Home Inspections

Most real estate professionals will recommend that you invest in a home inspection, which should be initiated before you complete your real estate transaction.  A home inspection will most commonly be ordered on an existing property as opposed to a newly constructed home.  Though home inspections are less common in new construction homes, it is still recommended that a home inspection be completed.  Once a home inspection has been ordered, an inspector will come into a home and examine it from top to bottom.  Their primary function during an inspection is to identify any unrecognized problems related to the property that will need servicing or repair.  The standards advocated during an inspection process must conform with the standards set by the National Association of Home Inspectors.   Home inspectors have an obligation to inspect the property thoroughly and must distinguish any deficiencies they observe during the inspection process, regardless of any undue pressure enforced by parties bound to the real estate transaction. 

Real estate contracts will include an area to enter the date when the home inspection should be completed.  The contract will also reference the date when all inspection issues should be resolved.  It is difficult for most home buyers to inspect the property on their own, and only by ordering a home inspection can you be certain that all issues have been identified and addressed before the home is sold.  Sellers should understand that when unresolved issues are detected, within reason, the issues should be resolved by the sellers.  If the sellers refuse to resolve the issues, the buyers in a real estate transaction have the faculty to rescind their offer.  It is for this reason why a resolution date is listed on the real estate contract.  When drawing up a contract, it is important to negotiate a contingency based on further review of the home inspection report, after it has been completed.  This will authorize the buyers to renegotiate the contract, for repairs or costs on any items not recognized before the initial offer was made on the home.

When placing their home on the market, the sellers are required by law to disclose information about the home.  The information disclosed should list any potential preexisting difficulties that the home has.  Ethically, the sellers are responsible to disclose all issues related to the home regardless of size or scope. One of the most important disclosures required in a real estate transaction is the lead base paint disclosure.   Lead Base paint was a popular product in the 1970’s, and eventually it was revealed that the lead in the paint presented a certain health hazard to residents in the home.  It was rare, but under certain circumstances predicaments developed.  The most pressing predicament was the consumption of the paint as it chipped away from the walls.  As a result, full disclosure was mandated by the federal government. 

The Seller’s Disclosure form is the most significant disclosure required in a real estate transaction.  This form will require the sellers to disclose any realized problems that the home potentially has.  The information listed on this form will aid in determining the fair market value of the home.  Consequently, a home inspection report will help uncover any problems the sellers may not realize.  The information from both reports will be used by the buyers and the sellers when attempting to negotiate the final terms in their real estate transaction.  It is unmistakable how crucial it is that the buyer is aware of all the potential risks a home might have, and though a home inspection is not required, it is strongly recommended.  A home inspection is designed to protect the buyers from proceeding into a real estate transaction that may create unwanted dilemmas.

A home inspection will be intensely comprehensive and will require an inspector to examine a home with meticulous precision.  In general, the inspection will include (but is not limited to) the following: Roofing, ventilation, structure, windows, fixtures, electrical, plumbing, heating, cooling, insulation, walls, floors, and any additional materials that complete the home.  A buyer should expect the home inspection process to continue for a few hours.  Furthermore, it is encouraged that a buyer accompanies the inspector during the actual home inspection process.  While not common, the sellers should be able to accommodate this particular request if needed. Once a home inspection is completed, the inspector will assemble the findings into a detailed written report.  The final report presented to the buyers may vary in format, depending on the inspector, however the information provided in the report will be uniform.  Most reports will itemize each major operation in the house.  For example, Electrical and Plumbing will be listed individually and any abnormalities found in these areas will be listed and fully explained.  The buyer can then decide whether any of the problems presented in the report require resolution from the seller.  As a reminder, it is the seller’s responsibility to resolve any problems found in the home inspection report, and if there is no resolution, a buyer can simply terminate the contract. 

One final responsibility in a home inspector’s job is to uncover any deficiencies found in the home, as they can be held accountable for any defects that remain undisclosed.  For this reason, home inspection reports will traditionally present the home in a less-favorable condition than it actually is.  A buyer must understand this and take it under advisement when requesting the seller to resolve issues.  Sellers will accommodate most reasonable requests for repairs, but do not expect the sellers to entirely accommodate what is listed in the home inspection report--it will not happen.  A home inspection will give the buyers the protection needed before completing a transaction on the home; however, the information should be used with caution.  Since sellers are willing to negotiate to a certain point, with the purchase of an existing home, a buyer should be willing to reach a fair compromise with the sellers.