All Forum Posts by: Sejin Kim

@Jenni Lee

Congrats again on taking steps toward your first rental property — that’s a major milestone!

It sounds like you’re doing everything right: you had an inspection, brought in contractors, and now have a clear picture of the property's condition. The issues you've found — especially the original HVAC, leaking plumbing, and outdated electrical — are significant and go beyond typical wear and tear. These aren’t cosmetic fixes; they’re essential systems that affect safety, functionality, and long-term value.

Given the $1,500 plumbing bid and a $16,000 HVAC replacement (plus other minor repairs), asking for a $10,000 price reduction or credit toward closing costs is very reasonable, not greedy. You’re simply trying to make the numbers work based on the property’s current condition — and in what looks to be a softening buyer’s market in Sacramento, you’re in a better position to negotiate.

It’s perfectly okay to communicate that while you're excited, you’re also willing to walk away if the deal doesn’t align financially. Being upfront and professional sets the right tone — and shows that you're serious, not emotional.

Let us know how this one goes for you...

I would ask above what you are willing to accept so there is room to wiggle. HVAC is something you would have seen when you walked it. If an HVAC is old I would note that before offering, seller can argue you saw that before hand. When you send the resolution list out why you are asking for those items, you'll share the inspection so they'll see that when you send over. From there negotiate and see if it makes sense, if it doesn't walk away. 

Thank you! It is very old, inspector recommended to get a new one. 

Look at the install date on the HVAC, often it is written on there in pen or marker. Look up with an internet search on the lifespan of the item to find what percent is 'used up' and multiply that by the cost of a new one. That's your ask. Your prior negotiations were based on not having the knowledge of the issues - that's why you get an inspection. You can always negotiate down on the repairs if you want.

Of course it's better to have your own representation. "Dual representation" is an oxymoron; one agent cannot balance two opposing interests without giving bias to one side or another, either directly or indirectly. 

Contact the HOA yourself. See if they will give you an estimate of the assessment for the property. They might refuse since you are not the owner. In that case, get the seller to call. Ideally, you want something in writing, but that is probably unlikely since no one will want to stand behind a not-yet-final number. You should be able to get something like the assessment will not exceed X.

As to the negotiation with the Seller, what are you willing to accept for the assessment? You could agree with the Seller that you will accept up to $10,000 in the special assessment and the seller covers the remainder. Is that still a good deal for you? What if it is $30k? Check your model to see what works and how much you are willing to accept.

Contact the HOA yourself. See if they will give you an estimate of the assessment for the property. They might refuse since you are not the owner. In that case, get the seller to call. Ideally, you want something in writing, but that is probably unlikely since no one will want to stand behind a not-yet-final number. You should be able to get something like the assessment will not exceed X.

As to the negotiation with the Seller, what are you willing to accept for the assessment? You could agree with the Seller that you will accept up to $10,000 in the special assessment and the seller covers the remainder. Is that still a good deal for you? What if it is $30k? Check your model to see what works and how much you are willing to accept.