Limitations and Exclusions of Home Inspection

When a home inspection contingency is part of a real estate purchase agreement, the buyer often requests certain repairs (called out in the inspection report) to be completed by the seller prior to closing. A home re-inspection is a way for him to verify that the repairs have been done properly. He calls back the same home inspector he hired originally, who then examines, either for free or for an additional fee, the specific defects thus identified, and he excludes everything else.

This verification home inspection is often confused with what is known as the “verification of property condition,” but the two are actually different. The latter term refers to a final walk-through the buyer takes through the property to make sure that the house is in the same condition as he expects. It is not a tool for further negotiations, nor does it in any affect the binding terms of the contract. In other words, it doesn’t remove any obligation the seller has to complete repairs to which he has agreed, but it also doesn’t permit the buyer to tack on additional demands. All the walk-through really does is absolve the real estate agent(s) of liability.

It is also important to distinguish between the original home inspection, which is the work of a generalist, and follow-up work or “further evaluation” recommended in the inspection report and performed by specialists. Some clients object to having to shell out additional money for more inspection fees, but the home inspector is not licensed to make repairs or to render an expert judgment in areas that require special qualifications, such as pests, chimneys, electrical, plumbing, HVAC, foundation, soil, septic/sewer, and hazardous materials such as radon, lead-based paint, asbestos, and measuring air quality. Many inspectors do acquire additional, special licensing, but even then they need to be careful to avoid conflicts of interest. Washington State permits inspectors to repair defects they inspected only after a year has passed.

Use the same home inspector hired originally to conduct the verification inspection. Otherwise, you are really paying for another complete home inspection. The first inspector is already familiar with the house and can immediately tend to the specific defects highlighted by the client.

Some home inspectors charge a re-inspection fee (typically about a third of the original fee). Others provide this service free of charge for a limited period of time, typically up to a year after the original inspection. Members of each school of thought justify their position with sound philosophical and ethical reasoning, differing primarily in how strongly one feels it is necessary to stay above all suspicion of taking kickbacks, despite having vowed to adhere to ethical Standards of Practice.

Some inspectors shy away from doing a verification home inspection. There are certain liability dangers that arise when the seller hires a layperson, without financial protection or license, to make repairs. The layperson may, intentionally or unwittingly, make only cosmetic repairs, and the inspector may be unable to tell that the real problem remains unaddressed. In this case, the only recourse the client has is to come after the person conducting the inspection. Because of this, many inspectors will not agree to do a home re-inspection without proof (e.g., invoice) that the contractor was a licensed professional.

Need a home inspection? Having your home inspected is an important part of the home buying process. A good home inspection will help you to make an informed choice about what’s good and bad about a particular home.

Words of caution.

The first and most important piece of advice is don’t choose the home inspector because they’re recommended by your real-estate agent. Sadly, it’s far too common for a home inspector to be “in-league” with a real estate agent. The arrangement works like this; the real estate agent sends the home inspector work with the unspoken assumption that the home inspector will “pass” the homes he is sent. If the home inspector finds too many problems and the home doesn’t sell, he won’t get the next referral.

A good real estate agent will give you a list of home inspectors, or recommend that you find your own. We suggest finding your own home inspector, this ensures their loyalty is to you – the paying client.

What is a good home inspection?

A good home inspection is like a good college research paper. It should be long, detailed, and cite evidence. A good college student will take the extra time to draft a careful, well researched, and organized document. A good home inspector will take the time to crawl around, get up in the attic, take lots of pictures, and prepare an organized and lengthy document.

What is a good home inspector?

Home inspectors are required to be licensed, but unlike a college student, they are not graded. This often means they are interested in getting the working quickly – they usually get paid the same amount no matter how much time they spend. To counteract this tendency, you need to show your interest in the process. Ask lots of questions about their service upfront. Demonstrate that you are an informed consumer and that you expect a detailed inspection. Ask if you can be present during the inspection. Many good inspectors don’t mind if you’re there during inspection. Also, ask to see the forms and checklists they use to inspect a home. Ask to see a sample inspection.

Once you receive your home inspection feel free to call the inspector and ask him to clarify anything you don’t understand. If there are some areas of concern, make sure you understand not only what is wrong, but also what it will take to fix the problem. If there is a particular problem area, for example electrical, ask if an electrician can come and look at the problem and give an estimate. You can use this information as a bargaining tool for price negotiation.

