FACTS:                    

The buyer and seller executed the October 2022 version of the Arizona REALTORS® Residential Resale Purchase Contract (the “Contract”).  Based on the home inspection, the buyer timely submitted a BINSR, which identified seven items that were disapproved as allowed in the Contract.  However, instead of asking the seller to repair the items disapproved, she asked for a $3,000 seller credit towards closing costs in escrow. 

ISSUE:                      

Is the BINSR effective even though the buyer asked for a credit rather than repairs? 

ANSWER:                

See discussion.

DISCUSSION:         

In October 2022, the Contract and BINSR were revised to, among other things, eliminate the requirement that the buyer can only ask for seller repairs rather than a credit.  As such, the buyer preserved the inspection contingency by identifying the items disapproved and asking for a credit.  Pursuant to Section 6j of the Contract, the seller has five days to respond to the request for a credit made in the BINSR.