Buying a home or selling one is a long process in many cases with many difficult decisions to be made along the way. Many consumers experience a wide range of emotions. It's extremely important that first time home buyers hire the right realtor along the way. Navigating the waters can be a tricky one and a good realtor will assist you. Sometimes lost in the process is the home inspection. Ask any potential buyer what they know about the home inspection portion, and they probably will just shrug their shoulders. Even people who claim they can fix anything that needs repair, probably doesn't have the knowledge of an educated home inspector.
Lets go over what exactly a home inspection is, why just about everyone needs one who is purchasing a home, and what happens when the inspection comes back with recommended repairs
What is a Home Inspection
A home inspection is performed to check the condition of the house before you purchase it. This inspection should be performed by a licensed individual. No work will be performed on the residence. It's a complete visual inspection. It's also a very thorough process. Here is a sample of what will be inspected.
- Electrical systems
- Heating and air conditionÂ
- Ceilings and floors
After the inspection is completed, the inspector should send the individual who paid for the inspection a full report.
Why we Get The Home Inspections
Nobody wants to move into a home only to find out that a myriad repairs must be performed. A home will need constant maintenance as it is. But many times there are underlying issues that the homeowners are aware of, and sometimes not. Also the inspection will be used to address repairs that may be another topic of negotiations.
In most cases the buyer will pay for the inspection. However, in some instances the seller will pay for the inspection themselves.
Why would the seller pay for the inspection?
Usually the homeowner knows the home will have several issues that will need to be addressed. They realize that they will have to pay for these before the home is sold.
In other words we get the inspection because we don't want to buy something that is going to need a ton of work. This could save you thousands of dollars in the long run.
There probably are 1 or 2 reasons why the buyer would forgo the inspection. But before we address those, a knowledgeable realtor would always advise the buyer to pay for one.
- The house already has multiple offers. They buyer may tell the seller if they accept the offer there won't be any need for one.
- As stated above, a seller may purchase an inspection for multiple reasons. If one has already been performed, the buyer may be satisfied.
What To Do During an Inspection
If you are paying for the inspection, it's up to you to choose the appropriate inspector. You might start by asking your realtor for a reference. Remember to do a little investigation on your own. After all, when you receive the report, you will be relying on their knowledge.
Here are a couple things to keep in mind during the actual inspection.
- Be sure you attend. This is going to be your new house. It might be a good idea to watch by as the work is performed
- Don't ask them any questions. They are here to perform a job. If you interrupt them, they may take longer or have the potential to miss something. He or she may offer their opinion, so keep your ears open.
- You should have an opportunity to ask questions after the work has been completed. Everything they have done should be included in a report, but it's also possible your question may not be addressed.
How to Address the Inspection Report
When you receive the finished report, brace yourself. If you have never viewed one of these before, you might think that the home is in poor condition. This simply means that the inspector did a thorough job. Be sure you send a copy of the report to your realtor. Although they shouldn't and cannot address every issue, they can lend you their support and advice. They also will be the ones who will forward the report to the seller in case you request repairs.
- The majority of homes will have plenty of issues.
- Not all repairs must be addressed immediately
- Don't use the report to renegotiate the selling price
If there are items in the report that are of grave concern, you may need to have a specific vendor come out and inspect the items to get their opinion. If there are concerns with the foundation, you would need to schedule an appointment with a foundation company.
After you have viewed the report and have been consulted by the appropriate parties, you will arrive at one of three conclusions.
- You are satisfied with everything and don't require changes.
- You will require certain repairs be made, and you need to negotiate with seller on how he wants to resolve these issues.
- There are too many repairs and you aren't comfortable. You decide to pull out of the sale.
Many times the seller may pay you cash for the repairs at closing. Or they may simply reduce the price of the home by the cost it will take to make said repairs.
- A home inspection should be purchased in almost every situation, either buy the seller or the buyer
- Make sure you attend
- Don't renegotiate the price of the house, but who pays for the needed repairs.