A home inspection takes place after a seller accepts your offer to buy a house and before closing. Plus, an early initial inspection makes it easier to set a follow-up inspection, if needed.
This is ideal because you want the inspector to provide you with any valuable information that could affect pre-closing negotiations. While you—the buyer—hire a home inspector to do a thorough review of the condition of your possible future home, your lender hires an appraiser to estimate the value of the home.
The appraiser conducts a review of the property as well as comparative properties and sale prices for those houses. The U. Department of Housing and Urban Development HUD requires appraisers to look for problems involving health and safety and will put the loan application on hold until the seller resolves the issues.
HUD strongly encourages prospective homeowners who are using an FHA loan to also get their own home inspection. You also can search online, but be sure to check online ratings and reviews. These association websites are also a good way to double-check on referrals you might see from others, as these sites have certification programs and a code of ethics for members. States often regulate the homeowner inspection industry and set inspector requirements.
You might ask these questions directly to the inspector or to a contact at a company that has multiple inspectors on staff or under contract:.
You will need to pay for the inspection before or at the time it occurs. The cost will vary and could be higher than average if the home is more than 2, square feet. You might also need specialty inspections, such as for mold, pests, radon and lead. The length of the inspection will likely depend on the size of the home and surrounding land.
Expect it will take at least a couple of hours, as the inspector has to look into each area of the home, climb on the roof and test the HVAC system, every electric outlet and the plumbing. After you review the report, plan to discuss it with your real estate agent and lawyer if you have one. If the seller ignores your concerns about the repairs—such as refusing to fix them or pay for you to do it—it might be time to back out of the purchase contract as long as you have a proper contingency.
Bob Musinski has written about a variety of financial-related topics — including personal and business loans, credit cards and personal credit — for publications such as U. News and World Report. He has worked as an editor and reporter for multiple publications and an international wire service.
You can follow him on twitter bobmusing. The report will be sent directly to you, most likely by email. A good report will clearly highlight potential hazards, damages, or issues so you can see where the problem areas are. Your real estate attorney should also have a good understanding of the contents of the report as it's their job to help you negotiate your sales contract.
Every home really is different. Condos, co-op, townhouses, and single-family homes all have different bylaws that they must adhere to. An inspection may only pick up what you yourself see just by looking at all the rooms in a co-op. In fact, a close inspection by the buyer of the appliances, fixtures, flooring, windows, and doors may be enough.
In most cases, maintaining the building is the responsibility of the corporation and all shareholders. Then again, the co-op building will clearly state that the shareholder is responsible for the repair of windows or the air conditioner unit, for instance. Reviewing the board meeting minutes and annual financial statements will help you and your attorney assess the state of the corporation's finances as well as the state of the building itself.
In a co-op, if a heating unit or plumbing are faulty, the co-op is responsible for getting them fixed. In a condominium , if the same types of things are damaged or not functioning, it's up to the condo owner to get those repaired.
The inspector will look at the electrical system, the HVAC, and the plumbing, as well as the working order of windows and doors and other necessary areas or appliances. Here, the inspector will ask the potential buyer to contact the condo association for records of the overall structure of the unit rather than examining the structures themselves. A thorough inspection will shed light on the working order of all of the interior systems of the unit and your detailed report will help you guestimate how much your maintenance will be once you close.
Unlike co-ops, prospective condo buyers and their inspectors must have access to a technical audit of the building, which will help you see the actual condition of the building. The inspector will also need the most recent status certificate to establish the overall condition of the condo building.
Above all, have your inspector find out if there are enough funds in the condominium building that can be used for immediate issues, as well as for any future repairs without you being pinned to a new assessment. Home inspections for townhouses and houses overlap, and one major reason to hire the inspector is to examine the roof of your potential house.
If your inspector sees caulking on the shingles, this is a tell-tale sign that the roof has undergone a quick fix patching, and not in the right manner. The townhouse inspection can turn up some expenses that look fair now but will decay in the foreseeable future and be a liability. If you are quoted a cost for a townhouse inspection, the inspector will always quote the inspection fee exactly as the agent would for a single-family home. If a single home is considered the same as a townhouse, then the latter should be inspected in the same way as the house, with access to the outdoor structure of the house.
