This past April, 78% of real estate contracts were settled, reported the Realtors® Conference Index. For small majority whose real estate contracts that didn’t close, the survey of over 4,500 realtors showed that the second leading cause for failure to close was due to home inspections. Although this unexpected delay can be quite frustrating for homebuyers, the benefits most certainly outweigh the burden.
What is a home inspection?
A home inspection is simply an assessment of the home. This inspection is conducted by a qualified and trained home inspector. Seventy-two percent of Americans believed that their home inspection before the purchase of their home helped them avoid potential issues with their home, according to a survey by the ASHI.
The home inspection is a visual inspection of the performance of your home. A home inspection is generally accompanied with two documents (mandated by state law). These documents include a pre-inspection agreement and an inspection report. The home purchaser can then use the findings from the home inspection to make a knowledgeable decision about the purchase price of the home for sale.
What experience should I look for In a home inspector?
The survey showed that over 75% of the real estate contracts contained contingencies based on home inspections. Thus, as such a pivotal step in the purchase a home, it’s important to check the training, education and qualification of the home inspector that will be used. For example, in Florida, an individual must comply and complete certain requirements that are regulated by the Florida Department of Business and Professional Regulation. Each state has their own requirements, its therefore important to ensure you hire a state certified home inspector.
Check whether the home inspector also does repairs. You should look for a home inspector who only offers inspections, not repairs. It’s important to realize that home inspectors and repairmen (general contractors) serve different purposes. A general contractor seeks to repair and fix what’s wrong with the house. On the other hand, a home inspector simply provides what’s necessary to be fixed rather than what is optional. Therefore, in a home inspection you seek not to find what’s wrong with the house, but what’s actually necessary to be repaired.
Check to see if the home inspector is bonded and insured
A home inspector is not required to be bonded or insured. However, it’s very wise to look for a home inspector who is. This means that the company has insurance and has secured money to an insurance company in the case that they are sued by a client for their work. It provides an extra level protection for you as a client of the home inspector.
Ask if you can be present for the inspection
A home purchase involves not only a lot of time involved, but a substantial amount of money as well. With so much on the line, it’s wise to be present for the inspection. You do have the right, but there are more benefits. The home inspector can point out certain things about the house and you can become educated about the property that you are buying. Double check before you hire a home inspector whether it’s sonalmitted for you to be present for the inspection.