When and why should you consider having inspections done prior to listing your home on the market?
In our area, it is customary for the buyer to pay for inspections, but when would it be advantageous for the seller to do them prior to going active? We don't always recommend this, but here are a few examples as to why having inspections done prior to listing is helpful. It can end up saving you time and money.
Hi, I'm Stephanie Martenzi, super mom, super agent with Southland Properties.
As a seller, you wanna be aware of the condition of your property, and we don't want any unexpected cost to come up that you weren't aware of.
We've seen termite inspections well over $5,000. Imagine getting a termite bill for $5,000. And the only way the buyer will buy the home is if it's fixed or paid for. But you have already purchased another home and you need that money to qualify for your next home. This would create a huge problem.
What about this?
Let's say you found out that the home you're selling needed a new roof or air conditioning unit to be replaced. You could do a few things: You could sell the home as is and disclose the issues, not sell at all, or take what needs to be done and fix it. The idea behind getting inspections done prior is so that there are no unexpected surprises that could financially hurt you later. We want the seller to be aware of any additional expenses that could possibly arise from the sale of their home.
The inspections we recommend are the standard customary inspections that a buyer would do. We recommend a home inspection, a roof inspection, and a termite inspection. In most cases, you have the options to pay for these upfront, or when escrow closes. And in regards to the home inspection and termite, it's helpful, but not mandatory to make sure that all health and safety items are fixed, as well as section one termite work, which includes dry rot, leaks, and of course, termites, as these are the most common requests that buyers have.
It helps the seller because they have much more assurance that they will actually net what it is that they thought when going into escrow. It gives them peace of mind that the buyer won't ask for any unreasonable or outlandish repair. It also cuts down on inspection times. Having inspections done prior also protects the seller if they have a replacement property to purchase, and need every penny out of their sale to secure and close on their new home.
Also, the buyer is more confident that they are buying a sound home that is in move-in ready condition. If the buyer requires bank financing on the property, some loan programs require health and safety as well as section one termite work to be completed prior to the close of escrow. So with that already being completed, there is further assurance that the loan will go through. To wrap it up, seller, buyer, and lender are more confident throughout the entire transaction that the home will actually close. It keeps everyone safe during, and after the close of escrow.
Again, this is Stephanie Martenzi, super mom, super agent with Southland Properties, here to help you have a fun, empowered, and informed real estate experience by guiding you every step of the way. If you see me out in the community, make sure to say hi.
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