Home Seller Inspections: If your selling your home, should you consider this?
The short answer is, YES!
What is a Seller Inspection?
A seller inspection or pre-listing inspections are becoming more popular because they virtually eliminate all the pitfalls and hassles associated with waiting to do the home inspection until a buyer is found. In many ways, waiting to schedule the inspection until after a home goes under agreement is too late. Seller inspections are arranged and paid for by the seller, usually just before the home goes on the market. The seller is the inspector's client and the inspector generates the report for the seller. The seller then shares the report with potential buyers. It shows goodwill to the buyer and builds trust. Seller inspections are a benefit to the seller, buyer, and agent involved in a real estate transaction. It's a win-win-win situation.
Advantages to the Seller:
The seller can choose a certified inspector rather than be at the mercy of the buyer's choice of inspector.
The seller can schedule the inspections at the seller's convenience.
It might alert the seller to any items of immediate concern, such as structural issues or moisture intrusion.
The seller can assist the inspector during the inspection, something normally not done during a buyer's inspection.
The seller can have the inspector correct any misstatements in the inspection report before it is generated.
The report can help the seller realistically price the home if problems exist.
The report can help the seller substantiate a higher asking price if problems don't exist or have been corrected.
A seller inspection reveals problems ahead of time which might make the home show better, gives the seller time to make repairs and shop for competitive contractors, permits the seller to attach repair estimates or paid invoices to the inspection report, and removes over-inflated buyer-procured estimates from the negotiation table.
The report might alert the seller to any immediate safety issues found, before agents and visitors tour the home.
The report provides a third-party, unbiased opinion to offer to potential buyers.
A seller inspection permits a clean home inspection report to be used as a marketing tool.
A seller inspection is the ultimate gesture in forthrightness on the part of the seller.
The report might relieve a prospective buyer's unfounded suspicions, before they walk away.
A seller inspection lightens negotiations and 11th-hour renegotiations.
The report might encourage the buyer to waive the inspection contingency.
The deal is less likely to fall apart, the way they often do, when a buyer's inspection unexpectedly reveals a last minute problem.
The report provides full-disclosure protection from future legal claims.
Advantages to the Home Buyer:
The inspection is done already.
The inspection is paid for by the seller.
The report provides a more accurate third party view of the condition of the home prior to making an offer.
A seller inspection eliminates surprise defects.
Problems are corrected, or at least acknowledged, prior to making an offer on the home.
The report might assist in acquiring finances.
A seller inspection allows the buyer to sweeten the offer without increasing the offering price by waiving inspections.
A seller inspection reduces the need for negotiations and 11th-hour re-negotiations.
Advantages to the Real Estate Agent:
There are many advantages for the agents listed above. Here are a few more.
The reports help sellers see their homes through the eyes of a critical third-party, thus making sellers more realistic about asking price.
Agents are alerted to any immediate safety issues found, before other agents and potential buyers tour the home.
Clean reports can be used as marketing tools to help sell the homes.
Seller inspections eliminate "buyer's remorse" that sometimes occur after an inspection.
Seller inspections relieve the agent of having to hurriedly procure repair estimates or schedule repairs.
Deals are less likely to fall apart when buyer's inspections unexpectedly reveal last minute issues.
Reports provide full-disclosure protection from future legal claims.
Common Myths about Seller Inspections:
Q. Don't seller inspections kill deals by forcing sellers to disclose defects they otherwise wouldn't have known about?
A. Any defect that is material enough to kill a real estate transaction is likely going to be uncovered eventually anyway. It is best to discover the problem ahead of time, before it can kill the deal.
Q. A newer home in good condition doesn't need an inspection anyway. Why should the seller have one done?
A. Unlike real estate agents, whose job is to market properties for their sellers, inspectors produce objective reports. If the property is truly in great shape, the inspection report becomes a pseudo-marketing piece, with the added benefit of having been generated by an impartial party.
In summary, seller inspections or pre-inspections streamline the real estate sales process for all parties involved. We at Pacific West Home Inspection, recommend that every home be inspected before being put on the market and also recommend annual inspections for homes that aren't for sale. We are more than happy to help you out with that. Just give us a call anytime for more information.
Pacific West Home Inspection, LLC