The home inspection is a critical step in the home buying process. It generally confirms the buyer’s favorable impression and perhaps identifies a few issues that should be part of negotiations. In some cases, however, the home inspection can uncover real problems that can throw the entire deal into question.
For the typical home buyer, it can be difficult to interpret a home inspection report, know which points are especially significant —possible deal breakers— and which are common and easily addressed. It’s a good idea to get familiar with some of the components of a home inspection report and to know what sorts of questions to ask along the way.
The Big Red Flags
The purpose of a home inspection is to verify that the home’s structure and systems are in good shape and working order. It protects the buyer from inheriting problems that weren’t obvious in touring the home, and is absolutely a necessary step, no matter how pristine the property appears. Generally, a few minor issues won’t derail a deal, but there are some things that should give the buyer pause, and definitely indicate some re-negotiating, at least.
Forbes recommends watching for these home inspection red flags:
1. Problems with drainage or grading
This can cause a multitude of problems ranging from rotting wood frame to the shifting and/or cracking a home’s foundation over time. A good inspector will notice possible signs of foundation movement. If this is noted on a home inspection, understand that repairs will be costly.
2. Worn out roofing
Watch for any mention of signs of aging such as cupping, curling, blistering, lifting, splitting, insect damage, cracking, rotting and missing granular/sections. These symptoms of an aging roof may be warning signs of future water intrusion unless a new roof is installed; and once again there is a hefty price tag to this sort of project.
Wondering how to maintain a roof? Here are some tips.
3. Unsafe wiring
Defective electrical wiring is a common cause of residential fires. Also, be aware that the number of electrical outlets in the home is significant. Too few outlets can lead to the overuse of extension cords, which places too much stress on the electrical system. You should also be mindful of any exposed wires. Remedying any of these problems will require a professional and the associated costs.
4. Faulty plumbing
This can indicate substantial problems that may even necessitate replacing the entire system. Pay attention to the smallest leak, since the potential for damage is considerable.
Other signs of trouble include mold, water damage, foundation damage, or insect infestations. All of these can be the result of poor maintenance, which has a negative effect on the property as a whole.
What to Do With the Report
Once you’ve received an inspection report, what’s the next step? Be sure to reach out to the inspector if you have questions or if you feel that information is missing. How you handle the report has a big impact on your actual purchase price and on the condition of your new home. Here are some tips for how to proceed:
Discuss it with your real estate agent
Share the report with your agent. They see dozens of reports, and will be able to quickly identify any areas for concern. They can also recommend contractors to handle needed repairs.
Get an estimate for repairs
Have the contractor come to the house and share the inspection report. Make sure that the estimate you’re given covers the specific repairs called for in the inspection. Get a firm timeline for when the work could be accomplished.
Negotiate with the seller
Based on your meeting with the contractor, decide which repairs are most important to you, and what issues you may not be interested in addressing. Discuss the inspection report and required repairs with the seller. Negotiate how those will be covered: the seller may make the repairs or may provide compensation for repairs that you arrange.
The ideal scenario is a clean inspection, although it’s rare that a home has no issues at all. A favorable inspection boosts buyer confidence, as it should. It indicates a home that has been well cared for, and helps deals move forward more quickly.
Improving Value with Glasshouse
If you’re selling your home, being able to demonstrate meticulous maintenance is a big plus. Our Glasshouse customers have 24/7 access to detailed maintenance reports on their property, and can document that their home has been on a comprehensive maintenance schedule. We like to think that we make the inspector’s job easy.
Whether you’re thinking about selling your home or simply understand the importance of preventative maintenance, connect with our team at Glasshouse to learn more about our preventative maintenance service.