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What is a home inspection

When your purchase offer is accepted by the seller and the process gets under way. A home inspection is usually a good thing to have done. Most mortgage companies will require it to protect themselves from any potential losses. So what is it?

An certified real estate inspector will visit the home to be purchased and visual inspect various functions and structural items of the home. This may be the roof, plumbing, various foundation, exterior and interior items involved with the overall structure of the property. He or she will inspect for any general rodent damage or water damage around the home.

While an inspector cannot locate every defect in the property, most home inspection companies are expert at their profession and will make notice of most all common defects in a property, this gives you a better understanding of the type of home your about to purchase.

When creating the purchase contract and offer, this item is usually called for directly in the contract. Normally this is an expense paid by the buyer at a cost of $250 to $500 on average. Once the inspection is complete, the buyer may request the seller to repair or compensate for any repairs or damage which requires attention. This is what is called a contingency. At this point the buyer could back out of the transaction if multiple items were found by the inspector which cause functional problems with the property, and the seller refused to pay or compensate for the inadequacies.

 


Do you need home inspection

Some transactions do not call for an inspection. The type of purchase that may not require one would be in the case of a sale to family member or a current tenant. In this case, the term " AS IS " would more than likely appear on the contract, and a letter signed by the buyer and seller would accompany the loan package, indicating that both parties waived right to an inspection. Some lenders will allow this in the transaction, some will not. Check with your lender or mortgage company beforehand to prevent any delays in your closing.