Pre-purchase Home Inspections

<body topmargin=0 leftmargin=0 marginheight=0 marginwidth=0> <table cellpadding=0 cellspacing=0 border=0><tr> <td valign="top" rowspan="2" width=210 BGCOLOR="#99CC99" TEXT="#080000" bgproperties="fixed" background="0408dfc3.jpg"> <bR> <div> <B><IMG SRC="3e7a1e20.jpg" border=0 width="161" height="226" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></B></div> <bR> <div> <I><B>"I have inspected homes valued at $40,000 up to $6,000,000.  In either case, the buyer is often making the largest investment of their life. I respect that."</B></I></div> <bR> <div> <B>608-274-2747</B></div> </td> <td valign="top" colspan=2 height=82 BGCOLOR="#CCCC99" TEXT="#080000" bgproperties="fixed" background="0418dfe1esnpes.jpg"> <div> Residential Inspections<FONT SIZE="3" COLOR="#336699" FACE="Arial" ><A HREF="index.htm" TARGET="_top" TITLE="Residential Inspections"><U><B>Home</B></U></A></FONT></div> <div> <A HREF="id17.htm" TARGET="_top" TITLE="Credentials"><U><B>Credentials</B></U></A><B>   |   </B><A HREF="id90.htm" TARGET="_top" TITLE="Inspections"><U><B>Inspections</B></U></A><B>   |   </B><A HREF="id106.htm" TARGET="_top" TITLE="Phone/Photo Consultations"><U><B>Phone/Photo Consultations</B></U></A><B>   |   </B><A HREF="id98.htm" TARGET="_top" TITLE="Expert Witness"><U><B>Expert Witness</B></U></A><B>   |   </B><A HREF="id103.htm" TARGET="_top" TITLE="Seminars"><U><B>Seminars</B></U></A><B>   |   </B><A HREF="id104.htm" TARGET="_top" TITLE="Foreclosures"><U><B>Foreclosures</B></U></A><B>   |   </B><A HREF="id22.htm" TARGET="_top" TITLE="Contact / Fees"><U><B>Contact / Fees</B></U></A><B>   |   </B><A HREF="id68.htm" TARGET="_top" TITLE="Ive Got Mold"><U><B>I've Got Mold</B></U></A></div> <div> </div> </td> </tr><tr> <td valign="top" height=398 colspan=2 BGCOLOR="#CCCC99" TEXT="#080000" bgproperties="fixed" background="0418dfc3.jpg"> <div> <I><B>Pre-purchase Home Inspections</B></I></div> <div> <I><B>Pre-purchase Home Inspections</B></I></div> <bR> <bR> <div> <TABLE BORDER="0" CELLPADDING="2" CELLSPACING="1" WIDTH="549" BORDERCOLORLIGHT="#C0C0C0" BORDERCOLORDARK="#808080" FRAME="BOX" RULES="ALL" HSPACE="0" VSPACE="0" > <tR> <tD VALIGN=TOP HEIGHT= 143 ><NOBR><div> <IMG SRC="3e9b6890.jpg" border=0 width="182" height="137" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></div> </NOBR></tD> <tD VALIGN=TOP><NOBR><div> <IMG SRC="3ebb4870.jpg" border=0 width="180" height="135" ALIGN="BOTTOM" HSPACE="0" VSPACE="0"></div> </NOBR></tD> </tR> <tR> <tD VALIGN=TOP HEIGHT= 20 ><NOBR><div> <B>                     "Handyman Special"</B></div> </NOBR></tD> <tD VALIGN=TOP WIDTH="266"><div> <B>"Mansion on a Hill"</B></div> </tD> </tR> </TABLE></div> <bR> <div> <B>Whether you're purchasing a "handyman special" or a mansion on a hill, you should receive the most information possible for your inspection dollar.  I</B><B> have been inspecting homes for clients over 30 years. I helped write the state laws that govern inspectors, I teach home inspectors through an internet forum, and I have reported and helped sue bad home inspectors.</B></div> <div> <B>I prepared the following questions and answers so you can learn before you hire anyone.</B></div> <bR> <bR> <div> <I><B>Why should a home be inspected?</B></I></div> <bR> <div> <B>The real estate condition reports provided by home sellers cannot be depended upon, even when a seller is honest. An experienced home inspector will discover defects that were not disclosed to you.  Some of the defects may have been unknown by a seller, while others may have been deliberately concealed.  For the protection of your investment you should always have a home inspection. </B></div> <bR> <div> <I><B>What about new or almost new homes?</B></I></div> <bR> <div> <B>Builders of new homes are subject to the workmanship of their subcontractors who are often unsupervised and cut corners in an effort to save time and increase their profits. The average homebuyer will never recognize those defects until the contractors are long gone. An experienced inspector knows the tricks that contractors use.  </B></div> <bR> <div> <B>Some agents and builders will tell buyers of brand new homes and condos that a home inspection is a waste of money because the building has already been inspected by municipal inspectors.  Don't believe them!  Municipal building inspectors have many items to inspect in a very short amount of time and often do not discover all construction errors and code violations. They also have governmental immunity, so when defects are discovered later by a privately hired inspector, the municipal inspectors will tell you that it is the contractors who are responsible, whether or not their mistakes were identified at the time of construction. </B></div> <bR> <div> <I><B>Who conducts home inspections?</B></I></div> <bR> <div> <B>Home inspectors are required to be registered with the State of Wisconsin, however, possession of a license does not ensure experience or honesty.  Some licensed inspectors take advantage of loopholes in the statutes to avoid going on roofs, entering attics, opening electrical panel boxes, etc. which can leave you with expensive surprises later. An experienced and caring inspector will do as much as possible for you.</B></div> <bR> <div> <I><B>What about real estate agent referrals?</B></I></div> <bR> <div> <B>In my experience, the majority of real estate agents have one chief objective, and that is to get their commission check as soon as possible.  They do not enjoy having to do the extra negotiation work, or have their commission delayed, because defects were discovered by a knowledgeable and caring home inspector.  