Final Advice

Don’t treat a home inspection as part of a must-get-done checklist on the way to buying a home. Think of it as a way to save you potentially tens of thousands in unexpected down the road costs.

A poor, rushed home inspection is a waste of time and money, but a good home inspection can save you thousands.

My name is Cody Handlin. I’ve been building things since my childhood. My father was a craftsman, so from an early age I’ve been working with my hands building and remodeling.

Today, I’m a proud co-owner of a small construction firm that specializes in framing, flooring, and finished carpentry. I like to share my knowledge with our customers to help them make the best choices for their property.

A deck is a large, raised wooden floor attached to the back of a house and contained by a perimeter railing for safety. Decks are rarely covered, and usually have a rough or informal look that is not integrated with the rest of the house’s design. They are typically intended to be locations for large outdoor social gatherings, such as barbecues and birthday parties. Access to the deck may be from the ground through a stairway, or from the house through a back door.

Exterior decks and balconies appear to be simple to build, most people don’t realize that exterior decks and balconies are structures that need to be designed and built to adequately resist certain stresses and loads to prevent collapse. Every year in North America over 2 million decks are built or replaced each year. It is estimates that of the 45 million existing decks, only 40% are safe. Like any structure, a decks and balconies must be designed to support the live loads such as weight of people, snow, and personal objects. These structures must be able to resist lateral and uplift loads that can act on the deck structures. Deck stairs must properly be attached to the deck structure with steps that have uniform tread and risers. The decks must have guardrails and handrails that are firmly attached, at proper height and must be graspable. Their must be balusters properly spaced to protect small children from entrapment. The hidden under structures such as their posts, beams and support are more complex but equally important. Now this is not the complete list but meant to give you an awareness of some of the design features to protect you and your family.

Today’s home inspection I came across a deck and make-shift stairs and railing. This structure was not professional built to standard deck building practices. In fact, there were so many defects I report that the structure is not safe and should not by used until replaced. Now this may be an extreme case but more common than one would believe. Below are a couple of photo’s of the structure used as a deck.

1. Only Hire Licensed Contractors

Interview and hire licensed contractors.

2. Verify the Contractor’s References

Visit NARI at www(dot)nari(dot)org for any list of its members in your town. NARI means the nation’s Association of the Remodeling Industry. NARI is really a respected organization that chooses professional contractors to become members and learn quality standards about their trade. It is also smart to get 3 references of recent jobs out of your contractor and get to examine past remodeling work.

3. Look into the Better Business Bureau (BBB)

You can view your states local better business bureau to make sure the contractor doesn’t have a history of disputes with clients or subcontractors. This is often viewed on BBB’s website.

4. Licensed Subcontractors

Ask what subcontractors the General Contractor will use on the your remodeling project to make sure they are all properly licensed. A General Contractor is just just like the subcontractors they choose. Subcontractors will in all probability be at the jobsite (your house) a lot more than the General Contractor, so it’s important you know who they are and their history.

5. Make Sure All Agreements are in Writing

It’s imperative that agreements come in writing including all changes made to the first home remodeling agreement. This protects both sides and holds accountability.

6. Don’t allow Price Be Your Only Factor

Usually lowest bid is cutting corners or eager for home remodeling work. This could set you back more over time when the General Contractor finishes a remodel haphazardly. The most important factor ought to be how comfortable you feel with the contractor and his technical competence to give you want you want. Communication is essential, it is important to make sure both sides are on the same page at all times to avoid confusion and frustration throughout the remodel.

7. Meet In person

Based on phone interviews select three contractors to satisfy personally for estimates and additional discussion from the your house remodeling project. Make sure to have important questions you may have concerning the General Contractor’s home remodeling process. It’s a long and thorough process so it is important your contractor has strong answers. It is important that they’re upfront with you about their process so that you know you’re choosing the right kind of General Contractor that suites your requirements.

8. Keep All Records and Documents

Keep detailed records of everything associated with the project, together with a payment receipt file. You might know your current Contractor personally, but it is still good practice to ensure everything is in writing to prevent further confusion.

9. Workers’ Compensation

Make sure all contractors working on your project have workers compensation insurance for workers.

10. Payment Schedule & Final Inspection

Make certain your contract includes a breakdown of payments according to worked completed. Do not make payments in front of schedule or before jobs are completed and become cautious if a large down payment is requested. The sad truth is General Contractors will sometimes finish prior to the job is performed or take your money and run if you pay too much in advance. Don’t result in the final payment before you are %100 satisfied with the job performed.