Greenwitch, yes. We are going to get our own contractor to look at the property.
Around here, if you ask for a credit, I believe that ends the existing contract and the seller can walk.
How bad is the pest report? Does the property have an existing termite contract?
Well… I will know more when the contractor looks at the property.
EMD = earnest money deposit
The termite report section one is JUST a point of negotiation and an indication of the condition of the home. It is mostly estimated too high because no one will use the termite company to do the repair. As a buyer you can demand a reduction in that amount. If agreed it is MUCH better to have it reduced in purchase price than receive a cash payment, because a reduction in purchase price is going to have long term effect on prop tax. The credit should be a reduction of the down payment.
I thought it was a no contingency contract. I must be confused,
Artloversplus, thanks. I appreciate it.
Jym626, My daughter gets to bring her own people in to inspect the property. That contingency was written into the contract. If there are problems, there is going to be more negotiating.
Artloversplus is done. Congrats.
Ah you did include an inspection contingency. My DS said some of the bids he’s lost to don’t even include inspection contingencies. The house he is bidding on he will include an inspection clause. One house he paid an inspector to check out prior to the bid.
One thing about the termite report is it only deal with structural not cosmetics. So if the kitchen cabinets are missing that won’t be on the termite report. And the roof, plumbing and electrical are not included.
In Some listing there is a statement “seller allow section 1 in termite report”.
Jym
You are confuseD with my contract and Dstark contract
thought so.
Artloversplus, the report does say some things aren’t included in the termite report.
How much is section one Total? We only ask the value not the details. From that point experienced agents will know the condition of the home.
Do you have an agent, Dstark?
Yes. We have a very very good agent. I don’t want to disclose the dollar amount right now.
We are going to discuss this tomorrow with the agent.
I wanted to get an idea what I could expect.
When we sold our house recently, there were active termites which couldn’t been seen until we had moved all our stuff out. Luckily, this was before the house went on the market so it was visible to the new owners from the start. Since we had an existing termite contract, it only caused a small blip in the proceedings.
In CA termite report goes way beyond the actual termite conditions, it includes everything structural, the section 1 total amount is like the SAT score, it’s an indication of the health of the home. If the amount is zero it is a perfect house, at around 10,000 you really have to start worry about the integrity of the structure. Most of the tear downs have a score over 25,000 for a standard home.
Why would somebody prefer to use a lawyer instead of arbitration in residential real estate transaction if there is a dispute?
To reduce frivolous lawsuits! Lawyer is more expensive, ppl think twice before drop $5000 on a lawyer.
Did they refuse to initial the Arbitration clause?
Yes. The seller wants lawyers involved in a dispute. (It’s a stalling tactic).
I will have more to say tonight. 
You still use a lawyer in arbitration. The difference is between a lawsuit in court or arbitration. Arbitration is generally cheaper and quicker than a lawsuit ( though not always). You generally get more pre-trial discovery in a lawsuit. There are also appellate rights in a lawsuit that you don’t have in arbitration. Arbitration is private; lawsuits are public. Given that litigating in court is usually cost prohibitive, arbitration clauses often make sense in residential real estate contracts. Disclaimer: i’m a lawyer who has participated in many large scale business arbitrations and countless lawsuits; however, I’m not a real estate lawyer, do not represent individuals in connection with these kinds of contracts and have no experience with real estate arbitrations so my comment is essentially worthless and should not be relied on!
The deal is hung up because the seller won’t accept arbitration in a dispute.
In the mean time, another bid came in and that was also inferior to my daughter’s bid.
So the seller’s broker wrote up an agreement and said congratulations to my daughter.
We have a deal.
Except we don’t…
The seller still won’t accept arbitration.
I don’t get it unless the seller is trying to stall so she can see more bids.
Ny daughter’s bid expires tonight. My daughter had agreed to everything except the lack of arbitration.
The seller’s broker knows they have until 8 tonight to sign the deal with arbitration.