Bad News Bears
Weâve got to know our âgo-toâ home inspectors over the last decade and theyâre no longer offended when we start a home inspection by calling them âbad news bears.â
Thankfully home inspections are back as part of a regular real estate transaction; those years without home inspection subjects were stressful due to the many unknowns.
The entire purpose of an inspection is for an inspector to meticulously work their way through a property and document every crack, drip, worn-out component, and deferred maintenance item they can find.
The kind of inspectors we recommend donât sugarcoat things. They deliver the news exactly as the potential purchasers expect⌠honestly and with support in the form of a report often reaching 70-90 pages including pictures, moisture meter readings, heat camera images, and more.
What Happens After Inspection?
Now that home inspections are back, on a near weekly basis we find ourselves explaining to buyers the options they have following inspection. There are always, always issues. We even advise home inspections on brand new homes, and good inspectors always find something. The key isnât whether issues exist – itâs figuring out what they mean for your transaction.
So! Letâs review our potential responses following a home inspection report together:
1. Walk Away
Sometimes the inspection uncovers problems serious enough that walking away is the right call.
Iâll never forget a call from a home inspector half an hour into an inspection saying, âif you send me home now I wonât charge the clientsâŚâ It turns out the seller had hidden jacks in a stack of cardboard boxes in the garage, literally holding up a joist that supported the whole second floor!
Structural issues, major water damage, significant foundation concerns – these can turn a dream home into a money pit fast. If the numbers donât work and the risk is too high, you are well within your rights to walk away. No deposit has been paid. There is no further liability to worry about. Time to move on. Â
2. Negotiate on Repairs
If the issues are significant but fixable, particularly if they were âlatent,â i.e. we couldnât have expected to uncover them during our 15 minute showing, we can go back to the sellers and ask them to address specific items before closing.
This works best when there are clear, definable repairs – a leaking roof, a faulty furnace, organic growth in the attic, active leaks⌠weâll identify what matters most and make a targeted ask for repair/maintenance by a licensed professional and for a receipt of the work to be provided.
3. Negotiate on Price
Sometimes sellers donât want to deal with repairs – and thatâs fine as long as itâs not an ongoing issue that would cause further damage. Instead of asking them to fix things, we occasionally are able to negotiate a price reduction that reflects the cost of the work that needs to happen. This gives you the control to manage the repairs yourself, hire your own trades, and do it on your own schedule.
4. Build a To-Do List
Not every item on an inspection report is a deal-changer. Minor maintenance items – normal wear and tear, small fixes, cosmetic stuff â are all part of buying a home, unless itâs literally a brand new one straight from the developer.
In these cases, we use the report as a planning tool. You know exactly what youâre walking into, you can budget accordingly, and you move forward with your eyes wide open.
If itâs an item a strata would be responsible for, we can always ask the current owner to report to them for their own âto-doâ list around the complex.
Home Inspections Are Back
Frankly, weâre relieved home inspections are back and that home buyers have the opportunity to really understand what theyâre purchasing.
If youâre looking for a real estate team that will protect your best interests before, during, and after home inspection weâre the ones to call.