A home inspection may feel like a waste of your money if you are buying in new construction. You assume that since it was just constructed, or if that it has been constructed within the last five years, there will not be any problems.
Issues during the construction may have not been addressed. It's also common practice for developers to outfit their condos or homes with swanky looking fixtures and appliances that are actually cheap. Developers can also often forego using a real architect or interior designer and make quirky choices when it comes to actual construction, design, or materials.
Having a home inspected before you purchase the home is important, we know, but it also gives you the advantage to negotiate a lower price. So if you are slightly out of reach on a home you want to purchase, remember that the home inspection report allows you the option of bargaining if the report shows some deficiencies.
And of course, you can add to your purchase contract language that enables you to back out of the agreement if you are not satisfied with the negotiation or if your inspection results in too many problems.
It is their duty to hire the inspector, make sure the inspections are finished in a timely manner and, of course, shoulder the cost. Once you receive the inspection reports and find that there are no major deficiencies and problems with the apartment, this is when you can proceed with the purchase. If done correctly, your new townhouse or condo will be move-in ready and you can rest assured that there are no water damages and that the HVAC is working as it should.
Augustine Reyes Chan Updated: Jan 5, Learn how a home inspection can help you prepare to buy your home and give you the tools to negotiate a good deal. Find out what the inspection includes and doesn't, how much it costs, and what to expect from a good inspector.
It is an important part of the journey that leads to the closing of a house. Inspections are not standard at co-op buildings but are for condominiums and houses. What is a Home Inspection? Home inspections can help determine where expenses for replacement or upgrades may arise in the future for many components, including:.
There are programs available at local, state, and national levels that provide grant money and tax incentives for replacement for many of the above components in a home. Ask your Realtor about potential programs in your local area and state. Price Negotiations. First and foremost, the purpose of the home inspection contingency is not to get a better price on a home because of minor issues found during the home inspection.
If there are some major problems that are discovered during the inspection however, it maybe appropriate to renegotiate the terms of the original accepted offer. Depending on the type of financing and terms of the original contract, deficiencies from the home inspection can be used as a reason for a reduction in the price or a concession from the seller towards closing costs. The only person who can determine what home inspection findings that need to be corrected before moving forward, is the buyer.
After the home inspection is completed, you will have the opportunity to request repairs of the home owner. The home owner will have the opportunity to agree to the repairs or disagree to the repairs. Without a home inspection, you will not have the opportunity to request repairs from a seller. This is another very important reason why having a home inspection when buying a home is strongly recommended. One of the biggest challenges that is faced during a real estate transaction is the home inspection phase.
Many transactions will not be able to move forward after a home inspection for various reasons. There are some circumstances where a buyer does not feel comfortable with the findings from the home inspection and will not proceed with the transaction, no matter what concessions and repairs are offered from a seller.
Final Thoughts. As you can see, having a home inspection is highly recommended when buying a home, for the many reasons listed above. While a home inspector is not perfect and can miss issues during a home inspection , they are going to inspect the home in much more detail than you and your real estate agent did during your initial visit. Some questions and things you should consider asking a home inspector include:. This could be used as a great tool in purchasing negotiations with the seller.
As the buyer you may be able to negotiate the price dependant on what the inspector has found. If flaws were found within the home, the buyer now would have a couple more options in negotiations. A buyer could negotiate a credit with the sellers, have the seller pay for repairs before the closing, purchase the home as is, or walk away from the purchase if the issues seem too problematic. This professional inspector would check for signs of structural damage caused by wood boring insects.
These insects may cause problems down the road. A radon inspection is also important when purchasing a home. Radon is a radioactive gaseous element formed by breakdown of radium, that occurs naturally especially in areas over granite, and is considered hazardous to health. Radon gas from natural sources can accumulate in homes, especially in confined areas such as attics and basements.
Radon levels fluctuate naturally, therefore testing for high levels is important. A radon test consists of using a radon kit that would be hung or placed in the lowest habitable floor of the house for two to seven days.
After the kit sits for the required amount of time, the inspector sends the kit to a lab for analysis.
0コメント