Do I Want a Home Inspection…Before I Sell??
Have you ever taken your old car to a State Inspection Station to get it approved prior to selling it? It can be a real eye-opener! You well may find minimal brake pads, poor alignment, headlights askew, etc, etc. But repairing these things, and getting through State Inspection before you sell, often means a quicker sale and getting a better price for your car.
Most homes, these days, are sold subject to or contingent upon, a Home Inspection by the prospective Buyers. In many cases, deficiencies and/or safety issues are found during these inspections and BUYERS ask, and expect, the SELLERS to make the repairs, prior to settlement. Frequently, the SELLERS do not have the time or energy to complete the requested tasks.
So what happens? ?
Usually, an exaggerated amount of money gets taken from the SELLER’S net proceeds at the closing table, and often ends up in a Title Company escrow account. The remainder, if any, is eventually returned to the SELLERS upon completion of repairs. Funds escrowed are typically wild guesses as to what repairs might cost !
Think about it -what incentive do the BUYERS have to find competent contractors, and get several competing bids? Not much, really. They are not paying for it ! Consequently, SELLERS will often effectively pay a lot more for repair items than they might have, had they arranged for a pre-listing inspection and corrected these things beforehand. Let’s say a SELLER needs a new roof, based on his pre-listing inspection. He or she gets several competitive bids. Realistic, written estimates are gathered. Now, the SELLER has the option of replacing the roof, or simply crediting a BUYER for the cost, based on REAL cost figures, not wild guesses.
Here is a short list, summarizing some of the benefits of a pre-list inspection :
- Inspector may discover hazardous conditions/items that threaten the safety of current owner and family.
- SELLER can choose his/her own inspector, instead of being at the mercy of whoever the BUYERS’ choice may be. (Uncle Harry?)
- SELLERS can use a favorable report as a selling tool.
- Items that would likely have come up during a BUYERS inspection can be corrected and eliminated beforehand.
- SELLERS can negotiate contract price without fear of major, unanticipated expenses, resulting from BUYERS inspection.
- Having a report in hand may eliminate unfounded assumptions that BUYERS might otherwise conclude, based on their own observations. The list could go on, but the point is made.
Why gamble, when you have the ability to be in better control?