Inspecting Your Home Inspector

inspection2In my last post, I recommended a useful context to make home inspection issues easier to negotiate for both parties. Buyers, however, still need to make sure that they get a thorough and fair home inspection. Home inspectors are subject to a license requirement, a code of ethics, and standards of practice from the Board of Registration of Home Inspectors, but their results still vary widely. In my experience, multiple home inspectors inspecting the same property are likely to find very different issues. How can you assess your home inspector?

Home inspectors often fall into three different categories. First, there is the highly critical inspector. Real estate agents often refer to these inspectors as “alarmist,” while many consumers merely consider them “tough.” A highly critical inspector can be a good choice if the buyer can maintain perspective. If you are somewhat savvy about home construction issues and not easily alarmed, this type of inspector may be fine for you. However, be wary of the home inspector who thinks it is his or her job to be negative. A home inspector who tells you the roof is “fully depreciated,” but fails to give you an opinion on its condition given its age, is doing you a disservice. A roof that is past its normal life span, might still be in reasonably good condition and last a few more years.

The second category of home inspectors falls on the opposite end of the spectrum.  These inspectors tend to minimize issues and accentuate the positive. Real estate agents often regard these inspectors as “easy.” Beware the inspector who just gushes nice things about the home. He is mostly trying to stay in good graces with the real estate agent and doesn’t want to offend anyone.  If you find yourself in the middle of a home inspection with this type of inspector ask him to be more critical and to provide you details and specifics about the systems he is inspecting.

The vast majority of home inspectors fall into the last category. These are the home inspectors that real estate agents regard as “fair.” They will give you a reasonably balanced assessment of the home as whole, yet still uncover critical issues. The key to getting the most value from this type of inspector is twofold. First, ask a lot of questions and figure out what the inspector knows and doesn’t know about the systems he is inspecting, and his experience with those systems. Second, if he finds any issues of more than minor concern, hire a true expert to take another look at those issues. For example, if the inspector raises concerns about the roof, hire a roofer to look it over.  This last tip is important no matter which category your inspector falls into.

Never stop being a good consumer. Hire a home inspector who comes referred by someone you trust, ask lots of questions, and don’t forget to actually read the report.  If you don’t understand something about the report, ask more questions. For more information about home inspectors, click here.

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Home Inspections – A Context Shift

inspectionIn my experience, the home inspection is at the fulcrum of the residential real estate transaction. If a deal is going to sour, it is likely due to the home inspection. Although not required by laws or regulations, home buyers in Massachusetts almost always have a home inspection and the right to cancel the transaction if they are dissatisfied with the results.

Most buyers start the buying process thinking that the home inspector will find all the issues including what is not functioning properly and what may need attention in the near future. Buyers assume they’ll have the agent negotiate with the sellers to fix the problems or compensate the buyer in some way.

Sellers usually have a different perspective. They often feel that the issues are to be  reasonably expected given the age and general condition of the home or should have been obvious to the buyer from the start. In the sellers’ minds, the house comes “as-is” and the price has already been negotiated. After all, the sellers have lived with the issues for some time.

These very different approaches can make for difficult negotiations over issues that actually don’t involve a great deal of money. The solution is a different context for the home inspection.

Buyers will benefit most by using the home inspection to determine whether the home generally meets their expectations and if they want to proceed with the purchase. It is best if buyers focus on specific problems that were unknown prior to negotiating the sale price.  What doesn’t function properly given the age of the renovation, or the home, and the general condition of the house? Reasonable wear and tear is to be expected.  If an item is past its life expectancy and still works, then it is actually functioning better than expected.

The buyers and their agent should present the seller with a reasonable dollar amount for fixing the problems (I generally recommend against asking the sellers to make repairs because the buyers will have to inspect the work and this opens up a new set of problems). The sellers ought to approach the buyers’ requests essentially the same way. If the buyers could reasonably have expected the item to function properly, and it doesn’t, then the buyers request for compensation is reasonable.

There will still be complicated issues to resolve around what is reasonableness. However, if buyers and sellers approach the home inspection from the same context, those issues should be easier to resolve.

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