Need help with my first transaction! Not going to well

[Judy Rodriguez]

Hi everyone,

I am trying to close on my first transaction. The appraisal came back and it’s not looking to good. The selling price started at $385K and was drop to $300K and the buyer agreed to take care of the repairs.

This is what the appraisal said under: Conditions of appraisal: “subject to a home inspection to determine the the property does not have any structural issues, which could significantly impact the value as well as a roof inspection. Also, this appraisal is being done also subject to the following repairs to bring this to C4 condition: Roof, Stucco on exterior, back porch ceiling, and flooring in the kitchen area”.

But the lender can’t get the buyer approved unless the seller takes care of the repairs first. The seller said no because they are selling it “AS-IS” and they also drop the selling price. The buyer does not want to repair the house before closing because he is scared that he won’t get the loan and spend all that money on repairing the house. He wants to make sure it’s a guarantee.

Now the buyer is not going to live in the house he wants to Tear the house down and use the lot for his business and turn the property eventually into commercial.

Is there anyway to make this transaction possible or should the seller stay with the property take the time in repairing and try reselling it again?

Any advice will help. Thank you