Realtors – Don't let the home inspection "KILL" the deal
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Glenn Thorne - Guardian Inspections |
Realtors often complain to me about inspectors who kill the
deal. On the one hand they always say
that they don’t want their clients to buy a home and face unknown problems but
they usually have a story or two about an sale that went awry after the
inspection. In some cases they feel the
inspector should have handled the inspection or reported things differently. Stories about poor communications, overzealous
reporting, fear mongering to get more business, etc. are amongst their
complaints. In a future post I will
discuss some of the steps professional inspectors take to better perform their
inspections but in this post I primarily want to provide some tips for realtors
so they may be better equipped to have a successful home inspection experience
that supports rather than hinders the sale.
Recommend inspectors that adhere to reputable standards
·
Familiarize yourself with popular inspection
standards
·
Pay attention to what inspections include and do
NOT include
There are many different standards for home inspectors. ASHI, CAHPI and others. Many of them share common themes and
specifications. Most home inspection standards are geared towards the systems
of the home, they are not maintenance lists. You should familiarize yourself
with the standards and be prepared to question the inspector as to why he is
falling short of or exceeding them. Consider
asbestos. Most inspection standards do
not include looking for or identifying asbestos. Asbestos identification and implications fall
outside of the generalist training of most home inspectors thus it is often
outside of the scope of the inspection.
Some other topics that are often left out or given short shrift in
various inspection standards are smoke detectors, outbuildings, asbestos,
insects and more. By familiarizing yourself
with the standards, you will better understand the work that the inspector
will be undertaking on behalf of your client.
Pay attention to the inspectors communication skills
·
Accompany the inspector and the client on the
inspection
·
Look for a verbal report onsite that is designed
to place findings in context
·
Check that the report clearly identifies each problem,
notes the implications and makes a recommendation (do nothing, monitor, further
investigate, affect repair)
The purchase of a new home is very emotional for most
buyers. The last thing anyone needs is
to have a scary inspection report arrive unexpectedly late at night in the buyers email. Inspection findings that could have been
placed in context during the inspection now take on a life of their own as the
buyer attempts to reconcile them without help.
It is always best that the inspector take some time at the end of the
inspection to review the primary findings with the client. This allows for questions and answers and the
opportunity to be clear as to the real ramifications of the findings.
It is very important that the inspector not make a judgement
about the value of the home or give the home a pass or fail. The inspector should not be privy to the
purchase price for the home and therefore cannot and should not make any value
judgements.
Watch out for guesswork
·
Recommend inspectors who report factually and do
not make guesses
Professional home inspectors never guess. When a water stain is found in a ceiling, it
can be classed as active or as evidence of past water penetration. Unless the inspector can positively identify
the source it is important that he not take stabs in the dark as to the cause
of any problem. Not only can it be upsetting to the buyer and the realtor, it
can also lead to liability for the inspector.
Nevertheless, some inspectors will not admit that they do not have x-ray
vision and will have an answer for everything.
Your clients deserve better.
Have the seller pre-inspect the house
·
Look for inspection red flags and have them
remediated before the inspection
This is not the same as a pre-inspection by a home
inspector, though that is a good idea.
Simply put, it’s a thorough walk through by the seller before the
inspection. Look for the red flags that
can torpedo the sale but are easily eliminated.
Examples include missing electrical face plates, exposed wiring, missing
insulation, old water stains where the problem has been repaired, missing
leaders, old fuses left around, loose toilets, leaky plumbing, damaged
shingles, etc. These are low hanging
fruit, easily fixed now, before they can show up in a home inspection report.
Choose an inspector who is responsible to the home
·
Recommend thoroughly trained inspectors
·
Review the report with/for your clients
We often ask this question of Realtors - Who do you think
the inspector is responsible to? Most
answer that the inspector is responsible to the buyer who is paying the bill. In fact, the inspector is responsible to the
home. It is correct that the inspection report
is the property of the client, but the inspector must be responsible to the
profession and that means reporting on the home as it presents itself and
adhering to the standards of the profession. It is important the inspector not
be influenced by any party and that
includes realtors, buyers looking to get money off the sale or back out of the
deal, sellers who want some things overlooked, etc. If you can recommend those inspectors who you
know are true to the home, then you can be assured that everyones interests are protected.
Understand what an inspection is – and isn’t, and prepare your client accordingly
· Insure the home is prepared for the inspection
·
Inform the buyer/seller ss to what the
inspection really is
Always inform the seller that access to the home and its
systems is very important during the inspection. Here are a few things to keep in mind:
- Ensure the attic and crawl space can be easily accessed
- Allow unrestrained or unannounced pets during the inspection
- The inspector will not move furniture or use
significant tools to access things. Have
the home cleared and readily accessible
- Do not expect the inspector to go into unsafe
areas or take your word without checking himself – he will not.
Inform yourself and your clients exactly what to expect from
the inspection:
A home inspector should be professionally trained in defect
recognition and reporting by a reputable training organization. While many inspectors have construction and
trades backgrounds, it is unlikely that you will find one what is expert level
in all of the different trades involved in home construction. And even if you
did, construction requires a different set of skills than defect recognition in
homes that are 5, 10, 50 years and older homes.
Look for an inspector that has been professionally trained
in defect recognition and reporting. Also
realize that home inspections are visual and non-invasive. If you read (highly recommended) the home
inspection standards, you will see that inspectors will generally not move furniture,
enter unsafe areas, remove panels that require specialized tools, open or close
valves, or do anything that could potentially damage the home. After all, the house still belongs to the
seller at this point. Inform your
clients of this and advise them clearly as to the true nature of a home
inspection.
Coming soon - A better inspection experience