In California, buyers have a default 17-day investigation period under the Residential Purchase Agreement to complete inspections and decide what to do with the findings. During that window, you can proceed as-is, submit a formal repair request, ask for a credit, or cancel the contract and get your earnest money back in full. The seller is not required to fix anything, but your ability to walk away is what gives you negotiating leverage.
By Austin Criss, REALTOR® | RE/MAX TIFFANY | June 25, 2026
Questions about navigating inspection negotiations? Call or text me at 714.600.1176.
The inspection period is one of the most important and most misused windows in the entire California home buying process. I see buyers wait too long to schedule the inspection, panic when the report comes back with a long list of items, and either over-request or under-request without a clear strategy. Here is how to handle it correctly.
What Happens When the Inspection Report Comes Back?
A home inspection report is not a list of required repairs. It is a documented snapshot of the property’s condition at the time of inspection. Reports on older homes regularly run 50 to 100 pages. Seeing a long report does not mean the house is a problem. It means the inspector did their job and noted everything they observed.
Your job after reading the report is to separate the findings into three categories:
- Health and safety items: Electrical hazards, active roof leaks, HVAC failure, structural concerns, water intrusion, gas line issues, active pest infestation. These are worth addressing formally.
- Material defects: Items that significantly affect the home’s value or habitability and were not disclosed. Deferred maintenance items that will cost real money in the near term.
- Cosmetic and wear items: Scuffed paint, older appliances in working condition, minor cracks in drywall, dated fixtures. These are expected in any lived-in home and are rarely worth a formal request.
I tell my buyers to get the inspection done by day 3 or 4 of the 17-day window, not day 14. If something serious comes back, you need time for specialist inspections, contractor bids, and a real negotiation. Waiting until the last few days forces you into a rushed decision with no leverage.
How to Use California’s Request for Repair Form
California buyers use C.A.R. Form RR (Request for Repair) to formally ask the seller to address inspection findings. The form gives you four options:
- Repair request: Ask the seller to complete specific repairs before close of escrow, performed by a licensed contractor.
- Pest report work: Ask the seller to complete Section 1 (active infestation or damage) and/or Section 2 (conditions likely to lead to infestation) items from the pest inspection.
- Credit in lieu of repairs: Ask for a closing cost credit applied at closing instead of seller-completed work. You use the money to hire your own contractor after close.
- Price reduction: Ask to amend the purchase price downward to reflect the cost of deferred repairs you are agreeing to take on.
The seller responds using C.A.R. Form RRRR (Seller Response and Buyer Reply). The seller can agree to everything, agree to part of the request, offer an alternative (such as a smaller credit), or decline. Under the California RPA, if the seller does not respond, the non-response is treated as a decline of all requests.
One important nuance: the seller is not legally required to respond at all. Paragraph 14B(2) of the California RPA states explicitly that the seller has no obligation to agree to or respond to any repair request. Your leverage is not a legal right to repairs. It is your ability to cancel and receive your earnest money back before the contingency is removed. See how earnest money is protected in California for context on what you stand to lose if you cancel after the contingency period closes.
What Repairs Should You Actually Ask the Seller to Fix?
The items worth formally requesting are the ones that affect safety, habitability, or represent a material misrepresentation of the property’s condition. In Orange County, I generally focus buyer requests on:
- Active roof leaks or end-of-life roofing that will need replacement within a year
- HVAC systems that are non-functional or have documented heat exchanger failures
- Electrical panels with known defects (Federal Pacific, Zinsco panels, double-tapped breakers with safety implications)
- Water intrusion or active moisture damage with evidence of mold
- Gas line leaks or pressure issues identified by a certified technician
- Pest inspection Section 1 items (active infestation or active damage). Section 1 work is often required by VA and FHA lenders regardless of negotiation outcome.
- Unpermitted work that affects safety or may affect resale or financing
Items that are generally not worth requesting: cosmetic damage, older appliances in working condition, minor plumbing drips, normal wear and tear on a 20-year-old home, small cracks in stucco with no water intrusion. Requesting these items burns goodwill and can derail a deal over items that cost $200 to fix.
I have walked buyers through reports that initially felt overwhelming and we still closed cleanly because the focus was on the right items. The goal is not to negotiate every line on the report. The goal is to address the things that actually affect your decision to buy the home at this price.
Should You Ask for Repairs or a Credit at Closing?
