If you’re thinking of selling, never neglect to make your agent and buyer aware of contracted upgrades you’re paying off. Today, we’ll share a story that illustrates why this matters.
For today’s discussion, the Canovo Group’s own Talina Jensen joined me for a discussion about a very interesting scenario we encountered not that long ago. Basically, Talina was working with a seller whose home was equipped with solar panels and fiber-optic internet—two fairly uncommon amenities in our general market.
After this seller found a buyer and their deal closed, they were informed by the seller that their utility bills for these amenities could not be canceled. They would either need to be paid in full or transferred to the new buyers, who apparently had never been made aware that this would come to pass.
Fiber-optic internet is considerably more expensive than other types of internet connection, so this left the sellers in a bit of a predicament. After all, someone has to pay off the bill, and the buyers weren’t at all interested in doing so.
Unfortunately, this is not a unique situation. When an upgraded property is sold before its added amenities have been paid off in full, the buyer and seller must come to an agreement as to how this bill will be handled after closing. This can be an especially difficult problem to work through if the addition of this payment would render the buyer incapable of securing their loan.
The bottom line is that transparency is key. Full disclosure is a contractual obligation on the behalf of the seller. If there is any amenity within your home that you’re paying off as part of a contract, it’s imperative for you to make your agent aware so that they can guide you through the necessary steps and adjust your transaction accordingly.
Hopefully, this conversation has been enlightening. If you have any other questions or would like more information, feel free to give us a call or send us an email. We look forward to hearing from you soon.