As a result, many real estate agents, including those who may be close to you, will recommend inspectors who are cheap. They do so under the pretense that all home inspectors are the same and that they are saving their clients money.</B></div> <bR> <div> <B>Making matters worse, many inspectors depend upon referrals from real estate agents for their business survival and will miss or demean defects so as not to make waves for the agent or interfere with the closing date.  This ensures them more referrals from that agent.  The defects that are discovered after closing can cost you a lot of money in home repairs and possible health issues.  The cost of litigation against untruthful sellers, unscrupulous real estate agents, and/or home inspectors who were not thorough, can be financially and emotionally draining, even if you prevail in a court case.</B></div> <bR> <div> <B>If you are working with an agent who referred you to Residential Inspections, rest assured that you have an agent who has your best interest in mind, and wants all building defects discovered before you make your purchase.   </B></div> <bR> <div> <I><B>What is included in a home inspection?</B></I></div> <bR> <div> <B>The Wisconsin State Statutes were written to require inspectors to observe and report on all of the major structural, electrical, plumbing, and mechanical operating systems.  Other hazards, if known and observed by an inspector, are also supposed to be reported.  </B></div> <bR> <div> <B>There are limitations, such as a home inspector is not required/allowed to cut holes in walls, pulling up flooring, remove blocked accesses, or enter unsafe areas during the inspection.  Additionally, inspecting and testing for hazardous substances are not automatically included.  While inspectors are obligated by state law to stand behind their written opinions, they cannot predict the future performance of any home component, therefore, guarantees or warranties are not included with an inspection.  Homeowner warranties are available for purchase separately and are sometimes included by sellers as a purchasing incentive.  The true purpose of an inspection is to significantly reduce the risk of your investment, not eliminate it altogether.</B></div> <bR> <div> <I><B>When do home inspections take place?</B></I></div> <bR> <div> <B>Offer-to-purchase contracts will normally contain a contingency stating how much time you have within which to have your home inspection performed.  You'll typically have 7 to 14 days to have your inspection performed.  Beware that some contingencies may say 90 days while others 24 hours.  No matter how long you have agreed to, it is recommended to schedule your inspection as soon as your offer is officially accepted. This allows you time to submit a notice of defects to the selling party before your clock runs out.</B></div> <bR> <div> <I><B>How much do home inspections cost?</B></I></div> <bR> <div> <B>On average, general home inspections will cost from $250.00 to $500.00.  While price does not necessarily guarantee a good inspection, an inspector charging less, will likely do much less.  An experienced inspector can share information with you that could save you tens of thousands of dollars after you move in.</B></div> <bR> <div> <I><B>How does one gain access to locked properties?</B></I></div> <bR> <div> <B>Depending on whether the property is a For-Sale-by-Owner (FSBO) or you are being assisted by a real estate agent, access will need to be provided directly by the selling party, or by your real estate agent if the home has a lock-box on it. It is customary for owners to leave while the home is being inspected, but this is not always the case with FSBO sales.</B></div> <bR> <div> <I><B>How much time does an inspection take?</B></I></div> <bR> <div> <B>A good home inspection should take approximately 4 hours on a small to average size home. Larger homes can take longer depending on size and condition.   </B></div> <bR> <div> <I><B>Can I attend the inspection?</B></I></div> <bR> <div> <B>You should attend your home inspection.  It will be an invaluable learning experience for you, even if you've owned a home before.  While the inspection information regarding your real-estate transaction will be in your report, bringing along a note book is a good idea as well.  An experienced inspector will share valuable information with you that may exceed the scope of a general home inspection but will nonetheless help you understand your home better and likely save you money and inconvenience later on.  </B></div> <bR> <div> <I><B>What is a home inspection report?</B></I></div> <bR> <div> <B>A home inspection is not a pass or fail test.  The inspection report states the current conditions of the property in writing.  Home inspection reports are supposed to contain all of the information required by Wisconsin inspection statutes.  Inspection reports are not required to state the costs or methods of repairs.  To obtain estimates for costs and/or to have a specific component further evaluated, it is necessary to contact professional service companies or contractors.  Your inspection report should be submitted to you immediately at the end of the inspection.  This helps you to expedite the real-estate transaction after the inspection has been performed.</B></div> <bR> <div> <I><B>What is a defect and what happens if defects are discovered?</B></I></div> <bR> <div> <B>Defects are always discovered during inspections.  Defects can be accepted, negotiated, or rejected by a homebuyer. Most often defects are negotiated with the selling party.  Any defects discovered during the inspection and then revealed to the seller, by law, must be disclosed by the seller to any other potential buyers if you do not continue with the purchase.  