Dear David,
We are retired, ready to downsize, and plan on listing our home for sale this fall. When we bought our current house, we haggled over the appliances. The washer and dryer were excluded, and we ended up having to buy new ones. Looking back, that small detail nearly got in the way of the deal! This time, we want to keep things simple by selling our appliances with the home, including the basement freezer and my husband’s beer fridge in the garage. Our agent says including appliances is much more common today, is that true and should we exclude any of them? – PLUG AND PLAY
DEAR P&P: This is exciting news, though it remains to be seen how excited your husband will be about giving up his beer fridge.
Let me qualify my answer by saying there are different approaches to managing “chattels” in a home sale. Chattels are items not “bolted down” to the property, such as a fridge, stove, washer, dryer and, in some cases, the all-important beer fridge. Practices vary by region, but I suggest you follow the KISS principle, which means Keep it Simple, Seller. I’ve seen deals get dangerously close to falling apart over a banged-up 75-dollar dryer, so unless there is inherent sentimental or personal value attached to an appliance, I recommend including it with the sale.
Buyers often struggle with what they cannot see. Telling a buyer that an existing washer and dryer are excluded but will be replaced with different units can create more challenges than they’re worth. Identifying any appliances that are staying in the Agreement of Purchase and Sale tends to keep things straightforward.
That said, the situation can get complicated if the agreement is not worded properly.
Let’s say you include the extra fridge and freezer out of generosity, and both stop working a few days before closing. If these items were not included on an “as is” basis, your generosity could leave you having to repair or replace chattels you were just trying to leave behind for the buyer.
I suggest separating main household appliances from secondary appliances (ie. the fridge in the garage). If secondary items are being left for the buyer’s convenience, the agreement should state clearly that they are included as is and without warranty.
PRO TIP: It’s easy for people to lose sight of the big picture mid-way through their transaction, which is a lot like rearranging the deck chairs on the Titanic. To avoid this, set parameters before your home is listed, and understand that under most circumstances, items included in the sale are expected to be in good working order up to and including the day of closing.
Make sure your listing clearly identifies which items are being included on an “as is” basis. By doing so, you’ll have the ability to get in front of a potential problem instead of trying to solve it a few days before closing. #Advice #AskDavid #TheNegotiator
David is a top-selling Broker in Kitchener-Waterloo Region. He works personally with you when selling or buying your home. Moving? Get it right. Ask David today! Call or text 519-577-1212.