The Seller’s inspection
AKA The PRE-Listing Inspection
You are somewhere in the process of selling your home. You may be anywhere from just considering the sale, or ready to list. Wherever you are in this process, you need to be able to develop a fair market value and asking price for the home. You want to list the home at the appropriate price point, and not have to “haggle”, increasing the offers made on your home, and creating confidence with your prospective buyers.
What is this home inspection
This is a complete home inspection, but is more flexible than the Buyer’s Inspection. The Buyer’s Inspection is designed to inform a potential buyer of the condition of the home, often without any input from the seller, and is completed in a small window of time. The Seller’s Pre-Listing Inspection follows the same format (check out the Buyer’s Inspection page), and covers the same systems, but it allows a more in-depth dialogue between the owner and the inspector. It is designed to offer an in-depth evaluation of a home and provide recommendations on deficiencies that may affect the sale. It allows for the inspector to discuss deficiencies, along with other non-deficient findings with the owner and provide recommendations to facilitate a streamlined sale.
The Inspector’s client for a Buyer’s Inspection is the prospective buyer. The Inspector’s client for a Seller’s Pre-Listing Inspection is the current homeowner themselves. This key difference is what makes this a great option for those that are considering listing their home for sale. The report is the property of the client. A homeowner that gets a home inspection may choose to share that report or not.
Consider the folloing scenario:
You are selling your home for $250K. A potential buyer sees your home and thinks it has all of the qualities they are looking for (size, location, proximity to activities, etc.), and, with the assistance of their agent, submit an offer for the full asking price of $250K. That is great news! You accept the offer, and expect this to be a seamless closing.
The buyer’s agent notifies you 3 days later that, following the home inspection, they are modifying their offer to $215K. The inspection report revealed issues with the roof, the air donditioning, and the sub-surface drainage pipe to the sewer. So…. now what?
There will likely be some negotiation regarding these findings, but the fact remains…there is a negotiation, and the sale is now not so simple. The buyer will naturally use a higher amount to value the cost of the repairs, allowing for flexibility for them to select a contractor that will complete the repairs for less than what they reduced their offer by. This will cost you, the seller, $35K in reduction of sale price…but the new buyer then ends up hiring a contractor for $20K to correct everything they found deficient. This is money lost.
The Alternate Scenario:
You, as the seller, get your own inspection. You find these deficiencies first, and have them corrected for $20K, or maybe even less, and list your home for $250K. You advertise that you have completed a Pre-Listing Inspection.
A potential buyer sees your home and thinks it has all of the qualities they are looking for (size, location, proximity to activities, etc.), and, with the assistance of their agent, submit an offer for the full asking price of $250K. That is great news! You accept the offer, and expect this to be a seamless closing.
The buyer then hires thier own home inspector, and the inspector notices the recent updates/upgrades to these major systems. The inspection relays the recent updates/upgrades to the potential buyer, building their confidence with the home, but the report identifies a few minor issues. The buyer is now confident that the home is safe and sound, and is completely satisfied that they have made a good offer. They report back that their inspection is complete, and their offer stands. It is, after all, a seller’s market, and they do not want this opportunity to pass them by and this perfect home to go to someone else because of a few minor issues.
And….you’re off to closing at $250K!
How do i choose a home inspector?
Your agent may have an inspector they recommend, someone they have experience and confidence in. Your agent is acting in your best interest, so taking their recommendation is usually a good idea. But a wise man once said “Trust, but verify”. YOU are the one making this investment, and YOU should make the final decision on who to choose for your home inspector. When you are selecting your home inspector, consider the following:
May go without saying… but are they Licensed and Insured?
Both Louisiana and Mississippi require a home inspector be be licensed by the State in order to provide residential home inspection services. I am licensed in both Louisiana (LHI#11410) and Mississippi (MHI#1011) and maintain General Liability and Errors and Omissions (E&O) Insurance.
Single inspector or multi-inspector firm?
A single inspector company like Shingle to Slab Home Inspection has several benefits over a multi-inspector firm. You are hiring a specific inspector, and will work with that inspector alone. Single Inspectors have absolute control over their scheduling, report writing software used and pricing structure.
Education and Experience
The education required by both LA and MS is fairly in-depth, and covers all subject matters covered in a standard home inspection. There are several different education providers. Both states also require in-field training with a licensed inspector. However, an inspector’s experience is likely that most important element to their ability to provide a complete and comprehensive inspection. Education provides a baseline understanding, but there are things about construction practices, how buildings deteriorate, how contractors can hide deficiencies, and what to look for to determine deficiencies or failure in different systems that you simply don’t understand completely until you’ve seen them several times in practice. The construction industry is, like other industries, is constantly advancing with new technologies. Today’s home inspectors can expect to see homes that have been constructed 1 year ago or 100 years ago, some with multiple remodels, and multiple iterations of advances in residential construction standards. I have been in the construction industry for over 20 years and have a broad understanding of older homes as well as newer homes.
Part of an Association?
Every professional trade has an association that provides continuing education and provides a reach-back for its members to assist with the operation of their business. I am a proud member of and a Certified Professional Inspector with the International Association of Certified Home Inspectors (Inter-NACHI). and, as a lifetime learner, I am always enrolled in their latest educational opportunity.
Guarantee?
Does the company offer any type of guarantee? What if the inspector misses something, and there is a cost associated with the item that is missed? Most issues can be solved through communication, which is why my entire inspection process is transparent. My clients know exactly what I inspect, and the results of the inspection. Thorough communication prior to, during, and following the inspection is essential to a satisfied client. However, no-one is perfect. If something is missed during an inspection, I stand ready to make it right. As a final reassurance, Shingle to Slab Home Inspection is a registered participant in Inter-NACHI’s “We’ll Buy Your Home Guarantee”. The ultimate in protection, backed by the largest, most respected Home Inspection organization worldwide.
Inspection Report
The end result and final product of the home inspection is the Home Inspection Report. Years ago, inspectors advertised the quality of their printed reports. Full-color, bound reports were the gold standard. Although a nice printed report feels nice when it is handed to you, it is essentially a waste of money (your money). Printers, Printer ink, and paper is expensive, and it is guaranteed that that cost is passed off to you. As with other industries, we have moved away from the print copy, and moved to digital reports, housed in perpetuity in the cloud. These digital reports contain high quality digital images, can be downloaded and shared with multiple parties, and allow for smart organization to allow for different trades to view what they need to. Today’s digital reports are now the standard, and your inspector should provide this to you. At Shingle to Slab Home Inspection, reports are completed and delivered digitally to you the SAME day, and are accessed through an online portal, along with your invoice for payment. You can access your report at any time, download and share as you see fit. Note: A printed report can still be produced for you, just make sure to inquire about the cost when scheduling your inspection.