The Importance of Home Inspections
Updated: Mar 29, 2021
Buyers in today's real estate market are having to drop or adjust contingencies in order to remain competitive with their offers. Because inventory is so low (and so are interest rates), many sellers are seeing multiple offers in hand within 48 hours of showing. "Clean" offers are those with the fewest contingencies and the most likely to be accepted. Though it may be advantageous to reduce the number of days, buyers are advised to not drop the inspection contingency altogether.
The inspection period protects buyers from major and expensive defects in the property. In most cases, buyers will be able to get their deposit back if they decide not to proceed with closing during that due diligence period. The inspection period also provides an opportunity for buyers and sellers to work out these issues via repairs or credits at closing.
It is important to remember that the buyer's will own the inspection report and sellers do not have access to it unless submitted by the buyer's agent in the inspection response. Some inspectors may recommend further inspections from a certified professional (such as a roofer). Buyer's should be aware that many inspectors have fully book schedules and should line up these appointments as soon as possible.
For more tips on how to craft competitive offers without just adjusting the price or dropping the inspection period, check out Episode 2 of The Level Up Podcast with GNO Realty.