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  • Writer's pictureAttorney Jason A Greller

Is it a Defect? Determining Defects for Inspections under the Wisconsin WB-11 Offer to Purchase.

The inspection contingency allows the buyer to conduct various inspections of the property and potentially negotiate with the seller to address any defects discovered during those inspections.

A "defect" under the inspection contingency is typically defined in the WB-11 Offer to Purchase. The standard definition of a defect in the WB-11 is as follows:

"A defect is a condition that would have a significant adverse effect on the value of the property, that would significantly impair the health or safety of future occupants of the property, or that if not repaired, removed, or replaced would significantly shorten or adversely affect the expected normal life of the premises."

When determining what constitutes a defect, consider the following factors:

  1. Impact on property value: A defect should have a significant negative effect on the property's value.

  2. Health or safety concerns: A defect should pose a substantial risk to the health or safety of future occupants.

  3. Expected normal life of the premises: A defect should significantly shorten or adversely affect the property's expected normal life if left unaddressed.

It's important to note that not all issues discovered during an inspection will be considered defects under the terms of the inspection contingency. Minor issues, cosmetic problems, or general wear and tear may not meet the criteria for a defect.

Ultimately, the determination of what constitutes a defect will depend on the specific circumstances and the language in the WB-11 Offer to Purchase and is a question of law. If there is a dispute between the buyer and seller regarding whether an issue constitutes a defect, it may be necessary to consult with a qualified attorney familiar with Wisconsin real estate law. Real estate agents are not licensed to offer opinions on what constitutes a defect.

Please note that this information is for general informational purposes only and should not be taken as legal advice. Consult with a qualified attorney to discuss your specific situation and understand your legal options.

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