Damage during escrow

Ask Phyllis: a blog series of frequently asked real estate questions.

Damage during escrow

Dear Phyllis,

We made an offer on a trust sale, and we noticed something unusual in the counteroffer. It shifted responsibility to us for installing smoke and carbon monoxide detectors and for adding water heater strapping. While we thought it odd, we agreed.  During escrow, a family member removed the washing machine.  Later, we returned to the property with our Realtor to complete the required safety installations, including the smoke and carbon monoxide detectors and the water heater strapping. At that time, we found that the washing machine was gone. Although our agreement included its removal, this caused an issue. In addition, the seller did not properly drain the water line. As a result, a large puddle formed and damaged the linoleum flooring.

Afterward, our Realtor contacted the seller’s Realtor. The seller’s Realtor responded that we had waived the inspection contingency and stated that we bore responsibility for these issues. Who is responsible for new damage during escrow?

Jack

Dear Jack,

I am not an attorney; however, the California Residential Purchase Agreement states: Unless Otherwise agreed to, the Property shall be delivered “As Is” in its PRESENT physical condition as of the date of Acceptance. My understanding is that this damage during the escrow period is the responsibility of the seller.

Therefore, you may want to ask your real estate agent to highlight that section of the purchase contract when presenting your request. I am assuming your request is for new flooring or a credit for replacement costs. Your agent should clearly explain why you are making the request and provide any supporting estimates or documentation. In addition to a copy of the highlighted purchase agreement, you should attach the listing photo that shows the washing machine in place.

If your agent believes communication has become difficult or delayed, she may also want to copy the manager on the email. That step may encourage a quicker response and help keep the transaction moving forward.