Why Not Just Wait for The Buyers to Perform Their Own Inspections?
One of the biggest hurdles to cross once sellers are in escrow is the buyer’s inspection contingency period. During this time buyers will usually conduct their own inspections on the property and based on their findings may come back to the seller for a credit or request that the seller make repairs. In some cases, they cancel the deal altogether. These requests for credits or repairs can sometimes be substantial and may result in the deal falling apart due to a “second round of negotiations.” This is often the most stressful time of the entire transaction.
Of course, we manage this entire process for our sellers to try to make it as easy and stress-free as possible. We coordinate the inspections, being present for all inspections, and follow up with the appropriate inspectors with any questions or issues needing clarification.
Pre-Sale Inspections Can Literally Save Sellers Thousands of Dollars
The best way for a seller to protect themselves from a “second round of negotiations” is to spend the money getting their own inspections and estimates on the property before it goes on the market. We recommend, at minimum, getting a home inspection, pest inspection, and sewer lateral inspection. If you are in an area where you know your sewer lateral is likely to need replacing, it makes sense to get a sewer lateral replacement estimate rather than an inspection. If your roof is likely in need of replacement, we highly recommend getting a roof estimate as well.
Other pre-sale home inspections to consider are chimney inspections, drainage inspections, structural inspections, and pool/spa inspections. We always work with our clients to discuss which inspections make sense based on our own experience selling homes in Marin County.
When we have a listing, we include all of these reports and estimates in a complete disclosure packet and insist that all potential buyers acknowledge that they have received and reviewed all disclosure before submitting their offer. Why? Because you want buyers to consider all known issues with the property before they submit their offer to significantly reduce the chances of them trying to negotiate further after you are in-contract.
Providing inspections to the buyer ahead of time can literally save you thousands of dollars.
A Pre-Sale Home Inspection Can Speed Up a Transaction
In competitive situations, we have also had buyers completely waive their inspection contingency because they felt comfortable that the seller had provided them with thorough home inspection reports.
Keep in mind that performing a pre-sale home inspection doesn’t always guarantee that the buyer won’t ask for further credits or repairs during escrow. They may discover issues above and beyond what you have disclosed, but it certainly does minimize the surprises that can arise during escrow and the subsequent negotiations that can result. You want to ensure that your buyer is entering escrow with their “eyes wide open” to significantly increase your chances of the deal successfully closing with as little stress and prolonged negotiation as possible.
Questions? We Can Help.
Questions? We can help. If you would like more information on Pre-Sale Home Inspections, please call or text me at 707-508-7815. As a top real estate team in Marin County, we have the training and the experience to guide you through this important topic.