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Buying or Selling a Home/can i be sued after selling a property for an inspectors negligence

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Expert: - 7/13/2009


Question
I am an investor in Michigan,  I buy distressed, fix them an sell them to first time home buyers.  I recently sold a home in June to a young couple, part of the agreement was to replace the windows and a sewer pipe.  Now its middle of July and I am finding out thru my realtor that they are having a prblem with the hot water heater, an outside spicket,the chimney, and the washer that the inspector found to be in working condition. They want me to pay them $814.00 that they have incurred plus pay for a home warranty.  If I don't comply they"ll take me to court.  Is this possible?  There were no problems with this property at closing. Could you give me some advice on this.

thanks

Answer
Hi Penny... well here is the thing... anyone, can sue anyone, at any time, for darn near anything....

So ask yourself... "is $814.00 + the cost of a home warranty $400.00 a better price to pay?"... I would say "yes!"...

The home inspector is not a god, he missed something...perhaps, impossible to tell later on,  I will assume somewhere on his paperwork/contract he is liable "to the cost of the inspection $2-500"... and holds no liability, he was not party to the transaction...

Selling a flip... I hope you used licensed contractors, who carry insurance... this can be a very costly career... do what is right by the client... what they are asking for is very little in real dollars at this time...settle quickly it is usually the lesser alternative...

Hopefully you also carry and E&O policy (Errors and omissions insurance) as the market trends further down, buyers will become more and more disgruntled with their purchases and some simply want someone else to pay for everything... they don't want to take responsibility for anything including their inspections and due diligence..

Good luck, do let me know how your faired in this deal!

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Connie Wildasinn-Broker,GRI,RealtorŪ

Expertise

Broker,GRI,RealtorŪ, Investor since 1979. Buying or Selling Residential and Income/Investment Properties, How to understand the process, how to negotiate through the transaction, What to Look for - But more importantly 'What to lookout for!', How to tell if the time is right - or hold on and wait. Why not to listen to your friends and even your family members, Who really has your best interest at heart?. Understand why any market is a good market and how to spot a good investment for you! If you are looking in California.. check out my website www.MetroCalBrokers.com and if you need assistance in a neighborhood I don't service, I will locate a local agent to that area who actually knows their profession and can assist you in your needs!

Experience

4th generation Realtor in the real estate business, I have helped for over 2 decades clients buy and sell, I am the owner of a local brokerage in the Los Angeles /Long Beach area, and have been a top producing agent in the area since I became licensed. Working through a deal is different to every client, no two people or deals are exactly the same. Knowing how to bring professional advise to the table with clear and concise understanding of real estate world. I can help you handle your buying, selling and investing, managing a 1031 Exchange, working with Equity Sales, Probate, Pre-Foreclosure Regular and Short Sales there is little that I have not seen come across my desk over the decades!

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NAR, CAR, WCR, ABR, e-Pro, GRI, BKBIA, CHNA,SSG

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Broker Agent Magazine Long Beach Business Journal Long Beach Press Telegram Signal Hill Tribune Grunion Gazette All Experts Zillow - Lead Agent - Advise Expert Truila - Advise Expert

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Broker-owner, RealtorŪ, GRI,e-Pro, SSG-Short Sale Certified

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Managing Broker for MetroCal Brokers. We merged my old brokerage with MetroCal this year, and we look forward to expansion and growth moving forward. We currently employ 30 Realtors and growing. 15 years running top selling agent in Long Beach, South Bay area California. Top Producer 5 years straight Re/Max, C21, Realtyworld.

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