According to the American Society of Home Inspectors (ASHI), 81 percent of people who get a home inspection done have a contingency clause placed in their contract vis a vis the inspection. This means they have the option to negotiate with the seller about problems found during the home inspection.
So what do the results of a home inspection entail? And how do you proceed from there?
Let’s start with the basics: A home inspection is not a pass-or-fail test.
It simply helps you arrive at a better understanding of the home you’re buying. What you choose to do with that information is entirely up to you. Here’s how you should move forward after receiving inspection results.
1. Ask the seller to make repairs
Once the report is compiled, significant issues may be found that need to be addressed before you move in. For example, if high levels of radon (an invisible gas that comes from the decay of rock under the earth) are detected during the inspection, then moving without addressing the radon is a cancer risk. Any cracks in the foundation and walls need to be sealed, and a radon mitigation system must be installed.
The chances are that the seller will be willing to fix such problems because it’s such a strong point of contention. Other issues in the house that compromise its structural integrity—such as damaged roof or walls—should be repaired beforehand too.
2. Negotiate the price of the house
The home inspection report could also be used to negotiate the price of the house. You could ask the seller to subtract the costs of all the repairs from the selling price. To make a strong case, you’ll need to do your homework. Find out the average cost of the materials and labor required to make those repairs and then start the negotiation.
More often than not, sellers will be willing to knock off the price of the repairs because they don’t want to delay the sale or get into the hassle of repairs. Moreover, some buyers prefer getting the repairs done themselves, so they meet their standards.
3. Modify the deal
A home inspection generally occurs when the buyer has made an offer, but the deal is not closed yet. Your contract may have a contingency clause that allows you to modify the deal if the results of the home inspection don’t meet your criteria.
As previously mentioned—it’s not a pass-or-fail test. Every homebuyer has their own criteria. What one buyer might consider a deal-breaker might not bother another.
We suggest keeping the big picture in mind. Cosmetic repairs, such as peeling paint, might look unappealing, but they don’t affect the health of the house. So it’s best not to get bogged down by elements that “look bad” and focus on structural issues instead.
4. Move forward with the transaction
Lastly, you can move forward with the transaction as is. There may be some problems in the house, but the seller might not be willing to budge on the price, however, the seller may make a few repairs or concessions. As long as you are happy with the safety and livability of the home, you should proceed with the purchase of the home.
On the other hand, the results of the inspection may reveal only minor problems that you’re okay with. This is a good outcome. As long as you’ve chosen an experienced and impartial home inspector, though, you should be confident in your decision.
Accurate Inspections, Inc. provides reliable and detailed home inspection Hudson County. Our home inspectors have over 25 years of experience inspecting homes in the New Jersey area.
We offer home inspection services in Bergen, Essex, Hudson, Morris, Passaic, and Union Counties in New Jersey.
To find out more about home inspectors NJ, you can call us at (973) 812-5100 or fill in this quick form so we can get back to you.