Buying a home can be expensive upfront, between costs like the down payment and closing costs and any Realtor fees you may owe. It's tempting to skip the extra expense of an inspection in order to save money upfront –– but this is never advisable.
An investment of $200-$500 for an inspection could end up saving homeowners thousands in potential repairs later on, not to mention giving buyers leverage when it comes to negotiation with sellers based on what the inspector finds. The following home inspection tips will illustrate why having Arvada real estate inspected is always worth every penny spent.
Provides an escape route
A comprehensive home inspection provides vital information about the condition of a property and its systems, which can alert the buyer to any costs or repairs that may be necessary now or in the future. The results of this assessment give potential buyers one last chance to back out of their offer if they feel like the necessary repairs are simply too much for them to take on.
Health and safety
Whether you are buying a regular home or an abandoned property, a comprehensive inspection is key in ensuring the dwelling's safety. This becomes even more pressing when it comes to foreclosed homes and short-sale properties, as these dwellings have often been subjected to hazardous mold and pest infestations due to long periods of disuse.
By conducting an exhaustive review of the premises before purchase, prospective buyers can be made aware of any necessary repairs they may need to undertake –– as well as potential health risks that could present themselves further down the line.
Moreover, it is essential to have a home inspected for safety hazards such as mold, carbon monoxide, and radon. To ensure that buyers are protected throughout the buying process, they should make sure their contract states that if hazardous materials are detected during inspection, they reserve the right to back out from making an offer.
Negotiating power
A home inspection often gives buyers negotiating power. This can depend on other factors, such as the real estate market and home appraisal. Typically, buyers will ask sellers for more repairs if the house is appraised at a lower value than the offer they made, whereas buyers will assume more responsibility for home repairs when the house appraises at a higher value than what they are paying the sellers.
An experienced Realtor like Jennifer Stuckey can help every home buyer navigate just how much to ask sellers to contribute, however.
If major issues are found throughout the course of the home inspection, it isn't uncommon for buyers to use the cost of those issues to get the sellers to come down on the price, contribute to the closing costs, or pay for some of the repairs.
No one wants to find any badly needed damages during a home inspection, but the silver lining is the negotiating power buyers gain.
Nonetheless, it's important to remember that you shouldn't attempt to negotiate every minor issue. Even the most up-to-date of homes will come with a few issues here and there; but if any major problems arise, your chances of finding an appropriate solution between yourself and the previous homeowner are quite favorable.
Get an idea of future repair costs
A home inspector will assess the 4 major systems in a home –– electrical, plumbing, HVAC, and roofing. They will also assess the ages of these systems and their equipment, for example, a water heater.
Not only can they detect the present condition of a house's infrastructure and roof, but also appraise its structural integrity plus any existing water damage for prospective buyers. It is important to remember that all components within a house have certain lifespans; knowing when these need replacing will help buyers plan for any financial responsibilities ahead, as well as consider what type of coverage or warranties should be obtained through home insurance.
Uncover legal issues
When inspecting a property, an inspector will check for illegal additions. If someone ends up owning a home and there are basement or garage spaces added on by past owners without proper permits or meeting code standards, then the responsibility falls upon the current owners' shoulders to pay fines or cover costs required to make those spaces compliant.
Learn more about home upkeep
Inspectors are an invaluable source of home inspection tips. Buyers would be wise to accompany the inspector as they complete the inspection. They'll probably learn valuable hints and knowledge on how to maintain the home and its systems correctly, which could end up saving a buyer thousands in the long run.
Secure a mortgage loan
When it comes to mortgages, some lenders are more stringent than others. For example, VA loans demand a thorough home inspection before they will approve any property purchase and may cancel the loan if potentially hazardous elements like asbestos, lead paint, water damage or a cracked foundation are discovered during this process. In many cases, buyers have no choice but to get an official home inspection in order to move forward with their mortgage application.
Insurance coverage
With a home inspection report, your insurance company can cover pre-existing issues that may arise after purchase. Without such a report, you will be responsible for paying out of pocket for any necessary repairs- an often costly endeavor.
Big picture view
An in-depth home inspection offers buyers a better understanding of the property's condition and total value, allowing them to confidently negotiate costs. Without knowing what issues buyers may be facing in a future house, the home-buying process can be nerve-wracking –– but with an inspection report in hand, a buyer has all the necessary knowledge for making that decision: whether to run away or move forward.
Even if there are numerous issues brought up during this process, at least now a buyer knows exactly what lies ahead before signing on any dotted lines.
Become a home buyer today
Arvada CO is a charming, family community with great public schools. If you're looking for more home inspection tips and are ready to start the process of finding Arvada real estate to make your next home, contact Jennifer Stuckey. Jennifer can help you on your real estate journey and make sure that no crucial steps are missed. Read her Buyers Guide here.
