After a buyer's inspection, you'll negotiate repairs. Here's how to decide what to do.
Make Repairs When:
Safety Issues
- Electrical hazards
- Gas leaks
- Structural concerns
- Mold remediation
Quick Fixes
- Items a handyman handles in a day
- Cost is known and predictable
- Quality won't be questioned
High-Perception Items
- Active leaks (even small ones)
- Pest evidence
- Items that scare buyers more than they cost
Offer Credit When:
Buyer Preference Matters
- Flooring, paint, fixtures
- Buyer wants to choose contractor
- Buyer wants specific materials
Timing Is Tight
- Repairs would delay closing
- Finding contractors is difficult
Large Projects
- Major work where quality matters
- Buyer wants control over the process
Credit Mechanics
Credits reduce buyer's closing costs, not purchase price. On a $900,000 sale with $10,000 credit, buyer brings $10,000 less to closing.
Lender Limits: Most lenders cap credits at 3-6% of purchase price.
Negotiation Tips
- Get repair quotes before responding
- Credits often cost you less than buyer's worst-case estimates
- Consider the deal as a whole, not each item separately