This means it is in the best interest of the selling party to work something out with you.  Ultimately, you are the final judge as to what adverse conditions you will or will not agree to accept. </B></div> <bR> <bR> <div> <I><B>I wrote this article to help you understand how to deal with defects after your inspection.</B></I></div> <bR> <bR> <div> <I><B>What is a Defect?    </B></I></div> <bR> <div> <B>When a home inspector points out a concern to a homebuyer regarding the property they may be purchasing, the buyer often asks, “Is that a defect?”  What the buyer really wants to know is if they can ask the seller to fix the problem, or if they have to accept the problem and pay for correction after they own the property.</B></div> <bR> <div> <B>Agents, inspectors and buyers can interpret the language used to describe a defect in an Offer-to-Purchase contract differently.  Each party will have an individual perception of a substandard condition.  If an electrical outlet is missing a plastic plate cover, one could say it will cost only 15 cents and take 10 seconds to replace.  On the other hand, a homebuyer's child could stick a finger in the junction box and be electrocuted.  A missing downspout extension might cost only $5 to replace, but without it, water could enter a finished basement, grow mold, and an occupant could have a fatal asthma attack. </B></div> <bR> <div> <B>These are just two examples of conditions reported by home inspectors that could be deemed insignificant or life-threatening depending upon one's perception.  So who decides what constitutes a defect: the real estate agent, the home inspector or the homebuyer?</B></div> <bR> <bR> <div> <I><B>The real estate agent cannot decide.</B></I></div> <bR> <div> <B>Some real estate agents attempt to classify defects, suggesting that one defect can be negotiated while another cannot.  Some homebuyers have been told that, unless the home inspector has used the word defect in the written report, the buyer is not entitled to raise a condition as a concern and remedial action is not required by the seller.  This is incorrect.  For instance, if a furnace did not function properly and the inspector stated the condition in the written report as required, the buyer still has the right to ask for a furnace that is functional, provided the malfunction was not clearly disclosed in advance on a property condition report.  This is true whether or not the word defect was used to describe the furnace malfunction.  If a real estate agent attempts to tell a buyer which substandard conditions reported by the inspector constitute defects, the agent could potentially become party to future litigation for providing consultation in areas for which they are not professionally trained.</B></div> <bR> <bR> <div> <I><B>The home inspector cannot decide.</B></I></div> <bR> <div> <B>Home inspectors are often asked which conditions constitute defects.  While inspectors do their best to lend logical perspective to homebuyers, they are not required by law to rank discovered conditions.  Home inspectors are obligated only to report the condition of a property, not determine what buyers should or should not be concerned about.  Logically, all substandard conditions are of some concern.  If home inspectors had the authority and responsibility to say what constitutes a defect, by default they would be forced to consider every substandard condition as a defect.  If they did not, they could be held liable for all conditions that were not specifically called a defect in the report.  One could imagine the impression such a report would convey to both homebuyers and sellers.  Furthermore, home inspectors do not purport to be experts in every field.  Some conditions discovered during a general home inspection may require further evaluation by an expert in order to determine their significance.</B></div> <bR> <bR> <div> <I><B>The homebuyer must decide.</B></I></div> <bR> <div> <B>Since there is no emphatic method of describing a defect, a homebuyer could request that every reported condition be cured by a seller.  While there may be homebuyers who expect every discovered condition to be repaired, there are also buyers who will accept a dilapidated house with no objections at all.  On the norm, buyers are reasonable and want to negotiate only those conditions that are significant to them.  For example, a home may have only a few minor electrical concerns, but the buyer is afraid of electricity and insists a licensed electrician make the repairs, even though it may cost less than $100 to correct.  On the same house, it may cost several thousand dollars to have a landscaper correct improper surface grading.  While the buyer is entitled to negotiate this with the seller, he accepts this more significant condition because he is comfortable adding soil around the foundation himself and would enjoy the exercise.</B></div> <bR> <div> <B>These kinds of decisions must be made solely by homebuyers.  No one else has the right or obligation to determine which conditions are significant to homebuyers.  Ultimately, the buyer is the party contemplating the substantial investment and thereby has the right to choose which conditions are acceptable, objectionable or negotiable.</B></div> <bR> <bR> <div> <B>Contact Residential Inspections to get the kind of inspection that will help you avoid regret and save you the most amount of money.  </B><B>To schedule an inspection, click this link:   </B><FONT SIZE="3" COLOR="#336699" FACE="Arial" ><A HREF="id22.htm" TARGET="_top" TITLE="Contact / Fees"><U><B>Contact / Fees</B></U></A></FONT></div> <bR> <bR> <div> <A HREF="id90.htm" TARGET="_top" TITLE="Inspections"><U><B>Back to Inspection 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