they typically don't have all the equipment like license HDFC company does. So that's why again, the Home Warranty company is gonna require that license hva see tech come out there. And so usually if there's things like rust in the drain pan, if there's, you know, any kind of small minor deficiencies with the HDFC system, you know, we just throw those in there and we say, Hey, you know, these two, three items along with you know, just getting that clean bill help showing that it's, you know, service and clean, that's what we need. So that's into most of our repair amendments. thermal expansion tank missing. So this is one of those ones it's, you know, on the water heater, you know, I don't know, I guess it's a new thing. I don't know exactly when it started. But now you'll you'll probably see that there needs to be this blue expansion tank up at the top of the water heater, and it will show up on just about every single inspection report, if you know if it doesn't already have it. And so like if they have not replaced their their water heater recently, and you know, in the last few years It probably is going to need one of these thermal expansion tanks, I always put it in there just because again, it is a safety item, the inspector usually makes a big deal about it. Now, I know a lot of homes are just fine without one. But all it takes is one house, you know, for that to go wrong. And you know, and you're not going to be looking like a good agent that kind of, you know, took care of your client. And so again, I always just recommend we put that on there. And it's usually not super expensive. It's, you know, probably in that 350 to $500 category. As far as depending on, you know which company you go with and what part of the country you're in, but not not a big one, but it is one that we put into all of our repair amendments, if it's missing or if it's deficient. static pressure is too high above 80 psi. So again, same thing like if they don't have a pressure reducing valve, you know, they're going to need to get one installed. It's not super, super expensive to put in, but it is you know, again, few hundred bucks to play Put it in there. But it's one of those ones that you do want to have it in there. And sometimes they'll have a prv valve in there. But it's maybe not functioning properly, like maybe they have one in there. And maybe it's not set at the correct adjustment, maybe it's too high. And so again, just depending on whatever it is, we want to make sure that that pressure is below 80 psi, just because that's what code is. And as far as you know, all of your pipes and things like that, you want to make sure that you're within the code there. And then lastly, another one that we will ask for. And again, I like to bring this one up in the front, because I want the listing agent to know that, hey, like we're trying to be up front with these people. So if we notice this stuff, like in the beginning, again, I either put it into the contract or at least let the listing agent know about it. But if there's like a bunch of wood rot, whether it's around the trim on the garage doors, whether it's on the chimney on the fireplace, whether it's just all around the house, if they're you know, siding is bad, any of those types of things, you know, we do ask for that too. be done prior to, you know, prior to closing. And so during a repair event and it's again, not nothing too, too hard, but you know, a lot of times and this one doesn't even require a licensed person that, you know, the homeowner can do that they wish, they can have a handyman, come out there and do it. But either way, you just don't want to have the home have wood rot already going into it. And so those are kind of some of the most common ones that we do ask for. It's funny, because I actually did get all this stuff prepared and ready, I went back through like my 10 last repair amendments, and just looked at him and I was like, Oh, yeah, that one gets asked a lot. This one gets asked a lot. And trust me, there's all sorts of other little ones that you can ask for. I think, you know, it's kind of a general note, the good thing to do is get on good terms with your inspector. And just really, you know, make sure that after you receive that inspection report, you know, or before he even sends it out, if he can call you and just kind of talk to you about it and say hey, I know there's gonna be you know, 50 things on here. What are like the five worst things, you know, what do I really need to you know, kind of council my buyer on. And so anyways, and that's kind of the relationship that I have with mine. So that way again, once the inspection report goes out to the buyer, I can be ahead of it, I can call the buyer to, hey, you're about to receive the inspection report, you know, I know it's gonna have a bunch of things on it. I've already spoken to the inspector, he said it's a super clean house. But you know, really, it's just, you know, these three or four items are these five items, and then we kind of go over that. And I asked them, Hey, you know, are there any other ones that you know, after you see this report that you want to ask for? And if they say no, then great, you know, we just go for those ones that were kind of mentioned that they want to go for a few more, I might, you know, kind of analyze and say, Hey, you know, maybe that one's not as important. Maybe you need to talk to you the inspector directly, like if you'd rather give them a phone call right now, and just kind of find out like how important that is. Or maybe we need to go get pricing for it. I might call it my general contractor, and just say, you know, Steve, is this something like how much do you know are we looking at on this particular item? And all that. So now with all that being said, the one other option that, of course, we always have in the repair amendment process is, is getting a creditor, right, but that's always something that's available as well. And this one just kind of depends on your client, right, like
Kyle Handy 34:15
most of the time, the seller, I would say, would prefer to give a credit just because again, they've got so much going on with their move, probably lining up with their next move is that giving a credit is just the easiest way to kind of be done with it. And as a buyer, I actually really like that option I try and have my buyer go that route. So long as the credit is, you know, going to cover the things that we know that need to be happening. And, and the reason why I like that is because that way and I can tell the buyer, hey, you get to you know, pick all of the contractors, you get to make sure that the work is done to your liking. All of the repairs were done to your name after you took ownership of the property. So you know, if you have to have them come back out, you're already familiar with them, and they know that they did work for you versus them. Maybe the previous seller. And so again, the credit is not the worst idea, it's actually a very good idea if the buyer is comfortable with it. And of course, you know, if the seller is comfortable with it, but every now every now and then you'll get a buyer from time to time that they literally just don't want to mess with anything, when they close, they want to literally just get the invoices and know that it's done. When they you know, take ownership of it. And if that's the case, hey, I get it and then you just have to kind of, you know, go with what they want and have those different items be taken care of. But again, the The last thing I just want to end on is it all comes back to the expectations and setting the right expectations up front whether it's with the buyer with the seller, and just keeping them informed of how the process works. So that being said, guys, that's pretty much it. That's what I got for today. I will be back here next week. Hopefully with my my new home office setup. Be a little bit cleaner right now. I'm literally just doing this off my MacBook web. cam and the lights that are above me, so doesn't look quite as nice as what I like for it to. But again, I wasn't gonna miss the opportunity to come to you guys and kind of give you what I wanted to talk about this week. If you got suggestions for future weeks for next week, for any week after, please put it in the comments below. I'd love to hear what you want to hear about what you want to talk about in guys. I really appreciate it. My channel is growing, I'm getting more and more subscribers, which is just amazing to me. And a lot of feedback, a lot of comments, a lot of private messages, on social media, on Facebook, on Instagram, just kind of supporting what we're doing here. So I just want to continue to grow with you guys build this community up and try and provide as much value as I can to you. So I hope everyone has a great day. Make it a great week. It's Monday morning so you got the full week ahead of you. Hope everyone goes out there, get some prospecting done, get some deals in the pipeline, and we'll talk to you next week. Have a good one, everybody. Bye