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Property Damage While Under Contract: What Do You Need to Know?

Property damage while under contract? It can happen and here’s what you need to know! Bonus tip: work with an experienced Realtor!

property damage while under contract - Gitta SellsEveryone hopes to sell their home without incident, but sometimes nature has other plans. Unfortunately, natural disasters such as hurricanes are unpredictable and unavoidable. If you are selling a home and incur property damage while under contract, it is crucial to know what to expect and how to navigate the situation. According to Florida Realtor, here’s what you need to know!

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Keep Everyone in the Loop

Work closely with your Realtor to keep everyone in the loop. Your Realtor will relay all pertinent information to the buyers. This includes the extent of the damage, cost of repairs, time frame to complete all damage, etc. Property damage while under contract is a stressful time, but keeping the lines of communication open will help keep every party involved calm.

Review Contract

There is often a clause called “Force Majeure” or “Acts of God” in purchase agreements for situations beyond the buyer’s and the seller’s control. The provision will tell you how to proceed and the rights of both the buyer and the seller if the property is damaged during the transaction. If buyers and sellers agree, they are free to amend the contract based on the situation.

Homeowners Insurance

It is advisable to file a homeowners insurance claim as soon as possible of the property damage. Carefully itemize all damages through notes, photos, and videos. Be sure to timestamp both videos and pictures. When making repairs keep all receipts and make records of everything you do to the property.

What is the Lender Saying?

Ultimately, the lender must be satisfied to approve the loan. Your home buyer should check with the lender about the re-inspections and re-appraisals required to approve the loan. Be sure to ask about additional costs, deferment options, and the time frame you face before the property is cleared to close.

An Experienced Realtor Has You Covered!

Dealing with property damage is a stressful situation in itself. Add the sale of your home, and the level of stress goes up a notch, to say the least. Partnering with an experienced Realtor means you can focus on making the necessary repairs to your home while your agent handles all the details on your contract!

With over 32 years of experience in Central Florida real estate, Gitta and her team will walk you through every step of the process. Should you incur property damage, we will expertly navigate your real estate transaction to give you the best outcome possible. Feel free to reach out at 407-330-2181 or gittasells@gitta.com! Get started selling your home today!

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