I am a first time home owner.

I have a traditional 30yr mortgage with an escrow agreement for postponed repairs due to weather. The seller was required to get 2 estimates for the work to be done.

Who contacts the contractors and orginizes the work to be completed? The seller or buyer?

  • #1 You own the house now, and have the motivation to do it right; the previous owner doesn't. #2 If it's not in the sales agreement that the seller organize everything, why should the previous owner do it?
    – RonJohn
    Jul 15, 2019 at 4:52

1 Answer 1


When the escrow account for the delayed repairs was setup the amount put in the account was determined based on the estimates. When the account was established the rules for accessing the funds should have been defined.

I have seen these accounts where the item was cosmetic (as far as the bank was concerned) and it was very easy to access the funds. They could also be used as part of additional upgrades to the house. For example the carpet in the basement needed to be replaced, so the seller essentially set aside $x for the new carpet, but the buyer might contract for upgraded flooring and use a different vendor to save money and still get all the funds.

I have seen cases where the lender is involved in the process because they need to know the repair is made to protect their investment. They will want proof before the funds can be released.

You need to review the documents regarding what happens if the repair is more extensive than thought and the funds in escrow don't cover everything. Who is responsible for paying the contractor?

No matter what is in the documentation the scheduling of the repair will involve the buyer. The seller no longer has access to the property. Therefor timing and access issues can only be resolved by the buyer.

  • In my personal situation it was supposed to be the seller but there was miscommunication involved so hopefully the answer helps someone else.
    – Reed
    Jul 16, 2019 at 14:02

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