Credit-Back

[twicetwilight]

undefinedWhat is the name of your state? California
In purchasing residential property here in California, is it legal to write an addendum specifying that the Seller will "credit-back" to the Buyer,(for repairs, upgrades, etc.), x-amount of cash out of the proceeds of the sale? Is this type of contractual provision addressed in any of the codes, regulations, standards of practice, etc.?
Assistance greatly appreciated.

[seniorjudge]

Sounds fishy to me; this is the way some people get around a low appraisal. Also, remember that the "credit back" is income in the eyes of the IRS and whoever gets the benefit of it will have to pay taxes on it.