Wednesday Nov 11 2009
Our offer was accepted, now what do we do?
By: Kari McCoy
The Real McCoy
Dear Kari, We are really excited about our new home purchase. Our real estate agent suggests we have a Home Inspection that will cost $275 to $550. However, we feel the home is in great condition, with new paint and new carpet. Why should we spend money on something we might not need, when we could get a new sofa for our new home and get something we really feel we need for our money? Answer: A home inspection benefits the buyer with necessary information about the home. Since this not only going to be your home (it’s also an investment), you will want to make sure there are no hidden issues that could end up using your entire savings and more. What does it cost? The home inspection costs are determined by the square footage and the extra amenities of the home. What does an inspection entail? The home inspector goes over the home from top to bottom, evaluating the conditions of all the basic systems and structures of the home to identify conditions that may be considered defects and may affect the market value or the safety of the home. If repairs are needed, the report describes those facts and defers to a qualified trades person for further detailed evaluation. The home inspection will not typically place a dollar amount on the area in question and will not offer to alter or repair any condition of the home. Please note the inspection report isn’t intended to be used to reduce the purchase price and the seller is not required to correct problems or make repairs, just as the buyer may opt at this negation time frame to not continue with the completion of the sale of the home. The inspection is offered to the buyer and seller with full awareness to the condition of the home. Future maintenance may be required and what systems may need replacing or upgraded in the home are noted. The home inspection lays the facts on the table and will outline in the inspection report (if necessary) with possible solutions to any Problems or situations, however, do not dictate the course of action. In the event defects are discovered and relative to the terms of the offer, the buyer may have the option to request the repairs be completed or to request a reduction in the asking price of the home. The seller then has the option to comply with the requests or simply decline. This leaves the buyer, seller and Realtor the option to conduct the negotiations with full disclosure, benefiting all parties. Since the nondisclosure of known defects can provide the grounds for legal action, the inspection report can reduce the likelihood of misunderstandings and lawsuits after the sale. A home inspection is not a guarantee, yet it benefits the buyer and seller by supplying affordable necessary information about the home. For more information, call your local real estate professional. Kari McCoy has been a Realtor for 25 years and owns the Kari McCoy Group, Residential Real Estate, at Coldwell Banker. She can be reached at (916) 941-9540, firstname.lastname@example.org or at karimccoy.com.