In most cases in Orange County, I recommend asking for a credit rather than seller-completed repairs. Here is why:
When the seller completes repairs, they control who does the work and what quality standard is met. A seller’s idea of “repaired” and a buyer’s idea of “repaired” can be very different. You close on the property, discover the repair was done with the cheapest contractor available, and you are on your own for the cost of doing it correctly. With a credit, you receive the funds at closing and hire your own licensed contractor to complete the work the right way, with your warranty and your standards.
Seller-completed repairs do make sense in some situations: when the seller has a strong, documented track record of quality workmanship, when the item requires a licensed specialty contractor who the seller already has a relationship with, or when the credit would be so large that the lender limits it. Closing cost credits are typically capped by lenders at 2% to 6% of the purchase price depending on loan type and LTV. If your request exceeds that cap, a price reduction may be the more effective structure.
What If the Seller Refuses Every Repair Request?
If the seller declines all requests, you have three options during the investigation period:
Option 1: Cancel and get your earnest money back. If the investigation contingency is still active and you cancel during the period, you are entitled to a full refund of your earnest money deposit. No penalty. No explanation required beyond noticing you are canceling during the contingency.
Option 2: Accept the property as-is and remove the contingency. If the inspection findings are manageable and you still want the home at the agreed price, you sign a Contingency Removal form and proceed to close. This is the right call when the issues are minor or the market is competitive and you have priced the home with the condition already factored in.
Option 3: Make a reduced, focused second request. Sometimes the seller declines a broad initial request but will consider a smaller, targeted ask. If the seller says no to $30,000 in repairs but the roof is genuinely failing, going back with a focused request on just the roof sometimes works where the comprehensive list did not.
Knowing which option to choose requires understanding the full context: how motivated is the seller, what does the comparable data say about this price, what would it cost to buy another equivalent home and go through inspection again. I help buyers make that call every time we get into this situation. See what a home inspection covers in California for the full breakdown of what the inspection period includes.
Frequently Asked Questions
How long do buyers have to negotiate repairs in California?
Under the California RPA Rev. 6/25, the default investigation period is 17 days after acceptance. During that window, buyers can complete inspections, review reports, and submit a Request for Repair (C.A.R. Form RR) to the seller. The 17 days can be shortened or extended by written agreement. I push my buyers to complete their general inspection by days 3 to 5, so there is time for specialist inspections, contractor bids, and a back-and-forth negotiation before the window closes.
Is a seller required to fix anything after a home inspection in California?
No. California’s RPA explicitly states that the seller has no legal obligation to agree to or respond to any repair request. If the seller does not respond, the non-response is treated as a decline. The buyer’s negotiating leverage comes from the right to cancel and receive the earnest money back during the investigation period, not from any legal right to have repairs made. Sellers in competitive markets know this, which is why framing the request clearly and focusing on real defects matters.
What is the Request for Repair form and how does it work?
The Request for Repair is C.A.R. Form RR, the standard California form buyers use to ask sellers to address inspection findings in writing. You can request specific repairs, pest report work, a credit in lieu of repairs, or a purchase price reduction. The seller responds using C.A.R. Form RRRR and can agree, partially agree, counter, or decline. Using these forms keeps the negotiation inside the standard purchase agreement and protects both parties.
Should I ask for repairs or a credit after a home inspection?
A credit gives you control over who does the work and the quality of the result. Seller-completed repairs vary widely in quality, and you often have limited ability to verify the workmanship before closing. For most items above $1,000 in OC, I recommend requesting a credit. The exception is when the seller can demonstrate they have a licensed, qualified contractor lined up and you can verify the repair before close. For items below $500, it is often not worth the friction of a formal request.
What happens if the seller refuses all repair requests in California?
If the seller declines everything and the investigation period is still active, you can cancel the contract and get your full earnest money deposit back, no questions asked. You can also accept the home as-is and remove the contingency, or make a smaller, more targeted second request focused on the most critical items. The seller’s refusal does not end the negotiation. It is one data point in a conversation that still has room to move.
If you want a straight read on whether the items in your inspection report are worth requesting, or how to structure the ask in a way that does not blow up your deal, I am happy to talk it through. Call or text me at 714.600.1176. Always Ask Austin.
About Austin Criss
Austin Criss is a REALTOR® with RE/MAX TIFFANY serving Cypress, Buena Park, and throughout Orange County, California. He works with first-time buyers getting into their first home and move-up sellers navigating how to sell their current home and buy the next one at the same time. Call or text at 714.600.1176, or visit austincriss.com.