Inspection Amendments...Are Not Offense/Defense

By
Real Estate Agent with EXP Realty 414-525-0563 57026-90 Broker

Even in market periods of "Thinventory"...most Buyers opt to do an inspection. It may not always be a contingency. That means...the Buyer wants the Sellers' permission to do an inspection...but the results are a fact finding mission...not a reason to be released from the offer to purchase. 

   The more "usual" situation...in some cases  "pre thinventory"....is the inspection is part of the offer. The Buyer may choose where or not the Seller has the "right to cure." In English that means the Buyer can allow the Seller to repair or replace something found in the inspection. NOT giving the Seller the right to cure is an open door to walk from the contract should the Buyer find a repair/replacement item in the inspection.

  Inspections Listing agents have an obligation to explain to Sellers that despite any due diligence by the Seller and the listing agent in their "duty to inspect" and honestly and completely fill out the required Real Estate Condition Report, it is likely the Inspector will find something that may need further evaluation.

   Obvious omissions ...leaking windows or faucets..missing handrails, the malfunction of any mechanical aspect of the house may well be easily discovered. Few homeowners are capable of inspecting chimneys..may not be aware if a foundation wall is out of plumb...a breaker that may be double tapped...plumbing that may be required to be updated to code.

  After an inspection...in Wisconsin by a licensed home inspector...there may be issues found that the Buyer would like corrected. This is not an accusatory document...it is not a critique of the care and maintenance that the Seller did/did not take..the amendment is a list of things that theshady roof Buyer would like taken care of prior to closing that makes the new ownership more trouble free and may, in some cases, contribute to premature deterioration and attention to them is proactive prevention. An example might be trees that need trimming that shade the roof.

     Listing agents...please explain to your Sellers that Inspections are not an "Offense/Defense" situation..they are a normal part of selling a home and they should expect that something will be found that the Buyer would like corrected. If you approach this as conditions that need defending...you set the tone for the transaction...and the note instead of being pleasing for a great price for the Seller and a new adventure for the Buyer is  soured by a defensive attitude.

      This has been an advisory post brought to you by Sally K.& David L. Hanson, Broker Associates with EXP Realty, LLC honored to be of service for all things real estate in southeastern Wisconsin.

Posted by

Sally K. & David L. Hanson, ABR, CDPE, CSS, e-Pro,ILHM, REDS


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Rainmaker
3,237,586
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Good morning Sally. It is what it is. No reason. To be upset and worry. Be prepared to deal with it. Enjoy your day 

Aug 13, 2019 04:53 AM #1
Rainmaker
3,054,013
Nina Hollander
Coldwell Banker Residential Brokerage - Charlotte, NC
Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor

Good morning, Sally... so important for both buyer and listing agents to explain how inspections work, what their purpose is. And as I always tell my buyers, inspections are not there to deliver you an "as new" home; if they want "as new" they need to buy new.

Aug 13, 2019 04:54 AM #2
Rainer
308,014
Mark Artesani
Keller Williams Realty - Fountain Valley, CA
Huntington & Newport Beach, Fountain Valley Homes

Good Morning, Nice post. Inspections can get pretty emotional.

Thanks

 

Aug 13, 2019 04:58 AM #3
Rainmaker
3,301,745
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Good morning, Sally and David - regardless of market conditions, buyers and sellers need to know how the real estate process operates in SW Wisconsin you make sure your clients understand.  That's important.  

Aug 13, 2019 05:06 AM #4
Rainer
13,770
RE Virtual Solutions
RE Virtual Solutions - Saint Charles, MO
Virtually helping real estate professionals.

Home inspections are so important! My own parents chose not to have one on their last home purchase even though I advised them to and they have encountered so many costly issues that a simple inspection would have found.

Aug 13, 2019 05:08 AM #5
Rainmaker
1,843,115
Jay Markanich
Jay Markanich Real Estate Inspections, LLC - Bristow, VA
Home Inspector - servicing all Northern Virginia

Oftentimes my clients want me to reword an inspection report to give them more leverage, so they think, in negotiating with the seller.  I tell them my job is to observe and report, not to make a case for this or that repair.

Aug 13, 2019 06:15 AM #6
Rainmaker
2,513,871
Brian England
Arizona Focus Realty - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

The inspection period is pretty standard here, even during times of thinventory.

