A real estate inspection is an important tool for investors and landlords alike. Having a thorough checklist to follow will help you learn as much as possible about potential investment properties.
Property inspectors typically recommend that buyers attend the inspection, but only if their presence is not a hindrance to the process. Buyers may use the results of the inspection to request repairs from sellers or adjust the purchase price accordingly.
Pre-Purchase Inspection
Real estate inspection services are a valuable asset for both buyers and sellers. Buyers are able to determine if the home they are interested in purchasing is worth the asking price and may avoid expensive surprises after the purchase, while sellers can benefit from a pre-sale inspection by getting their property ready to sell quickly and at a higher value.
When choosing a real estate inspector, make sure they have the proper credentials and experience. Ask for references from previous clients and check out their website to see sample reports. Also, look for a member of a national home inspection association such as InterNACHI, AmeriSpec, or National Property Inspections. These associations have strict standards and requirements for their members and offer ongoing education and support.
A home inspection can be the difference between a sale and a failed deal. For example, a beautiful home that appears to be structurally sound could turn out to have major problems after the closing that would require thousands of dollars in repairs. Conversely, a buyer who finds significant issues with the property may ask for a lower price or request that the seller pay for repair costs.
In addition to performing a standard visual examination of the structure and systems of a home, our real estate inspection service can also provide other specialty tests and inspections, such as radon testing, mold assessment, pool inspection, and energy audits. Our comprehensive home inspection report includes photos, diagrams, and explanations of the inspected items along with a summary of the overall condition of the property.
Pre-Sale Inspection
A pre-sale inspection is a real estate inspection conducted on the property before listing it for sale. This allows a seller to uncover issues they might be unaware of, giving them the opportunity to resolve them or factor them into their asking price.
It can also give them a stronger position during negotiations. If a buyer discovers an issue during their own home inspection that hasn’t been disclosed by the seller, they may ask for a credit or concession towards repairs or a lower purchase price. But if the issue was identified and addressed by the seller during their pre-sale inspection, they can show the buyer that consideration has already been made for those costs, eliminating a complication during the closing process.
Pre-sale inspections can also be a valuable tool for real estate professionals, allowing them to showcase their expertise. A thorough and well-written report can help sellers gain the confidence of buyers, demonstrating that their property has been well-maintained and is being sold in a transparent manner.
It can also eliminate hiccups in the selling process, such as when an unresolved issue with a home inspector causes the buyer’s financing to fall through at the last minute. In some cases, the presence of a pre-sale inspection can even prompt some buyers to waive their home inspection altogether, which can speed up the closing process significantly.
Post-Purchase Inspection
A real estate inspection can help new and prospective home buyers make an informed decision about the property they are buying. In addition, it can help them decide whether or not to negotiate the price of the property and ask for specific repairs from the seller. If the home inspector finds serious issues with the property, a buyer can request a lower price on the purchase or ask for a credit to use towards the cost of making necessary repairs after they move in.
Waiving an inspection contingency in a tight market can be helpful for a homebuyer to secure the home of their dreams. However, it can also leave them vulnerable to costly surprises that may occur after they close on the property and become homeowners. A post-purchase inspection gives new homeowners a clear picture of the condition of the property and helps them evaluate and prioritize safety and repair issues.
When choosing a real estate inspection service, it’s important to choose one that is certified by a professional organization with high standards and practices. A reputable company should have a robust website and social media presence with links to testimonials from previous clients. It’s also a good idea to compare services offered by different companies. For example, some may offer additional services like radon testing, termite inspection, pool inspection, and energy audit.
Commercial Inspection
Commercial inspections offer critical insights into property conditions that allow for informed purchasing and sale decisions, as well as validation of upgrades and repairs. They also uncover potential safety hazards that could impact building occupants and provide valuable leverage in transaction negotiations.
Whether you’re buying or selling a multifamily apartment complex, warehouse or office building, a real estate inspector will evaluate the condition of the structure and its major systems, including HVAC, plumbing, roofing and structural integrity. The inspector will likely request important documents related to the property, such as appraisals, past inspection reports, maintenance records, permits, and floor plans.
Most inspectors will recommend that you be present for the inspection so that you can ask questions and gain a better understanding of the findings. They’ll also discuss your options for addressing issues that are uncovered, such as asking the seller to make necessary repairs or negotiate a lower price.
When choosing a commercial inspector, look for one with the appropriate credentials. Check their business licensure, insurance coverage and sample reports. You can also contact their references, and, if they’re members of InterNACHI, look up their ratings and reviews on online platforms like Google, Yelp, or Angie’s List. Many inspectors start as residential home inspectors and pivot into commercial inspections. Those who specialize exclusively in commercial properties may have more advanced equipment and training.