December 2, 2019 at 3:13 pm #62632
Does anyone know if you can waive all required repairs and recommended repairs with the hand department?December 2, 2019 at 3:27 pm #62637
Required repairs, you might not be able to. Recommended repairs are usually able to be waived fairly easily, but required repairs are on there for a reason. They usually have to do with health/safety/code violations and have to be taken care of one way or another, whether that is the seller fixing it before closing or the buyer doing it post closing.
If the seller does not agree to fix the repairs, then you usually have to fix it post closing and you will need to get estimates of the work and have a rehab escrow set up. This will be added to your loan and it has to be in your affordability so you do not exceed your maximum monthly PITI amount.
Try getting in contact with the HAND department and find out why they put the repairs as required repairs, you may be able to get a waiver if you can prove that it is not necessary but usually the required ones you will have to get taken care of. You may also perhaps talk to your inspector as well because we had some required repairs that were not 100% repaired and our inspector talked to HAND and we ended up getting the repair waived and HAND cleared.December 2, 2019 at 3:45 pm #62640NelsontMember
You can waive recommended repairs. In fat you don’t even need to address them and won’t need to say anything about it.
Required repairs must be addressed. Based on my experience the only time I have seen a required repair approved to be waived if it was indeed going to be addressed, just not soon enough to get HAND clearance in order to close on time. Usually this will fall under the category of not totally putting your house at risk of health and safety violations. For instance if your toilet is clogged. You will not under any circumstances be allowed to close without getting that fixed if you have only 1 toilet. However if you have 3 toilets for instance and each of the other toilets are fully functional within a full bathroom with operational sink and bath then that 1 toilet might be able to get waived in order to get HAND clearance but still needs to get fixed, possibly even before closing.
As @Peapod0609 mentioned try reaching out to HAND to get a better idea. You can also take the webinar that allows you to ask questions that will indeed be answered by HAND employees.December 2, 2019 at 4:05 pm #62643
So now that we have required repairs what are the options if the seller refuses to repair them? they already reduced the price and are giving me a concession.December 2, 2019 at 4:18 pm #62645NelsontMember
Find out from HAND if they can be waived or fix them yourself. Those would be your 2 options.
I think it’s worth noting that these are usually things that would pop up on every inspection from every inspector under just about every circumstance so unless the seller is listing the property “As-Is” then every buyer will have the ability to ask for the repairs and walk away if not made and the seller would have to know that it will take the right buyer to not worry about it in order to make the sale which means in that case the seller would have both improperly listed the house without the “As-Is” notation and is willing to sit there and wait for the right buyer to come along.
December 3, 2019 at 9:40 am #62663
- This reply was modified 1 week, 4 days ago by Nelsont.
If the seller is not going to fix the repairs the repairs still will likely have to get figured out before closing. If they are willing to offer a concession for the repairs as you mentioned, that is good. If they take some money off the sale price or contribute to a rehab escrow, you can do that to get the repairs fixed.
Say they reduce the price buy $3,000 or something, you can then set up a rehab escrow with that amount and you can use that escrow after you close to fix the repairs. I would try and get some estimates (you might need them for HAND anyways) and whatever the estimate is for the repairs, try to get that much in concessions or as close as the seller will give you.
Definitely try to attend a HAND webinar, the times are listed on NACA’s website.December 5, 2019 at 4:04 pm #62819
Hello all, just an update regarding my HAND process, I was in fact able to waive all required and recommended repairs on the HAND list, I was just notified that I was HAND cleared so im guessing I am done with them unless the appraisal finds anything that needs repair. This part of the process was by far the best when it came down to communication and getting in touch with my hand specialist who was amazing!. So now I am waiting on my MC to contact me for credit access he received the signed contract yesterday afternoon and I have emailed him to verify if he received it and if he has any openings for me to go to the office, I have not even got a response, I know it has only been just over 24 hours but the least he can do is let me know he received the contact and that he will contact me with further information. I have a bad feeling about the rest of this process unfortunately.December 5, 2019 at 4:47 pm #62823
@firmeh89 congrats on getting HAND cleared! That’s one of the more somewhat major hurdles, so that is great to hear.
If you don’t hear back by tomorrow I would follow up again, you want to get your credit access appointment done as soon as possible once going under contract.December 5, 2019 at 9:33 pm #62834
This is good to know. My seller agreed to all repairs in an addendum but didnt complete 2 of the repairs that was initially on my recommended repair list. If they dont complete it timely I wonder if I could move forward.December 6, 2019 at 9:02 am #62852
One of my repairs was not completed fully, and it was a required repair. It was a GFCI outlet in the bathroom that was not resetting properly. My inspector ended up calling my HAND specialist and they then sent me a form to fill out and we got it waived. It was basically saying we were satisfied with the repairs. Then again, my inspector did help us out, saying that the outlet was repaired when it wasn’t quite working right, the reset button didn’t work. HAND wanted pictures and he didn’t have a picture of that issue, but after talking to HAND they agreed to clear it as long as we filled out the form. It was a minor issue and my wife’s father used to be an electrician, so he is gonna take a look at it anyway.
Not exactly the same issue as you maybe but close. You can always try to get things waived. Worst they can say is no. You said it was recommended repairs, though? If it was a recommended repair you should just be able to waive it, it shouldn’t be hard to do. As long as it is something you can live with and/or fix down the road, just go ahead and waive it with HAND. Now if it does get waived, don’t tell the seller that if they are still planning on getting it fixed, just let them fix it, even if HAND waived it haha.December 6, 2019 at 10:18 am #62854
It was on HANDs recommended repair list but since all the repairs were put on the addendum and signed by the sellers they appeared on my conditions.
Its definitely not major, I would waive it. It just annoying that the seller agreed to fix everything but didnt. Im assuming it was an oversight because the bigger items were addressed properly. I just hope it could be resolved quickly. Ill have to follow up with HANd.December 6, 2019 at 10:34 am #62857
Well HAND just called me and said I should be good to go and will be cleared in 30 mins.
I will say NACA has been on it. I know we always here about the bad, but I also like to highlight the good.
Here to share some of that good vibeDecember 6, 2019 at 11:22 am #62862
Very nice, glad that they will get you HAND cleared shortly. And as I said, even though it is cleared by HAND try and get the seller to fix it anyway. Of course if they’re gonna be stubborn about it, you can just drop it as you said you are willing to waive it. But the seller doesn’t need to know that it is HAND cleared, if that makes sense.
It’s all part of negotiation!December 6, 2019 at 11:43 am #62871
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