In real estate, the responsibility of ordering a home inspection lies with the buyer. A home inspection provides the potential buyer with an evaluation of the current condition of the home. Home inspectors are sometimes referred to as "deal killers" because of the buyer backing out of real estate transactions after a review of the report. Home inspections are not rated on a pass-or-fail system. It is simply a tool to provide interested parties with information that otherwise would be unknown to them. This is often a bad representation of what a home inspector does. However, a seller can be prepared for potential issues related to the findings of a home inspection by hiring a home inspector for an evaluation of the home's condition.
A pre-listing home inspection can put the seller in the driver's seat for a couple of reasons. The first is that it provides a more accurate valuation of the home. As the old saying goes, "Don't judge a book by its cover." A home with great curb appeal and from the surface looks to be in great shape. However, an experienced home inspector can examine further to provide a deeper look into the overall condition of the home. Once the seller has an opportunity to review the report, the seller can make decisions on items that may affect the potential sale. For example, the home inspector may uncover an issue with the electrical issue. A common example of a potential sale not proceeding is roofing issues. A home inspector can provide the information about the condition of the roof and the seller can use that to factor this into the home sale price. The decision on how the seller would like to proceed is completely up to them. They may consult with their agent as to which step to take. They can reduce the sale price of the home or they can offer a seller's concession. Some sellers may decide to update the roof completely. This provides an attractive selling point as some buyers do not want to have to think about costly repairs following the purchase of a home. What is important to note is that the seller has the information beforehand to make a decision. It eliminates surprises.
Another benefit of having a pre-listing inspection is that it can be a marketing point for the real estate agent. It can reinforce the selling price of a home. An agent who discloses the pre-inspection report can state with confidence that considering the items on a report plus any repairs made before the listing, helped the seller arrive at the home's value. Buyers generally have trust issues. The purchase of a home is often one of the most stressful financial decisions a person can make. Providing the pre-inspection report and being transparent helps establish trust. Even with potential issues such as a defective roof, a buyer may be more willing to proceed with the transaction feeling that the seller is not attempting to hide or be dishonest. A pre-listing home inspection can also be used to verify upgrades and/or repairs. If a buyer recently replaced the water heater or the HVAC system, the home inspection will reflect that substantiates the claim by the realtor/ seller.
A home inspector does not grade a house as pass or fail. That determination is made by the potential buyer after evaluating a home inspection report. Home inspectors often get referred to as a " deal killer" but this is not the case. According to data provided by the National Association of Realtors (January 2022), of the 7% of transactions that failed, a quarter of these were due to findings on a home inspection report. Other determining factors are financing issues, appraisals, and just the buyer's cold feet.
Utilizing a pre-listing home inspection can be a vital tool to assist in the evaluation of a home's value. A seller wants to be able to maximize the home's value and a pre-listing home inspection report can justify it. Pre-listing home inspections can inform the seller of unseen issues or potential threats of a home sale before listing the house for sale. Sellers can make decisions on their own time instead of having to make rash decisions to the small window of a home inspection contingency during the initial sale process. Pre-listing inspection disclosed by the seller and their agent creates trust and validates the conditions of the home. Keep in mind, the purchase of a home is often an emotionally driven decision. A buyer wants to have confidence that the purchase of your home is a good decision. The pre-listing inspection can establish trust between the seller and buyer which can lead to a smoother transaction process.
Contact GH Solutions or book now for a pre-listing inspection. You can trust us to provide a clear and concise evaluation of your home's condition to make the appropriate decision to maximize your home's value.
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