BINSR Report  |  Tips for Sellers

BINSR Report | Tips for Sellers

December 2, 2019 12 By Luis Garrison

What is the BINSR Report?!? It’s the
Buyer’s Inspection Notice and Seller’s Response and if you’re selling your
Arizona home, you need these tips! Hey everybody, welcome back! I’m Lindsay with
the Wise Move AZ Team at Realty ONE Group. If you want to stay up to date on
all things Anthem and real estate then you need to hit that subscribe button.
Pro Tip: You’re also going to want to hit the little bell icon, so that you’re the first to know
when our new videos are posted every single Thursday. As your Anthem, Arizona
REALTOR® I’ve worked with a number of families to ensure a smooth sale of
their home. A lot of work goes into getting your home ready to sell and one
of the key pieces is navigating the BINSR process. As I mentioned at the start
of this video, BINSRis the abbreviated name we give
to the Buyer’s Inspection Notice and Seller’s Response document. If you want a copy up the BINSR in front of you while we go through these tips, put me on
pause really quick, jump down to the description box below, download your
copy, come right back and we’ll go through it together! It’s okay, I’ll wait! The BINSR is a two page document that’s completed at the end of the
buyer’s due diligence period, which unless otherwise negotiated, ends 10 days after
contract acceptance. Okay, so the buyers completed all of their desired
inspections… now what?! Now, they’ll complete the first page of the BINSR.
The buyer has three options; they can #1: Accept the premises, #2: Reject the
premises altogether or, #3: They can give the seller the opportunity to correct
any disapproved items. Option number one is not that common here in Anthem. The
inspection usually reveals something that ought to be corrected, repaired, or
replaced, even if it’s just something small. Option number two is not that
common either. Rarely will the buyer just walk away from the sale altogether
without giving the seller the opportunity to correct the items
they disapprove of. That being said, we’ve seen it done. For example, if the buyer
finds out that there’s a sex offender living next door and they have small
children, there’s really no amount of work that you as the seller can do to
make the property acceptable to them. So, they’ll likely cancel the contract.
Option number three, giving the seller the opportunity to correct the
disapproved items is hands-down the most common thing that we see. In this case,
the buyer will make a list of items that they want the seller to fix. This is
usually done by making reference to the inspection report or reports. Now, for the
rest of this video let’s assume that the buyer went with option three, which means they’ve given you, the seller, a list of items that they want you to repair,
replace, or correct. You, as a seller, now have three options. You can, #1 Agree to
complete all of the requested repairs, #2 State that you’re unable or unwilling to
fix any of the items requested (i.e. outright reject the request for repairs),
or #3 You can provide them with a list of items you are willing to fix.
Again, at this stage, option three is the most common, but the choice is yours!
If you select options two or three, the buyer still has the opportunity to
cancel the contract. So, it’s very important that you approach these
negotiations carefully and thoughtfully. You don’t want to lose the sale of your
home because you’re refusing to do a small repair but at the same time you
don’t want to agree to do more than what’s reasonable based on the price of
your home. So, what are our top five tips for helping the seller successfully
navigate the BINSR process? #1: Stay on top of regular maintenance and
repairs. If you stay on top of regular maintenance and repairs of your home and
keep it in good condition, there’s less for the buyer to ask for, and the less
they ask for… the better! If you know you haven’t done a good job of maintaining
your home, you may want to have it inspected prior to listing, and complete
some (or all) of the suggested repairs. #2: Keep in mind that no
home is perfect… including yours! Don’t set your expectations too high and hope
that the buyers won’t ask for any repairs! This is unrealistic and sure to
lead to disappointment. Instead, take a look at your budget and
decide what you can realistically invest in repairs to get the sale to go through.
Keep in mind that in most cases it’s better to work with the buyer you
already have, rather than putting the home back on the mark. #3: Don’t take it personally. This one can be tricky, especially if the buyer is
asking you to fix something that you lived with the entire time you owned the
home. As hard as it is, put your feelings aside and shift into business mode. This
is a business decision and should be treated as such. If you were in their
shoes you’d probably be asking to have some things repaired as well. #4: Get estimates before responding. Sometimes BINSR repair requests can
look long and scary when you first see them, and your first instinct may be to
get offended and refuse. Take a step back, breathe, and take the time to get
estimates for the items they are requesting. You have five days to respond
to the buyers request, so take your time. You may be surprised to find out that
the items are asking for don’t actually cost as much as you thought. #5: Keep it in perspective. This one is tricky too, but it’s so important. Like I
said before, you don’t want to lose the sale of your home because you refuse to
make a $20 repair but you also don’t want to spend way more than is
necessary. When thinking about how much you’re willing to invest in repairs, you
also want to consider how much it will cost to put your home back on the market, there’s a cost associated with the time we lost on the market, there’s also cost
associated with having to hang on to the house and all of the associated expenses
for longer. What I’m saying is be realistic and sensible when responding
to the BINSR. So, there you have it! If you haven’t already
grabbed your copy of the BINSR, pop down to the description box below and click the
link. If you enjoyed this video let me know by hitting that like button,
subscribing to our channel, and sharing this video with your friends. See YOU
next Thursday!