Buying a Home? 5 Reasons Why a Home Inspection is Critical
Purchasing a new home is both an exciting and scary phase of life, with increased chances of overlooking the importance of having a home inspection done. Before asking how long does it take to close on a house, it’s important to look into some of the elements that go into the process. One of these key elements is a home inspection.
Home inspections are instrumental during the home buying process since they can save you quite a nice bundle of cash and plenty of time. Here are five important reasons why you should have a home inspection done before buying.
The cost of home inspection does vary, but you should generally expect to pay anything between $300 and $500 depending on a home’s size and age. At first glance, this is a tidy sum of money. However, if you skip out on this expense now, you could be looking at rewiring the entire house a few years later, which is much more expensive.
Go Beyond the Aesthetics
If you are purchasing a new construction, a home inspection might feel like a waste of time and money. No matter how old your home is, some costly problems may not be apparent to the average homebuyer. Structural, plumbing, and wiring issues are some of those that might not be apparent during a showing, and you’ll need an expert opinion to find them.
Before you even go into the home’s interior, you can carry out your own initial inspection. All you need to do is walk around the home’s exterior. Some of the things to watch out for include damage or rotten siding, water pooling, broken gutters, and peeling paint.
Help During Negotiations
Performing a home inspection before purchasing a home may give you the power to negotiate a lower home price. If the house you are interested in is right at the edge of your price range, information from a home inspection can help bring the price down. Plus, you can insert language into the purchasing contract allowing you to back out of the agreement if an inspection finds problems.
Know What You’re Buying Into
One of the most important reasons for having a home inspection done is to find out the true value of what you’re purchasing. Like any other major purchase, make sure you put in the time to research your potential home. The more you find out about the house, the fewer surprises you will have to deal with down the road.
Apart from negotiating a lower price, buyers also include clauses in the contract that requires a seller to make the necessary repairs before exchanging money. In case a seller doesn’t want to make the repairs, you can estimate their cost and have the amount deducted from the home’s price. Solid facts on the condition and quality of the home offer you great bargaining power.
However, keep in mind that seller concessions do not include seller repairs. Some states allow seller concession value to be equal to 4 percent of a home’s selling price. In addition, the 4 percent may include the cost of negotiated repairs.
A home inspection will definitely give you peace of mind and put you at ease knowing that a potential home is in great shape. In addition, the home inspection is a great negotiation tool during closing and can inform you of the perceived future maintenance and upkeep costs. The seller can also request a home inspection to ensure they are getting the best price, correct problems or merely have the report ready so buyers know that the seller has nothing to hide.