The Terrifying World of Inspections
Home inspections can be the most intimidating part of the home buying process when nerves and emotions run high. Luckily with the right mindset, teammates, expectations, and inspections, things don't have to be so daunting. Today, we talk you through how you can prepare for your inspection, how to know as much as you can about your future home, and what are the major deal breakers that we see weekly.
First thing that we do with our clients when we talk to them about the home buying process in general, is the inspection and helping them understand what to expect. When we're going to look at homes, a key part of what we do as your teammate is looking to see if there are any major red flags that might be structurally wrong with the home, not just the color of the countertops. We're trying to do a basic visual inspection based on the common issues that we see so that you can be given a heads up so everything is not a complete surprise.The best place to start is always the beginning, so we are going to walk you through the entire process as well as things to be on the lookout for when it comes to inspections!
Step #1: Finding the Right Inspector
Choosing the right inspector is of the utmost importance and a good inspector is going to be doing a lot of work. We want to make sure that they are seeing a lot of homes, are up to date on what's common to see, can shoot you straight on what is/isn’t a big deal, and is as detailed as possible. In Texas, inspections are done during the option period, which is typically the first week of a contract period to answer the question of, “What are the things that we didn't know when we first walked through the home?” It is a small investment to really know what could be wrong with your house. Inspections are typically going to run you around $600, but of course that varies based on your location and the size of your house. It truly is a drop in the bucket compared to the overall home price and what it may cost to do some of these repairs. Make sure you have money set aside for your inspection and do not skimp on hiring the right people during the inspection phase!
Keep in mind a general inspector cannot see through walls like a superhero, they are going to get into the home as much as possible though; top to bottom, attic to crawl space. A general inspector is like a family doctor, they might find something and say you need a specialist. For example, if they were to find something wrong with the plumbing they’d then refer you to a plumber to do a deeper inspection. Yes, that’s going to cost money too, but it is less expensive than leaving a problem unsolved and dealing with it in the future.
You need to be aware that things are likely going to break and we want to make sure we know as much as we possibly can from this process. Now let's talk about the inspection itself after we’ve found a great inspector that we trust is going to do a good job for us on inspection day.
Step #2: The Inspection
We're going to get the inspector out there ASAP, so it may or may not work best for your schedule, but the sooner in your option period the better. It’s best to do this so we have more time to do follow up inspections if we need them and to really wrap our mind around what was found. We highly recommend not attending the inspection and just allowing the inspectors to do their job. The reason for that is they're very used to working alone and have an efficient system, so we don’t want to distract them or they may miss something. The inspection will be hours of them going in, out, and around the home. They’re wanting to get to the root of any problems they may see, collect their thoughts, and give you a thorough report. It’s in your best interest to meet them after the inspection to ask questions and get clarity on what needs to be done. A great inspector will happily go over all of your questions, don't worry! I call the inspection the “sandwich rate,” the roof and foundation are the buns then the plumbing in between. Those are typically the three most expensive things we see, which for most people, the more expensive it is, the scarier it is. Make sure that you have an agent on your team that isn't going to be afraid of these things either, but can really shoot you straight on the common issues in your area.
Roofs & Foundations & Plumbing, OH MY!
The Roof:
Check to see if there is any hail damage. If any damage is found then call the insurance company to come take a look.
Look into the manufacturer's warranty.
Make sure there are no leaks or subsequent water damage in the attic.
The Foundation:
Based on the soil type surrounding your home it may be expanding or contracting in big ways.
Keep an eye out for cracks and sloping floors.
If any issues are found surrounding the foundation they'll take a thorough look at the beams and slab underneath the home.
Your home IS going to move, we want to make sure that it's within a reasonable amount of movement and not outside of a tolerance.
The Plumbing:
Foundation issues can lead to plumbing problems.
Older homes often have cast iron plumbing, which erodes from the inside out.
Checking the status of functionality and making sure there are no cracks or leaks.
Step #3: The Report
The report that they make is going to be a really long list, but the majority of those items are “honey do” list items. They are going to be small issues, but we’re not going to ask the seller to repair all of these items in an older home. The whole point of this is looking for those larger issues. We were wanting to eliminate the chance that you are going to have to spend thousands or tens of thousands of dollars unexpectedly. Our focus is big ticket items, not things that can be remedied by a trip to the hardware store on a Saturday morning.
An inspection is good for information for you, regardless of what that looks like, but the negotiation piece of what we go back and ask the seller for really matters depending on your negotiating position. Your agent is going to help you weigh what is important. Keep in mind, a seller doesn't owe you a brand new house, so just because we found out that something was wrong doesn't mean it's their responsibility to fix it. One of the most common things we see are things not being up to today's current codes or current standards. For example, there are requirements now around the amount of space between stair bolsters, but we're not going to ask the seller to take down the entire staircase and rebuild it so it's up to current child safety codes. The seller is going to move on to the next buyer if you want them to rebuild that whole staircase. Use your inspectors' experience to gage what is normal, versus what you should be concerned about.
*Keep in mind inspectors are not contractors despite all of the knowledge they have. When we are asking for an estimate on a repair of some kind it’s important to get the appropriate professionals hard numbers.
Step #4: The Negotiation
Say we find some larger issues, how do we determine what's what and how can we move forward? It’s important to note if the issues are deal breakers for you, while keeping in mind most things can be fixed and it's highly uncommon that your home is on a sinkhole. It’s really a matter of how much it will cost and who's going to pay for it in the negotiation period.
It will ultimately come down to your willingness financially and otherwise. Make sure that you're checking in with yourself or with your spouse, on what your willingness is in terms of putting up money for repairs or negotiating with repairs. As we had mentioned before, know that buying a home means that some things are going to go wrong. If you have a really low tolerance for repairs then a new home might be right for you. Even then, a newer building doesn’t guarantee that everything was done correctly or that there won’t be any issues. Your agent should be able to help you understand how far you can negotiate, what the market looks like, if you’re in a strong position, or if a seller is in a stronger position. They'll help guide you through that! Just remember, while you’re in the negotiation process be reasonable, don’t get too in your head, and know your limits.
Quick Tips for Current Homeowners:
The best way to minimize the length of an inspection report is to make sure you're caring for your home while you live there.
Sign up for our monthly home maintenance checklist at WhereWeLivepodcast.com.
Listen to Episode 18 titled Big Mistakes in Caring for Your Home.
You’re now inspection ready!
Put on your hat as an investor in this new property and look at what are the big things that may be expensive for you down the line. We hope this showed you that inspections aren't as scary as they seem, it’s simply another part of your due diligence process as you buy a home. A great inspector is a key resource to knowing more about your future home and what problems you might encounter. Remember, when it comes to houses, most everything can be fixed. It simply depends on how much it will cost and who is going to pay for it.
Happy home buying!
Brianna & Keelie