Posted by Ed Copp on November 10, 2002 at 09:14:20:
A roof that was expected to last two years or less would be considered to be a defect.
Can buyer back out? - Posted by xgkx
Posted by xgkx on November 06, 2002 at 18:48:08:
I am selling in NJ Contracts are signed and we are out of attorney review. Engineering inspection results show [Roof Structure: Have a qualified contractor evaluate and repair the roof system to prevent a water leak; shingles are cracked, curled and worn.] We had a roofer come out and their statement was that the roof was old but there were no leaks and it could, in its current condition, last at least 2 more years. The buyer’s roofer states (of course) that the roof needs to be replaced. Buyers say: replace the roof or they are backing out of contract. Can they do this? The roof does not leak! Inspection report states this!
Re: Can buyer back out? - Posted by John Merchant
Posted by John Merchant on November 07, 2002 at 13:09:16:
Even if buyer had NO legitimate weasel clause, and NO good reason for backing out, FYI, Buyer is rarely tagged by a court and nailed for backing out without good reason or legitimate excuse. So I wouldn’t waste any more time chasing an unwilling buyer. But this should cause you to get more down payment next time, and don’t let the buyer insert any weasel clauses, and sell the property “as-is” so buyer knows upfront that he’s gonna have to pay for any & all repairs or problems he uncovers.
Re: Can buyer back out? - Posted by River City
Posted by River City on November 07, 2002 at 10:00:08:
Does your contract address who will be responsible for repairs? Does it state a maximum dollar amount of repairs to be paid by the seller and buyer?
Most lenders would require the roof to be replaced if the remaining life is only two years. If the appraisal on the property called for a roof inspection, then the mortgage lender is going to depend on the roofer’s inspection to protect their interests in the property. Evidently the engineering inspection indicated that there was a problem with the roof because they called for an inspection to begin with. Another issue, is the valuation of the house dependent on the roof being replaced or was it valued “as is?” The lender can actually refuse to lend money on the home in its current condition. Does the borrower have enough funds to replace the roof prior to closing? If the borrower does not have the funds to replace the roof, the lender can deny the loan for insufficient funds for closing.
You know the roof is in very poor shape. A question for you is if you were purchasing a home, would you want to replace the roof within two years of purchasing the home? I know I wouldn’t.
Re: Can buyer back out? - Posted by xgkx
Posted by xgkx on November 07, 2002 at 13:49:53:
I certainly wouldn’t mind replacing the roof - everything else in the house is brand new (from systems to intererior). I purchased it myself only 8 months ago and the roof report was identical, but because it didn’t leak, I didn’t care. Engineering inspection was for the entire home (common practice in my area) not specifically the roof. I disclosed the age of the roof in the sellers disclosure and the buyers had no problem with it then. Contract says seller must “correct or cure any of the defects set forth in the engineering report”. I guess the question then is, is an old roof actually a defect??