How House Fixtures Affect Selling My House

One of the potential problem in home selling is the dispute over house fixtures. It’s moving time, and that means a lot of stress and work.  It also means a lot of house cleaning, packing and boxes. You may have been living in your home for a short period and decided on an upgrade, bringing your growing family with you.  The kids have grown accustomed to everything in your house and would certainly miss the flat screen TV and the play structure, and you and your spouse certainly have a fondness for the chandelier.  You may be empty nesters, ready to downsize, but a lot of the stuff you have accrued over the years has sentimental value. As much trouble as it’s going to be, you’d prefer to take all of it, because it has been a part of your household after all.  The problem is, the buyers are also interested in a lot of it, and if you take it with you, there will be a lot of empty spots in the house they are moving into. What to do?

The situation described is the problem of fixtures in a house.  It is a consistent and contentious battleground for Purchase Agreements and negotiation, and there are some tips and guidelines you should follow to make sure you walk away with as much of your personal belongings as you want, as well as avoid disputes with buyers, or worse, legal troubles.  Let’s discuss these tips on dealing with fixtures in your home.

What Is A House Fixture?

The basic definition of a house fixture is “any personal property that is permanently affixed to real property”.  This sounds pretty straight-forward, but it can actually get pretty hairy — every house, fixture, utilization, and personal circumstance is quite different.  What is considered a fixture in one house may not be considered a fixture in another house. As a general rule, something that cannot be easily unattached or would leave a part of the house virtually unusable is something you should consider as a fixture.  But let’s look at house fixtures in a little more detail. There are three basic tests that can be used to determine whether something in your house is a fixture and therefore should remain with the property once sold.

When personal property is permanently attached to a structure or land, it becomes house fixture.

Annexation Test

The first test as to whether or not something is a house fixture is the Annexation Test, to see if an object has been “annexed” to the property.  An item that has been annexed will have been attached or secured to the property by the use of nails, screws, glue or tacks, and cannot be easily removed.  Once that happens, the court will generally rule that it is a house fixture. This applies to things such as carpets, curtain rods, and light fixtures. In addition, there is another type of annexation called “constructive annexation”, which pertains to land that is added onto the larger parcel of real estate.  If you have an item that passes this test and has been affixed permanently to the property, it will most likely be ruled a house fixture by a court of law.

The most critical test of house fixture considers the method of attachment to the structure or the land.

Adaptation Test

The second test is the adaptation test, where a fixture will be determined by whether or not some adaptation took place on the fixture of the home itself in order to accommodate the object.  Think of a home theatre, where a room had to be modified in order to accommodate all the equipment, and without that equipment, the room will be left in an awkward or somewhat useless state. A home theatre room without the theatre equipment would just have a big hole in the wall.  As much as you’d like to take your theatre with you, the room you are leaving behind simply wouldn’t make sense without it, and therefore will also likely be ruled as a house fixture.

Home fixtures, inclusions, and exclusions should be addressed when the home is listed.

Intention Test

The third and possibly most difficult house fixture test to rule on is the intention test, where the label of a fixture is determined by the intention of the homeowner at the time of installation.  When installing a wall-mounted TV, it could be argued that the location of the TV was not permanent, as a TV can be easily moved within a house. However, with items such as home theatres, chandeliers, dishwashers, or even large plants outside, their location was intended to be permanent at the time of installation and therefore would likely be considered house fixtures.

If the location was intended to be permanent at the time of installation and therefore would likely be considered fixtures.

Common Disputes

In addition to items mentioned above, there are some items that are frequently disputed over.  Again, they are largely dependent on the specific situation. For example, play structures or sheds in the backyard may or may not be considered a house fixture, depending on the type and permanency of the installation.  Some play structures and sheds rest on top of the ground, and are meant for easy assembly and disassembly. These you may be able to take with you. However, many sheds and play structures are cemented into the ground, and not only will be more difficult to move but will likely be ruled as fixtures.  Household appliances, because of the adaptations they come with, are generally considered house fixtures and if you have an affinity for your fridge or dishwasher and want to take it with you, you’ll likely have to replace it in the home you’re selling to avoid a big hole. Chandeliers, and light fixtures in general, are generally not meant to be moved around, and therefore pass the intention test and are categorized as house fixtures.

Sale contract should specify on what will stay and what will go to avoid any unnecessary dispute.

How To Avoid Trouble

Generally, this can be a difficult area of negotiation between buyers and sellers, especially if you have nice stuff! To avoid blowing up a sale over your chandelier, there are a few steps you can take.  First of all, make sure you clearly state what you will be taking with you in the listing agreement and MLS listing. This way, buyers are aware that the listing price does or does not include an item they may be interested in, and you will be able to negotiate accordingly.  Otherwise, the court may rule in their favor. In addition, a good way to avoid trouble if you really like something in your house is to remove and replace it before you list or show the house. If the buyer won’t be getting it anyway, why entice them by having it there during the showing?

Consult with your real estate agent and your lawyer about the listing process and the sale contract.

If you are in the process of listing your house and have a lot of items you plan on keeping, it can be helpful to speak with a real estate agent about the best approach to make sure you can keep it without your home losing value.  Call Delphine Nguyen today for a free consultation and advice on how to sell your home quickly and for top dollar, while making sure your new home will also include everything you want to keep!

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