Who Fixes, Pays and Verifies?
Hiring a well known home inspection team in Kelowna has many advantages. One of the most crucial traits customers in the Okanagan look for when choosing a home inspector is finding someone who places an emphasis on the details. You want to ensure that whoever is inspecting your home thoroughly searches a property, finding every issue that may be a costly concern down the road.
Having a well trained eye and extensive knowledge is part of our job. At Building Pro Inspections Inc, we have become expert detectives, picking up on the slightest clues that point to larger issues in a home.
Whether you are buying or selling a home, you may be wondering, what if they do find a major problem on the property? Who is responsible for making the repairs? Who pays the contractors? Once the repairs are made, does the home need to be inspected again?
How Serious Are the Issues?
If you are considering purchasing a home and the inspector has brought some issues to your attention, you must first determine the severity of these problems. If the home has been maintained well, and the inspector has only found a few minor issues, it may be best to continue with the sale and complete the small repairs yourself once you have moved in.
If you ask the seller to repair a long list of, what could be considered insignificant issues, you might be creating some unnecessary tension between yourself and the current owner. This can be a concern for two different reasons. One- if the sale of a home is competitive, you may lose out on your dream home to another buyer over simple repairs that may have only cost you $500-1000 dollars. Two- if the repairs seem insignificant to the current owner and they are forced to conduct them personally, they may quickly remedy the issues without much thought, which could result in sloppy construction with low-budget materials.
The true purpose of a home inspection is to seek out and identify MAJOR issues that directly affect the utility of the house. Complications such as the cosmetic appearance of a room being altered due to chipped paint should not be a focal point. However, if there are problems such extensive foundation damage, non-functioning HVAC systems or termite infestations, you need to decide how you will proceed with the sale carefully.
The current real estate market conditions (buyer or sellers market) often dictate whether the seller or the buyer has more power in the decision making process of uncovered issues. Once a problem is uncovered, there are a few different ways to proceed.
Buyer Requests That the Seller Makes Repairs
If you are considering purchasing a home and there are some serious concerns with the functionality of the structure, you can request that the individual who is selling the home makes the appropriate repairs in order for the sale to continue.
If this is the route you wish to take as a potential buyer, here are a few rules of thumb that you should follow:
- Outline in the purchase agreement that the repairs must be completed by licensed contractors
- Ensure written proof is provided that guarantees the work that has been conducted for at least a year from the date of completion
- Expect to see that all the proper permits are pulled with local authorities (town inspector or municipal office)
In this situation where you are not directly overseeing the repairs being made, it definitely makes sense to conduct a follow-up inspection. If another inspection is being planned, aim to have your inspector come out at least a week before the closing date to ensure all issues are resolved properly.
Buyer Organizes the Repairs but Requests That the Seller Pays
As a buyer, this can be the most favourable option. You can get an estimate from licensed contractors on what the cost of repairs would be. Then, you can request that the seller pays for these repairs, or deducts that amount from the price of the home. In some cases the buyer and the seller will split the price of repairs at this stage of negotiations in good faith to expedite the sale.
In this scenario, the buyer can then hire their own contractors and oversee the work after their purchase. To ensure that the contractors have completely rectified the problems, homeowners will often get a home inspector to come in afterwards to verify that the issues they previously uncovered are no longer present for their own peace of mind. An excellent home inspector knows every trick that a contractor may try and pull on a homeowner to finish the job faster or with less than ideal materials.
Can’t Agree? Cancel the Sale
Whether you are buying or selling the home in question, this considerable financial transaction should be carefully considered at every step of the process.
If a situation has occurred where there have been many issues uncovered and the two parties are having difficulties coming to an agreement to solve those problems, it may be best to terminate the sale at this point.
This scenario can occur if buyer is trying to overestimate the cost of repairs, or if a seller is trying to downplay the issues at hand. A sale termination could also occur when an issue has been uncovered, but the full extent of the damage is not yet determined (rodent infestations, leaks due to foundation faults etc.)
The most important point to remember is that you are always in control of your own decisions, whether you are the seller or the buyer. Don’t allow yourself to be pushed into any situations where you are uncomfortable or you don’t have all the pertinent information on the issues at hand.
Trust the experts you have hired to aid in the process of buying or selling a home. Your home inspector is there as an unbiased third party that can provide a clear perspective on the situation at hand.
The team we have at Building Pro Inc has been an integral part of uncovering and verifying major issues in thousands of homes before the one you have in question. We are here to protect our customers, and save them from the hidden issues that could result in thousands of dollars in unexpected costs in the future.
Inspect and protect, it’s what we do.