Question
A seller wants to sell a cabin he owns in a rural area near a lake. A friend hears about it and asks the seller
A seller wants to sell a cabin he owns in a rural area near a lake. A friend hears about it and asks the seller for directions so he can go and look at the property. The buyer follows the directions to a property that he believes to be the seller's cabin and decides that he would like purchase it. A broker is asked to write up the contract and the buyer and seller agree to the terms and sign it. The purchase agreement contains an inspection contingency. The buyer is paying cash, so there is no need for an appraisal or a loan contingency, but the buyer orders an appraisal anyway for his own information. The broker attends the inspection on behalf of buyer and meets with the parties to go over the inspection report, which includes several broken windows and apparent wind damage to the roof. The buyer is now concerned that there are vandals in the area because he did not notice any broken windows when he saw the property. The broker, however, thinks the damage appeared to be of long standing, with leaves and dirt on the floor near the broken windows and cobwebs in the openings.
a. Advise the seller to repair the property so that it is in the same condition that the buyer observed when he decided to purchase. b. Have the buyer meet with the inspector to discuss further details of the property, as it now seems possible that there has been a mistake. c. Discuss with the seller whether he was aware of the damage to the cabin that was not mentioned in his property condition disclosure. d. D. Obtain the inspectors photographs of the property and have the seller verify that the property pictured is the one he is offering for sale. e. Make an appointment to meet the parties at the property and complete the request for repair letter on site. f. Advise the buyer either to cancel the contract based on an unsatisfactory inspection or to negotiate a reduced purchase price.
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