Home Inspections

Home inspections have become increasingly popular in the United States. The American Society of Home Inspectors estimates that 77% of all homes in the U.S. are inspected prior to the sale. My question is what are the other 23% of home buyers thinking? In my experience as a Realtor and Investor only two of my clients have ever not had an inspection. I stressed the importance of an inspection to them, and now one of the two really regrets not heeding my advice.

The client told me that they could preform their own inspection which I objected to and eventually had to concede to his wishes. He had a job working with electronics, which in his mind, made him knowledgeable in construction and apparently inspecting homes. We are currently trying to arbitrate for over $8,000 for his septic system that failed two months after he moved in.

Inspectors will often find major problems that would have cost the new homeowner hundreds and often thousands of dollars to fix. With the inspection findings the potential homeowner can go back to the current owner and ask for remedies including paying to fix the problem completely, partial payment, ignoring the problem (if it is not significant to the new owner), or they can walk away from the purchase completely.

The testing that an inspector will do depends on what you want to pay for. Some inspectors will preform a Radon test for additional charge. Homes without City sewer and/or City water should have testing done on the quality of the water and the proper functioning of the septic system. Termites can be a problem in certain areas as well as issues from Earthquakes or Hurricanes.

In my experience of seen inspectors find all kinds of problems. They have ranged from shingles that a repast their useful life to foundation problems. Often times an experienced inspector will have seen a problem several times in the past and will be able to give you a rough Idea of what the cost will be to fix it. On a recent inspection the inspector claimed the roof (40ft. from the ground) and found major areas where the shingles were worn out and the roof actually sunk in when he stepped on it! My client decided to ask for the roof to be repaired and the owner paid half of the cost and my client paid an additional $5,000 for the building. It was a great deal for my client considering without the inspector they would have had to pay $12,000 for a new roof in a year or two, and probably would have been alerted to the problem with a leaky roof and potentially more damage.

As a buyer it is just as important to attend the inspection as it is to have one. I have learned more about by buildings from inspectors than from any other source. You are already paying the fee for the inspection you might as well learn something about the building. Often inspectors will give you good tips on preventing future problems.
All inspectors are not created equal! Some have much more experience than others. Laws vary from state to state as far as what is required for education to be an inspector. Three ways to help ensure yourself of a well-qualified inspector would be to ask for their background first. Most good inspectors have been involved in the construction trade in one form or another. The three inspectors that I use all have had a minimum of 10 years in construction or plumbing experience. Then get some references. Most Real Estate agents will have an inspector or two that they recommend. Be careful thought because often the allegiance between the agent and the inspector may cause the inspector to “overlook” things so the property gets sold. Ask the inspector the last time the found problems with a home that caused the homeowner to not buy the home. If they can’t remember they probably don’t do that great of a job or they don’t do a lot of business. Finally, check their designations and the number of years that they have been an inspector. The American Society of Home Inspectors is the most widely recognized association with Inspectors. Similar to other Industries the inspectors that belong to ASHI are required to uphold certain requirements that non-members are not.

Home inspections are generally $250-$500 depending upon the size of the property and the part of the country the inspection is being preformed in. If the building is a duplex or larger rental property the cost will likely be higher because the work will be more time consuming.

Inspectors will generally mail a report of their findings shortly after the inspection. Keep this report! They will likely have recommendations for maintenance of the home which will be helpful in the future.

With the cost being around $300 on average and the cost of a home being several hundred thousand why would you not have an inspection preformed. When purchasing a car people will spend money to have a mechanic look-over the car. Potential problems for a home are usually much more expensive than fixing a car. So when buying property give yourself the most protection you can and get a great inspector.

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