This BLOG On Attending Home Inspections During Home Buying Process Was UPDATED On December 3rd, 2018
Attending home inspections are important to home buyers. It is worthwhile for every home buyer, especially first time home buyers in attending home inspections during home buying process. A home inspection normally costs between $200 to $500. It is paid directly by the buyers to the home inspection company.
- It is normally home inspections that determine whether or not the home buying process will proceed or not
- It’s also important to understand the difference between a home appraisal and a home inspection
In this article, we will discuss and cover the importance of home inspections during the home buying process.
Difference On Home Inspections Versus Appraisal
Here is a brief explanation of that difference:
Home Appraisal Versus Home Inspection:
A real estate home appraisal is required by lenders but a home inspection is not a requirement.
- The home appraisal is ordered by the lender through an Appraisal Management Company (AMC):
- Home inspections is paid by home buyers
- Home appraisal determine the evaluation of the subject property that is being financed
- Data such as square footage, type of constructions, year built, condition, number of bedrooms and bathrooms, lot size, and value is listed on the home appraisal report
- Comparable properties similar to the subject property is listed
- The home appraiser will list the value of the property
- Home inspections are carried out prior to the home appraisal
- If everything goes well with the home inspection, the home buying process proceeds
- If there are flaws with the home inspection, then the home buyers can either re-negotiate or cancel the real estate purchase contract and move on
- The mortgage borrower is entitled to a copy of the home appraisal
A home inspection is carried out immediately after going to contract.
While an appraisal is generally mandatory before you are offered a mortgage, an inspection is not. However, it is advisable.
- The process is carried out by licensed home inspectors
- Home inspectors will check out aspects of the property such as its electrical wiring, plumbing, insulation and waterproofing
- While not mandatory, it is generally best to attend home inspections yourself
- By doing so, you will have a far better idea of the infrastructure of your home than had you not been present
Here are some specific benefits of doing so:
Learn Where Things Are By Attending Home Inspections
Homebuyers will find out where the power meters are, where the hot water heater is situated, and everything else connected with the home.
- This is an ideal opportunity to ask the inspector about water and gas valves, and where any cables and coming are coming into the house
Homebuyers can take notes and ask how central heating works, and how each of the systems should be maintained while attending home inspections.
Check the Appliances Attending Home Inspections
Most appliances are and equipment attached to the home comes with the home purchase and should state so in the real estate purchase contract.
Since equipment and appliances are included in the sale, such as cookers, ovens or even fountains and pond pumps, attending home inspections gives home buyers the chance to make sure that these are operating as they should be.
Make Purchasing Decisions
Again, home inspections are what normally determine whether the home purchase will go to the next step.
- Home inspections can reveal minor problems but in most cases can be negotiated if the home inspector finds anything wrong with the subject property
- Homebuyers can check basements, attics and the ‘cupboard under the stairs’
- Need to make sure nothing has been hidden from buyers during the viewing
Homebuyers can cancel the purchase at this point if everything is not as claimed.
Understand Home Inspections Report
A home inspection report is easier to understand if homebuyers have been present during the inspection.
Homebuyers should not take part in the inspection:
- But look at what the inspector is looking at
- Should listen to the comments made
- Ask pertinent questions when there is something that confuses or troubles you
By attending home inspections, home buyers will get to know their new home better than if the did not attend.
- Homebuyers will learn where the hidden things are such as meters, water taps, gas valves, electrical switches
- Homebuyers will learn which is in the crawl space, garage, and basement or even underneath the patio!
- Homebuyers may be surprised by how many people pave over the main valve controlling the water supply into their new home!
Home inspections are worth attending, and most realtors and mortgage lenders would recommend you do so. The home inspection can be very revealing and very educational.