Although home inspections are advertised regularly and recommended by mortgage lenders as well as real estate agents, first time home buyers may still be a little unsure about the purpose of the inspection. In a nutshell, the inspection gives the buyers a full view of the home’s condition at the time of purchase. This represents a base line from which the buyers can build their knowledge for future repairs or renovations.
Purpose of the Inspection
The home inspector will first test all of the major systems located throughout the home. This will include the electrical wiring, the plumbing, the cooling and heating system and any other major system. The foundation, roof, and exterior walls will be looked over very closely. After the inspection is complete the buyer will receive a full report that can be the size of a small novel. This report will usually cover a wide variety of small details that would escape the attention of a typical home buyer.
Influence of Inspection on Transactions
The home inspection is quite handy for people looking at buying older homes. The report may reveal a problem that was unknown to the current owner. This can lead to either a reduction in the asking price or a negotiation to fix the problem prior to the sale. If the problems are quite extensive then the buyer may wish to cancel the purchase contract and search for another property.
Best Practice: Order an Inspection after Placing Bid on Home
Some sellers may offer a home inspection of their own that was completed at some time in the recent past. While this may be a good sign that the seller is being proactive towards the condition of the home and revealing any possible issues, it is still a good idea for first time home buyers to order their own report. A problem can pop up at any time and can linger without the homeowner’s knowledge. Getting a current report lets the buyer know the exact condition of the home when it is purchased.
Be prepared to spend between $300 and $600 on the inspection report. This may seem like a large fee but in comparison to an investment of thousands upon thousands of dollars this is a good preventive measure to ensure there are no major problems with the home.
Visit our first time home buyer page for additional information.
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