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  1. #1
    Join Date
    Oct 2010
    Location
    California
    Posts
    58

    Default HI and also the Buyer

    Hello fellow HI's, I recently made an offer to buy a home here in California. I did my own inspection and found that the Thermostat did not work as a result was unable to inspect the heating system. So I did a visual inspection and a few red flag concerned me so I requested that an HVAC tech inspect the property (a foreclosure by the way) they were reluctantly so I had it done anyways. The HVAC tech found a varietay of problems with the system and red tagged it. Because of the age 35 plus year the said it would be difficult to find parts for it. He also said it is most likely best to repalce it. My question to HI's who may have had a similiar situation in the past what do you HI's think the bank will do replace it, try to repair it or tell me to go take a hike. Little more info I have FHA loan and the prop is a Foreclosure. Your thoughts and time is appreciated.

    Rick

    Similar Threads:
    Inspection Referral SOC

  2. #2
    Join Date
    Mar 2007
    Location
    Mesa AZ
    Posts
    1,181

    Default Re: HI and also the Buyer

    All you can do is ask. I've seen go several ways..
    If it was me I would use the bird in the hand attitude. I got the money and ready to close. Give me a new unit or credit for an new unit, or I'll walk.

    Phoenix AZ Resale Home, Mobile Home, New Home Warranty Inspections. ASHI Certified Inspector #206929 Arizona Certified Inspector # 38440
    www.inspectaz.com

  3. #3
    Join Date
    Mar 2007
    Location
    Columbus GA
    Posts
    3,746

    Default Re: HI and also the Buyer

    You can ask for a reduced price, but don't expect one.

    ' correct a wise man and you gain a friend... correct a fool and he'll bloody your nose'.

  4. #4
    Join Date
    Oct 2010
    Location
    California
    Posts
    58

    Default Re: HI and also the Buyer

    Hey Dan, thanks for your prompt reply. Thats what I had in mind, as you may have guessed my realtor would prefer I look the other way but that isnt going to happen. I believe that the bank knew the condition just didnt expect that an HI would be the buyer. One of the panels had been previously removed which made me believe that someone may have looked at it. I figure others will find the problems so its not going to go away. Thanks again.

    Rick


  5. #5
    Join Date
    Mar 2007
    Location
    Mesa AZ
    Posts
    1,181

    Default Re: HI and also the Buyer

    Quote Originally Posted by Rick Ramirez View Post
    Hey Dan, thanks for your prompt reply. Thats what I had in mind, as you may have guessed my realtor would prefer I look the other way but that isnt going to happen.

    Rick
    Heck you got a good realtor. Around here the ones looking for any excuse to close, tell the buyer , don't worry about it, the two year warranty that the banks paying for will take care of it.

    Phoenix AZ Resale Home, Mobile Home, New Home Warranty Inspections. ASHI Certified Inspector #206929 Arizona Certified Inspector # 38440
    www.inspectaz.com

  6. #6
    Join Date
    Nov 2009
    Location
    St Paul, MN
    Posts
    1,628

    Default Re: HI and also the Buyer

    FHA won't approve the loan with a red tagged furnace.

    MinnesotaHomeInspectors.com
    Minnesota Home Inspectors LLC
    ASHI #242887 mnradontesting.com

  7. #7
    Join Date
    Mar 2007
    Location
    Orlando, FL
    Posts
    1,339

    Default Re: HI and also the Buyer

    Quote Originally Posted by Ken Rowe View Post
    FHA won't approve the loan with a red tagged furnace.

    Agreed.

    Show them the inspection report and replacement estimate and they'll likely fix or replace it, although they still may tell you your deals off; the next buyer will get the new furnace.


  8. #8
    Join Date
    Mar 2007
    Location
    Healdsburg, CA
    Posts
    1,741

    Default Re: HI and also the Buyer

    This subject brings to mind another question.
    Has anyone ever been called out to inspect a home they built when they where a building contractor in another life?
    If so, did you share that info with your client and/ or their Realtor?
    And if you did what was their reaction?

    Jerry McCarthy
    Building Code/ Construction Consultant

  9. #9
    Join Date
    Mar 2007
    Location
    Santa Rosa, CA
    Posts
    2,476

    Default Re: HI and also the Buyer

    Quote Originally Posted by Rick Ramirez View Post
    Hello fellow HI's, I recently made an offer to buy a home here in California. I did my own inspection and found that the Thermostat did not work as a result was unable to inspect the heating system. So I did a visual inspection and a few red flag concerned me so I requested that an HVAC tech inspect the property (a foreclosure by the way) they were reluctantly so I had it done anyways. The HVAC tech found a varietay of problems with the system and red tagged it. Because of the age 35 plus year the said it would be difficult to find parts for it. He also said it is most likely best to repalce it. My question to HI's who may have had a similiar situation in the past what do you HI's think the bank will do replace it, try to repair it or tell me to go take a hike. Little more info I have FHA loan and the prop is a Foreclosure. Your thoughts and time is appreciated.

    Hey Rick,

    Seems to me that it is a health/safety requirement. I would push them around to get a new furnace. At best, they might go for like replacement. If it were me, I would pay the difference and have a high efficiency furnace installed.

    Rick
    Quote Originally Posted by Jerry McCarthy View Post
    This subject brings to mind another question.
    Has anyone ever been called out to inspect a home they built when they where a building contractor in another life?
    If so, did you share that info with your client and/ or their Realtor?
    And if you did what was their reaction?
    Jerry,

    I have not inspected a home that I built, but I have inspected homes that I have worked-on. I told them verbally and disclaimed it in the report. Of course, everything I did was perfect!

    Department of Redundancy Department
    http://www.FullCircleInspect.com/

  10. #10
    Join Date
    Oct 2010
    Location
    California
    Posts
    58

    Cool Re: HI and also the Buyer

    I would like to say that my Realtor was great, but he is just OK. If I didn't push for the HVAC inspection, he would have loved that I look the other way. Yes red tagged and an FHA loan, I'm hopping the bank will do the right thing and repair or replace. The HVAC tech said that repair may not be an option too old, most likely replacement. I'm hoping the bank will replace. It's the not knowing on what they will do that sucks. I figure that they could use some of that bailout money to do the work (most likely they have already used it all up in bonuses). Still looking forward to in-put from anyone who may have been in the same or know of someone that may have similiar transaction.

    Thanks again,

    Rick


  11. #11
    Don Burbach's Avatar
    Don Burbach Guest

    Default Re: HI and also the Buyer

    Around here appraisers are making sure the heating system works, water heater is lite, roof looks ok and other systems in the house are functional. Compare this to the loose drive-by' appraisal of yesteryear. Then, lenders are calling for fixes and asking for re-inspections(ugh).

    Red-tagging a heater is a good thing. Takes the subjectivity out of the inspection. I love when PGE comes in and disconnects the gas and caps the line. I hear cases where the REO bank suddenly becomes more negotiable.


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