A Mesa buyer's inspection reveals a cracked foundation requiring $15,000 in repairs. The buyer requests the seller make the repairs, but the seller refuses. The buyer's inspection contingency deadline is tomorrow. What are the buyer's options?
Correct Answer
B) Cancel the contract or negotiate alternative solutions before the deadline
The buyer can cancel the contract based on the inspection findings or negotiate alternative solutions (such as price reduction or seller credits) before the contingency deadline expires. Option A unnecessarily gives up buyer rights. Option C is incorrect as credits aren't automatic. Option D is not available as sellers cannot be forced to make repairs.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Contract termination occurs when a contract is ended or discharged, releasing both parties from their obligations. A contract can be terminated through performance, mutual agreement, operation of law, or breach.
A counteroffer is a response to an original offer that changes one or more terms of the offer, effectively rejecting the original offer and creating a new offer. The party who makes the counteroffer becomes the new offeror.
Earnest money is a deposit made by the buyer at the time of the offer or shortly after to demonstrate good faith and serious intent to purchase the property. It is also called a good faith deposit.
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