Home Inspections: Negotiations
The inspection contingency is not intended to apply to minor maintenance items, cosmetic defects, or items which are simply old, if they are in proper working order.
You are not legally required to make repairs, however if defects are found, and you refuse to address the defects, the buyer may have the right to cancel the Contract and would be entitled to the return of the down payment. In most cases the parties are able to come to a mutually acceptable arrangement.
In some cases the parties may agree upon monetary credits in lieu of actual repairs. Any such credits must be approved by the buyer’s mortgage lender.