@Anonymous wrote:
Hi all!
So the contract has been signed, the closing date is set (11/24), reams of documents send to the LO, rate has been locked, the inspection completed, and the Notice of Inspection sent to the Seller...
Now I'm spending my "free" time looking at the message boards and finding things to worry about. ;-)
Here's one: During the Inspection, some typical things came up...minor electrical (double tapping), minor plumbing (very small leak at a sink valve), etc. I've requested these be fixed before closing.
There is also one panel of the driveway that failed and is now tipping the wrong way, sending some drainage right back towards the house. I know this is a big deal, and asked for a $3,000 (per estimates I had done) discount off of the contract price so I can deal with having a new driveway poured in the spring. With it being winter (big time) in Colorado right now, having this repaired before closing would be near impossible...plus I would want to be in control of the contractor and the work being done...not the seller.
But, will the FHA appraisal demand that this be fixed before closing, since it is a site drainage issue?
Thanks!
-RT
There is no way of knowing what the FHA appraiser will do. If I am reading this correctly, you are negotiating for this in the contract. That is very important. This is something that may or may not be noticed by the appraiser (especially if it's under snow). If the needed repair is addressed in the contract, that draws attention to it.
If I understand the procedure correctly (and that's a capital IF)...if the appriaser calls for repair, it is then up to the FHA-approved lender to require the repair or to waive it. Or, the lender can require it be done when weather permits and may escrow 1 1/2 times the amount until the repair is completed. This is the lender's call. Some lenders never escrow. It is a lender-by-lender decision. If you get this repair cost off the price of the house, you may have to then provide the escrow money. If the seller is paying for it, then the escrow money will be held from his proceeds....IF it is escrowed at all.
Please post how all this turns out. Winter is coming (...or already here in some places), and it will be interesting to learn what lenders are doing.