Aug 13, 2019 06:39 AM #7
Rainmaker
755,756
Norma J. Elkins
Elite Realty Group - Morristown, TN
Realtor - Elkins Home Selling Team

Inspections are so important and we have some of the best home inspectors around here in TN.  It is easy to get caught up in the moment, but it is best to remember that we want what is best for our clients.  The more positive and upbeat you are for this deal and your personal client the smoother it will seem to them.  Great blog as always!

Aug 13, 2019 07:45 AM #8
Rainmaker
3,137,190
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Hello Sally and David,  I always explain the inspection as a tennis match where we serve and then they serve and after that we accept what thyey serve or we can say no and walk.

 

Aug 13, 2019 07:45 AM #9
Rainmaker
3,236,068
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Realtors - Luxury - Divorce

We have not  had but a small handful of buyers walk in 20 years Will Hamm ,most of the time agents, buyers and sellers have a sincere interest in closing the transaction...cooperation and compromise are the order of the day.

Aug 13, 2019 07:56 AM #10
Rainmaker
4,401,304
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Sally and David,

Every step of the way, explanations are needed and given by smart agents.  That is the way of maintaining great relationships and repeat business.  A

Aug 13, 2019 07:58 AM #11
Rainmaker
1,199,097
Sheri Sperry - MCNE®
Coldwell Banker Residential Brokerage - Sedona, AZ
(928) 274-7355 ~ YOUR Solutions REALTOR®

HI Sally K. & David L. Hanson,

Inspections are another part of the negotiation process, especially if there are a lot of hidden issues!

Aug 13, 2019 08:39 AM #12
Ambassador
3,781,001
George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Sally depending on the Home Inspector, inspection issues can sometimes get a little crazy, which in turn create unreasonable requests for the Buyer.  I will generally not order an appraisal until the Buyer and Seller have come to agreement on inspection issues.

Aug 13, 2019 09:48 AM #13
Rainmaker
3,236,068
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Realtors - Luxury - Divorce

That is generally the case here as well George Souto ...sometimes we are able to give a lender the "heads up" ahead of getting the official "okey dokey" so that the transaction keeps moving along.

Aug 13, 2019 09:56 AM #14
Rainmaker
1,895,973
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Good afternoon Sally K. & David L. Hanson - this should be seen as normal and sellers should be defensive or buyers unreasonable. 

Aug 13, 2019 12:51 PM #15
Ambassador
3,838,001
Kathy Streib
Room Service Home Staging - Delray Beach, FL
Home Stager - Palm Beach County,FL -561-914-6224

so true Sally and David= Listing agents need to educate their sellers as to exactly what the inspection means. It's so important that they understand that it's not meant to be accusatory. 

Aug 13, 2019 06:30 PM #16
Rainmaker
2,883,238
James Dray
Fathom Realty - Rogers, AR
Exceptional Agents, Outstanding Results

Morning Sally.

Even in new construction,  the inspector will find something that needs attention.

Aug 14, 2019 12:43 AM #17
Rainmaker
589,004
Carolyn Roland-Historic Homes For Sale In Delaware and S. Chester County PA
Patterson-Schwartz Real Estate - Wilmington, DE
Carolyn Roland, GRI, CRS

Each state handles inspection results differently. In Delaware, the seller has a chance to do repairs, but in PA, if the buyer finds something they consider a deal breaker, they can kill the offer with no chance for seller remediations. 

Aug 14, 2019 05:07 AM #18
Rainmaker
3,236,068
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Realtors - Luxury - Divorce

Yes Carolyn Roland-Historic Homes For Sale In Delaware and S. Chester County PA  there are differences...in Wisconsin it can go either way depending on how the offer is written and how willing the Sellers are to correct the issue.

Aug 14, 2019 05:12 AM #19
Ambassador
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Jeff Dowler, CRS
Solutions Real Estate - Carlsbad, CA
The Southern California Relocation Dude

Hi Sally and David:

Inspections should be part of any transaction, and it's important for both buyer and sellers to understand their purpose and what to expect, and what the possible outcomes are.

Jeff

Aug 17, 2019 08:11 AM #20
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Rainmaker
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Sally K. & David L. Hanson

WI Realtors - Luxury - Divorce
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