Bank is bullying us to close

[Derrick K.]

hello, I am hoping to get some help related to a sticky situation. This is related to a bank owned property which after inspection indicated there was black mold in the basement and first floors.  The cost to remove the mold was approximately $25,000 but when approached to the bank they refused to cover the costs.  We provided a final offer that they would use a certified mold remediator to remove the mold and then re-test to make sure it was acceptable levels. They went ahead and cleaned the mold utilizing a company that does that do this type of work i.e. they were not certified and they did not remove  the mold as per standards. They retested in certain locations, strategically, so that the results  would come back clear. We went back to check remediation and found that the drywall where the mold was was not removed and other areas where it was mold was also not  treated. We then went ahead and said you have to go back to our vendor and we would even split the cost with the bank to remediate the mold. They responded with a letter stating the closing date 10 days away from today's date and if we do not close they will pursue legal action. 

This was quite shocking to us and we will be talking to the lawyer tomorrow but I also wanted to get your thoughts on response and if you ever have to do a deal with this kind of situation. Thank you!

[Tim Lindstrom]

@Derrick K.

Sorry to hear you had a bad experience.  I wouldn't stop dealing with banks because of this.  You just need to deal with them differently.   I never ask for anything to be fixed.  I always ask for a reduction in price instead.  If you ask for things to be fixed, it will most likely get done as cheaply as possible.

If you find another good bank owned deal,  don't let this experience scare you away from making some money.