Is a Pre-Listing Inspection Worth the Cost?
Having a full, professional, inspection done prior to listing your house for sale can save you thousands of dollars in expenses and delays. There are four things that I always recommend to my seller clients in order to have a smooth closing and get the best price for their property.
- Disclose anything and everything about the property condition and anything that might affect a buyer’s decision to purchase your property.
- Get a new survey
- Purchase a Home Warranty
- Get a thorough home inspection before listing your house for sale.
These things will pave the way for a smooth closing by helping to avoid the problems of dealing with issues that are revealed during the buyer’s inspection. No matter how nice your house looks, there can be major problems that you are unaware of like:
- Damage to the roof or shingles,
- Code violations (of all sorts),
- Electrical issues with wiring, outlets, GFCI’s or Arc Fault breakers,
- Plumbing,
- HVAC systems,
- Foundation issues,
- WDI infestations,
- Mold
There is no better way to show potential buyers that you are being honest and are disclosing everything about your property that might affect their decision to purchase before they even make an offer. The seller’s disclosure, a pre-lising inspection of the house and it’s major components, a home warranty, and a new survey will create a sense of trust between the seller and buyer and will help to support your asking price and make for a much smoother closing with a lot less heartburn and can save you thousands of dollars.
How Much to You Really Know About Your House? You may think that your house is in terrific shape and nothing could be wrong that might derail the sale. Think again! Home inspectors are very thorough and very good at their jobs. They will find things wrong with things that you didn’t even know that you had. Hose bib? Arc Fault? GFCI? Conducive Conditions? Window Lintel? Missing Damper Clamp on the fire place? Post Tension Cables? Cable Ends Not Properly Sealed? My pool needs what? When was the last time that you crawled around in your attic or got on your roof and looked around? You will be amazed at how much stuff shows up in their very detailed 25 page report! Don’t get caught off guard. Do your homework and head off problems.
The buyer’s inspection is usually done during the very short option period, after the contract has been signed. This doesn’t allow much time to make repairs and may cost the seller thousands of dollars by being asked to lower the sales price, contribute to the buyer’s closing costs, or agree to have the repairs completed prior to closing. The buyer may terminate the purchase contract due to the uncertainty, and even distrust, that is created by problems being found that were not disclosed by the seller in the Seller’s Disclosure. Repairs made, after the contract is in effect, must be completed by a licensed, or qualified, professional. This can get expensive very fast.
The stress and panic of rushing to find someone to make the repairs and what they will cost can be avoided if the seller gets an home inspection prior to listing the house for sale. This allows time to find out what problems exist and how best to handle them and avoids an unpleasant surprise during the critical option period.
Repair, or Replace, anything that is broken, damaged, or beyond it’s useful age BEFORE LISTING YOUR HOUSE for SALE. If there are things that aren’t going to be corrected, those things can be disclosed to the potential buyers, including providing them with a copy of the inspection report, before the contract is signed. This is a real confidence, and trust, booster, for the buyer and the seller. The seller can decide what is the best way to handle the repairs, either having them done, before listing the house. The seller can also offer a contribution to the buyers that will cover the estimated cost of repairs. This helps to prevent the buyers being under pressure to make decisions quickly in order to avoid having the contract terminated.
The home inspection can cost from $200 to $500, depending on what you ask for and what company you use. Some inspectors offer a discounted version of an inspection that is limited to the Roof, Electrical, Plumbing, HVAC, and Foundation. I believe that the full version of an inspection is well worth the cost since it can save time and money. It also provides reassurance to the buyers that every part of the house is in good condition and complements the Seller’s Disclosure.
Time is money. Each day that your house is off the market, or closing is delayed, costs you money. The per-day cost of home owners insurance, utilities, property taxes, and all normal fees can add up quickly. Consider these things when making a decision as to how you are going to handle this issue.
If your contract gets terminated, you have lost time and you have probably lost all or most of the potential buyers that had been interested in your property. They move on quickly. Your sale will proceed more smoothly and is much less likely to be delayed or to be terminated for property condition issues if you take care of repairs before you list the house for sale. Don’t let needed repairs become issues after the contract is signed.
For a complete guide on selling your house, click here. I hope that you have found this information useful. If you have, please like my page. If you would like more information about buying, selling, or leasing residential real estate, please press the Contact Us button and provide me with your contact information and let me know what you would like to talk about.