Contracts
A Massachusetts buyer obtains a home inspection that reveals a cracked foundation with repair costs estimated at $50,000. The P&S has an inspection contingency. The buyer's options include:
AOnly proceeding with the purchase as-is
BRequesting repairs, a price reduction, a credit at closing, or canceling within the contingency period✓ Correct
CSuing the inspector for the repair costs
DExtending the mortgage contingency only
Explanation
Under a home inspection contingency, the buyer may negotiate with the seller for repairs, a price reduction, or a closing credit, or may cancel the contract and recover the deposit if the inspection reveals unsatisfactory conditions.
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