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The buyer pays for their inspections, and therefore, the inspection and the results are “belong to them”. The buyer, their real estate agent and the inspector appreciate the privacy to talk and inspect without a nervous homeowner lurking nearby. Most lenders require a “wood-destroying insect inspection” in order to approve a loan to buy a house. They want to be sure there is no structural threat to the house, as well as any pests that can cause damage. In this instance, the seller is required to pay for the inspection.
Generally the attorney will keep their eye on the ball in regard to contract deadlines...however, we agents are always double checking, just in case. A contingency period typically lasts anywhere between 30 and 60 days. If the buyer isn’t able to get a mortgage within the agreed time, then the seller can choose to cancel the contract and find another buyer. But be aware that there are some state-mandated nonnegotiable repairs like fixing smoke detectors, railings or other retrofit items that sellers are required to address. Talk with your real estate agent to see what these necessary repairs are in your state. Also, check the addendum for any repairs that might be in your best interest to fix or negotiate.
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Following the inspection, Williamson says it’s typically a three-day turnaround to get the client the full inspection report. Let’s say you receive the home inspection report and there are one too many troublesome issues for your comfort. You’re ready to pull the plug on the deal and continue your home search. So you are buying a house and you think you found the perfect one!
Buyers can also choose to “back out”, terminate the contract and walk away from the deal if they aren’t satisfied with the seller’s decision to only fix certain items. Typically, negotiations will continue until both the buyers and sellers come to an agreement. When a seller agrees to complete all of the repairs that were requested, buyers typically have peace of mind and the negotiation of repairs is over. The seller has up until settlement to have the repairs completed.
Escrow is not a one size fits all industry.
It is for information purposes only, and any links provided are for the user's convenience. Please seek the services of a legal, accounting or real estate professional prior to any real estate transaction. It is not Zillow's intention to solicit or interfere with any established agency relationship you may have with a real estate professional. The timeline depends on the market and the contract, but within 5-10 business days of both parties accepting the deal is standard.
After they are completed, sellers will then provide the receipts as proof the work has been done. Believe it or not, occasionally a homeowner will refuse to leave their house during an inspection. They have the best of intentions, but will sometimes interject and say something that may scare the buyer and derail the home sale. If you are the seller, it is better to steer clear of inspections. If there are any concerns, you will receive a copy of the report when the buyers submit their list of repairs, and will know the results of the inspection.
Pest Inspection
When a seller won’t make any repairs after a home inspection, the house will be sold “as is”. If they don’t, negotiations for repairs could possibly continue in case the sellers will change their minds. Otherwise, the buyer can choose to “back out”, terminate the contract and walk away from the deal. When buyers ask the sellers to make repairs, and the sellers respond within the required 5 days, backing out can become more difficult. If the sellers do not agree to fix everything on the repair list, buyers can terminate the contract and back out. However, if the sellers agree to fix everything on the list, buyers can not terminate and back out of the contract.
It’s the little things, though, that bog down transactions, sometimes bringing them to a halt. If a buyer really wants the home, they should ignore the small stuff and fight for what actually matters. Lenders also frequently require to have the water quality tested. Contaminants obviously pose a risk and you won’t necessarily see, taste or smell their presence. The U.S. Environmental Protection Agency suggests the water be tested for nitrates/nitrites, coliform bacteria, lead and pH. The inspector will also make note of potential problems – those that may occur in the near future.
Melissa Spittel is a local real estate expert who serves Carroll County and the surrounding areas in Maryland. Her knowledge, skills and experience are invaluable when it comes to buying or selling a house. Her experience working with out-of-state buyers and sellers makes her a great relocation REALTOR®, and she is part of Coldwell Banker’s Relocation Team. Melissa can easily connect you with a REALTOR® from her wide network of real estate pros.
Based on the results, you can price your home accordingly, and you won’t be surprised by the results of your buyer’s inspection. Do note that any problems revealed in your pre-inspection have to be disclosed to your buyer. A home inspection contingency is an addendum to the offer contract that allows the buyer to conduct an inspection and then back out of the deal if they are unsatisfied with the findings. A home inspection contingency is a clause or rider in a purchase contract that makes the success of the sale contingent, or dependent, on the home inspection results. You should ensure that you know any contingencies and how they will affect your decisions and purchase as well as when the contingency will be released.
Your real estate agent is a big resource here, as they should have negotiation strategies that help buyers and sellers meet in the middle on repair requests and come up with reasonable solutions. Due diligence contingencies give you recourse as a buyer if problems with a home are found. During the home inspection, the inspector identified a few issues that needed to be repaired.
As a seller, make calculated repairs based on your ability to sell the house to someone else for the same price. If you could sell the house to someone else for the same price with the same issues, it's probably not wise to make the repairs. The negotiation process is largely emotional, especially right after an inspection. As you go to the seller with all the issues you want them to fix with the house, remember that this is a place they've spent large amounts of time, energy, and money on and it has emotional value for them. Regardless of the inspection results, home inspectors should not be advising buyers as to whether they should move forward with the purchase. Their job is simply to inspect and report their findings, and then let the buyer come to their own conclusion.
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