While it can be tempting to run towards the finish line when purchasing an NYC property, buyers should always conduct a pre-closing “walk-through.”
While it can be tempting to run towards the finish line when purchasing an NYC property, buyers should always conduct a pre-closing “walk-through.” Thoroughly inspecting the property before finalizing the transaction can help ensure there are no costly surprises awaiting you in your new home.
What Is a Pre-Closing Walk-Through?
As the name suggests, a pre-closing walk-through is one of the final steps before closing. Typically, buyers will arrange the walk-through with the real estate agent. Knowing when to schedule it, and what to look for, are keys to a thorough and efficient inspection.
Final walk-throughs should occur as close to closing as possible, ideally a day or two before the scheduled closing date. The goal is to give buyers the opportunity to inspect the property one last time to verify that it is still in a good condition and confirm that any agreed-upon repairs have been completed.
In most cases, any issues discovered during a walk-through can be remedied fairly quickly. Alternatively, the purchase price can be adjusted to reflect any necessary repairs, or a sum of money can be set aside in escrow at the closing. However, should the buyer discover a significant problem, the closing may have to be delayed or even cancelled. Whether you are able to recover your deposit is generally determined by the nature of the issue, as well as the terms of the sales contract. It is also important to note that, absent a written agreement, the seller generally has no obligation to address any issues identified after the closing.
Pre-Closing Inspection Check List
So, what should buyers be looking for during a walk-through? First, it is important to verify that any agreed-upon repairs have been made. Below is an example of additional items that should be on your pre-closing walk-through checklist:
Turn all light switches on and off to make sure lights and ceiling fans work
Run all kitchen and bath faucets to verify they work properly
Run shower/tubs to check for leaks and drainage issues
Flush toilets to make sure they work/don’t leak
Run all of the kitchen appliances and the garbage disposal
Test all of the electrical outlets
Run the heater and air conditioner
Turn on and test the fireplace
Open and close all windows and doors
Verify that garage door opens and closes
Confirm smoke alarms/carbon monoxide detectors are placed according to law and functioning
Run the exhaust fans in the bathrooms and kitchen
Inspect the walls, flooring, and ceilings for water stains or other defects
Examine the exterior of the building for structural and cosmetic issues
Verify that furniture and other seller’s possessions have been removed or that property agreed to be left behind is still there
If issues are discovered, it is important to determine what remedy you will seek, i.e., repair or credit. You should also be prepared to decide whether the issues are worth walking away from the deal should the buyer refuse your request.
Key Takeaway
Conducting a pre-closing walk-through should be a part of every New York City real estate transaction. While it may seem like an unnecessary formality, conducting a thorough inspection can help save you both time and money in the long run.
If you have questions, please contact us
If you have any questions or if you would like to discuss the matter further, please contact me, Bruce Feffer, or the Scarinci Hollenbeck attorney with whom you work, at 201-896-4100.
Business Mediation: An Overview and Practical Tips
Business mediation is a confidential, voluntary process in which a neutral third party helps companies negotiate a resolution to a commercial dispute without going to trial. Because working with a mediator is very different from litigating in the courtroom, it is important to understand how commercial mediation works, when it makes sense for your dispute, […]
Top 5 Causes Leading to Construction Defect Litigation
The five most common causes of construction defect litigation are design defects, substandard materials, workmanship defects, code violations, and subsurface defects. Because these flaws can compromise a building’s integrity, functionality, or safety, they frequently lead to disputes involving multiple parties and high financial stakes. Key takeaways: What is Construction Defect Litigation? Construction litigation is complex, […]
How to Protect Your New Jersey Business When Going through a Divorce
The most effective ways to protect your business in a divorce are put in place before one begins: a prenuptial or postnuptial agreement, clean separation of business and personal finances, and divorce contingencies built into your operating or buy-sell agreements. If divorce is already underway, the priorities shift to establishing how the business is classified […]
The most common franchise disputes involve breach of contract, franchise termination and non-renewal, intellectual property rights, territorial encroachment, royalty and fee payments, franchisor support obligations, and violations of state franchise laws such as the New Jersey Franchise Practices Act. Franchisors and franchisees can often resolve these conflicts by providing written notice detailing the dispute and […]
Reputational Risk and Legal Exposure: Why New Jersey Businesses Must Manage Them Together
New Jersey businesses must manage legal and reputational risk together because modern disputes play out on two fronts at once: the legal proceeding itself and the court of public opinion, where customers, employees, investors, and business partners often reach conclusions long before a judge or jury has had the opportunity to evaluate the facts. Success […]
Eviction Is Not Always the End: Understanding Post-Possession Rent Claims in New Jersey and New York
No. An eviction does not automatically end a tenant’s obligation to pay rent. Post-eviction rent claims are common because recovering possession resolves who has the right to occupy the premises, but it does not extinguish the tenant’s contractual obligations under the lease. Whether unpaid or future rent remains owed depends on three factors: the lease’s […]
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!
