Home inspections tend to make both buyers and sellers a little nervous. Both parties are afraid that some unknown problem will be found in the home that could be expensive to resolve or could even kill the deal. But inspections are a critical safeguard in the homebuying process, making sure everyone is aware of the condition of the home before completing the property transfer.
Here’s what you need to know about home inspections.
What Exactly is a Home Inspection?
A home inspection is when a qualified home inspector visually examines a house to document the current condition of the structure and its systems.
It’s most common for a home inspection to be ordered by a homebuyer when their offer gets accepted. But it’s also normal for sellers to get a home inspection before listing their home, just to avoid any surprises in the selling process.
What is Covered During a Home Inspection?
The typical home inspection covers the areas of the home that are visible to the inspector, including:
Walls, floors, and ceilings,
Doors and windows,
Visible foundations,
Heating and cooling systems,
General electric,
General plumbing,
Roofing and any attic space.
But some areas of the home are either inaccessible to the inspector or require a specialized inspector. These areas are not included in the inspection:
Sewers and plumbing interiors.
Anything happening inside the walls that isn’t visible from inside or outside of the house.
Asbestos, radon, or pests.
Specialty items like pools or fireplaces.
If you are concerned about any of the areas not covered by the standard home inspection, you can contact specialists to conduct additional inspections. Termite inspections, for example, are commonly done separately from the home inspection in California.
How Much Does a Home Inspection Cost?
Home inspections in California typically cost between $300 and $600, depending on the size of the home. This amount covers the inspector’s time to physically examine the home as well as the time it takes the inspector to write up a detailed inspection report.
Additional specialty inspections usually cost somewhere between $100 and $200 each.
Inspections costs are typically paid by the party that orders the inspection.
What to Do With Your Home Inspection Report
Be warned: your home inspection report will be full of issues that the inspector will recommend you address. But, in fact, most of the items listed in the inspection are simply noted for your information.
Issues will typically fall into one of three categories:
For your information. It is the inspector’s job to note that the imperfection, but no action needs to be taken.
Could potentially become an issue at some point. These items should be addressed in the future, but there is no urgency.
Needs to be addressed. Some items need to be addressed immediately. Depending on the buyer’s loan type, they may even need to be addressed before the lender will fund the purchase so the deal can close. In a seller’s market, these urgent issues are most often paid for by the buyer, but in a buyer’s market, they are often handled by the seller. In some cases, they can be grounds to reopen price negotiations. And in extreme cases, they may cause the buyer to walk away from the home.
Having an experienced real estate agent in your corner is critically important when it comes to navigating your home inspection. Not only can your agent provide a recommendation for a reputable home inspector, but they can also comb through the inspection report with you to help you prioritize items and decide how to proceed.
If you’re a seller getting a pre-listing inspection, your agent can advise you on which items (if any) should be addressed before listing your home on the market. And if you’re a buyer, your agent can negotiate on your behalf to get serious issues resolved or perhaps to renegotiate the purchase price to offset the serious issues.
Whether you’re buying or selling, contact Sequoia Real Estate today for a free consultation with one of our experienced real estate professionals.