The Collaborative Knowledge Article and Video Project about Buying and Selling a Home. With your writings, edits and uploads we can help people successfully complete what is probably the largest transaction in their lives, and avoid making costly mistakes. Both agents and consumers, we need your help to build this free resource.
About Home Inspections
By Matt Unangst, 23 Jan 00:32
• An examination of the structural and mechanical systems of a property
• Conducted by a state-licensed building contractor
• Any defects found must be repaired by a specialist
• Some lenders require a home inspection
• Buyers should inspect before buying
• Takes place after purchase agreement is signed
• Buyer usually pays as part of closing costs
• Cost: Usually $150-$500
• Shop around for the best inspector and best rate
• Buyers: Make sure you can get out of purchasing property if it does not pass inspection
Imagine moving into your new house, only to find out that it’s already falling down around you. Fortunately, this doesn’t often happen, thanks in part to home inspections. When a property is being inspected, a state-licensed building contractor examines the property’s structural and mechanical systems for soundness. Mechanical system inspection includes elements like plumbing, heating, electrical, and air conditioning, while the structural part of the inspection focuses on the walls, doors, ceilings, attic, and basement.
Any problems with a property’s systems will be repaired by a specialist in that particular system, such as a plumber or electrician.
Wanting to prevent any possible liabilities, many lenders will refuse to issue a loan for a property until that property has been inspected. Standard procedure is for the home inspection to be ordered after the purchase agreement is signed, during escrow. This helps buyers, who should also want to be certain that what they are buying won’t collapse. Sellers might also want a home inspection before they even put their property up for sale in order to prevent any future hindrances to it being sold.
Buyers usually pay for the home inspection as part of closing costs, but this varies from area to area. Check with your real estate agent about who pays in your area. Home inspection costs range from $150 to $500, depending on the size and location of the property being inspected.
Before deciding on a home inspector, shop around a little bit. Take a walk around the property with the inspector. Make sure that you are getting a quality inspection, not just the best price. Your inspector should be certified and in good standing with the National Institute of Building Inspectors.
Important for Buyers: Be certain to include a contingency clause in your purchase agreement allowing you to get out of the agreement should the property you are buying not pass inspection. Also be sure that all repairs commissioned have been completed prior to you signing off to close your purchase.
SEE ALSO: About Pest, About Appraisal Services, Closing Costs, The Closing Process
Tags: home inspections