selling
    December 15, 2024

    Repairs or Credits? What I Actually Recommend to Sellers.

    After a buyer's inspection, you'll likely face repair requests. Here's how to think about them.

    When to Make Repairs Yourself

    Safety issues: Electrical problems, gas leaks, structural concerns
    Simple fixes: A handyman can handle in a day
    Things that scare buyers: Active leaks, pest evidence
    When the fix is cheaper than perceived value: $500 repair that buyers think costs $2,000

    When to Offer Credit Instead

    Buyer has strong preferences: They want to choose the contractor
    Cosmetic issues: Paint, flooring, fixtures
    Timing is tight: Repairs might delay closing
    Large projects: Where quality matters and buyer wants control

    How Credits Work

    A credit reduces what the buyer pays at closing. If they're buying at $900,000 with a $10,000 credit, they bring $10,000 less to closing.

    Negotiation Tips

    • Get repair quotes before responding
    • Credits often cost you less than worst-case buyer estimates
    • Some lenders limit credit amounts (usually 3% of purchase price)

    Ready to take the next step?