Selling a Home to the Neighbor Next Door in Del Paso Manor

2416 Avalon Dr, Sacramento, Ca 95864 was offered by Elizabeth Weintraub at Lyon RE.

Who knew we would be selling a home to the neighbor next door? Certainly, the seller didn’t know. In fact, I asked him after the neighbor approached my team member during an open house and expressed an interest in the home. I wondered why, in all the years that he lived there, did he never discuss selling a home to the neighbor next door with his good friend who lived next door? At some point, don’t you say, yes, I ‘m going to sell my home soon to your neighbor?

Of course, would the neighbor have paid his asking price if the seller didn’t have an aggressive listing agent? Probably not. Neighbors always seem to want to get a break, simply because they are friends or live next door. This particular neighbor was both. And who is to say the neighbor knew anything about buying a home in Del Paso Manor because I don’t think she did.

Even if you live next door to the person you want to sell your home to, you still need a Realtor to protect your interests. You need a person making sure you are getting the best financial deal you possibly can and that both sides get the kind of representation each deserves. Contracts require negotiation. Disclosures need to be made and delivered. Inspections need to be done.

During this particular transaction, the sewer inspector discovered an orangeburg sewer line. Those were popular in the 1950s, and most gave out around 50 years later. That’s as old as most of these sewer lines would last. My seller’s sewer had completely disintegrated, with waste leaching into the soil.

Sure, this was a good example of selling a home in its AS IS condition but finding out later there is a major problem. We’re not talking about a buyer who is ticked off because the seller refuses to clean out the gutters, which happened recently. We’re talking about a first-time home buyer who doesn’t have a lot of money on hand to replace the sewer line.

The quote from the sewer company to replace the sewer lines was really expensive, almost $9,000. Fortunately, the seller has plumbing contacts and he helped with the job, obtained a permit, and managed to replace the sewer for closer to $5,000. He split the cost with the buyer.

I had asked the seller to produce invoices, receipts and the final permit, because I had a sneaky suspicion the buyer’s bank would require that documentation. For a bunch of reasons, the seller didn’t want to produce all of those documents. Plus, the mortgage loan officer assured the buyer’s agent it wasn’t necessary.

This is the voice of experience speaking here. After 43 years of selling real estate, you learn a thing or two. Sure enough, upon appraisal review in underwriting, the underwriter demanded all of those documents. In a last-minute rush that delayed closing by a couple of days, the sellers produced the documents and we closed.

Selling a home to the neighbor next door might sound like an easy transaction to complete, but no transactions are a slam dunk these days. Having the right professional representation can make all the difference in the world.