Inspection Woes Can Add Stress to the Real Estate Transaction

The inspector is hired by, paid by, and prepares the inspection report for the buyer. The buyers and the buyer’s real estate agent should be at the inspection. The seller’s real estate agent should be present on behalf of the seller to listen and observe as they are the ones that are going to have to interpret any findings to the seller, the attorney and the repair contractors.  They should not participate or interfere in any way. The seller should not be present. Yup, leave your house again for 1 to 3 hours nervously waiting for your agent to call and tell you what was found. The inspector should identify any findings classifying them as minor, major or maintenance issues. The inspector will send a written report to the buyer and the buyer’s attorney to document and recap the inspection. Sounds simple, yes? Wrong.

 Stress begins … when the home inspector

• …turns a one hour inspection into a three to four hour inspection because they talk incessantly about issues or building techniques having nothing to do with the subject property;
• …has in depth discussions with the buyer’s parent who tagged along on the inspection being over-protective of their child and their home purchase;
• …points out code violations that exist “if the home was built today” but does not also explain that the home originally “was built” according to code;
• …leaves too many issues in the gray area suggesting that a licensed contractor evaluate further.

This is so not the time for the inspector to try and impress the buyer with their vast knowledge or camp out at the property for hours just because they allotted that amount of time for the appointment. Get in, inspect thoroughly, be clear, be concise and provide a comprehensive verbal summary of any concerning issues to all.  The extensive written report should document all the findings.

Let’s just pretend for the moment that only five no-deal-breaker repair items are identified during the inspection. The seller is relieved with the findings and the buyer’s reaction to the identified items. The seller now waits two to three days with minimal stress for the buyers to receive the written report from the inspector and to send a letter via their attorney with the official request of what the buyer wants the seller to repair, replace or address.

What happened to the five items? The written report identifies 18 items plus suggests further evaluations by a licensed electrician, plumber, and mason. Oh no, we are now into high stress. I check the report address to confirm I am reading the correct report. I play back in my head the three-hour inspection I stood through and items that the inspector identified. There were five plus maybe throw in one or two minor things that were barely mentioned … but 18!  I sigh and prepare myself to call my seller to administer real estate psychology and therapy.

Why do inspectors do this? Why do they think everyone attends the home inspection? We don’t want to be surprised when we read the report? Buyers should listen carefully to their home inspectors as they will explain how the systems operate and how to maintain the home. The information is vital and valuable.

Obvious defects or items explained on the Seller’s Disclosure were most likely taken into consideration when the house was priced and not meant to be re-negotiated along with inspection issues. If there is something of concern on the Seller's Disclosure it should at least be discussed while negotiating on an acceptable price. As to the minor and maintenance items, do the buyers not remember the last steps of negotiating where the seller finally agreed to their lower price and they promised not to nit-pick on home inspection issues?  The seller should anticipate a few requested repairs and the buyer should understand that they are not buying a brand new perfect home if it is a re-sale. Be fair to yourself but also to each other … Remember the Golden Rule.