All Things Real Estate: A pre-inspection can save you money and your sale
Phil RaicesNo one likes to spend money foolishly. However, spending wisely on a pre-inspection can save you thousands of dollars and minimize the stress when selling if your home is 20 years or older. Hiring a certified home inspector or professional engineer will be a prudent and smart activity.
This will ascertain what is right, but more importantly, what is wrong with your home. Knowing this before putting your home on the market will educate you on what may need to be repaired.
It isn’t about upgrading your home but knowing what could squash a sale because of some defect or major issue that could have been dealt with if you had known about it. Some may not think having a pre-inspection is crucial for a sale to take place, but it will be the most important investment of your money that you could imagine.
With inventory so historically low, you’re not very worried as demand is still very strong, and someone will buy your home, no matter what may be wrong. But that could be a huge error in judgment.
The big question is if avoiding fixing something, what will it really cost you in the sale price? When issues arise, you may have to provide a credit. This may be more than it would have cost you if you had originally been aware of the issue and were capable of fixing it.
The worst-case scenario when not dealing with problems beforehand is that you could lose the buyer altogether. Why go through the motions of selling only to end up having to fix the problems after the buyer does their inspection when this could have been dealt with in the first place?
Being “penny wise and pound foolish” is part of the human condition. We all procrastinate (I have to admit that I periodically procrastinate) for various reasons: laziness, putting a chore off to another day, lack of funds, illness, etc.
However, procrastinating can only hurt your future wealth when it comes to the most valuable asset that most American homeowners possess.
Being proactive in the first place is to address issues when they are small and not wait until they become severe and a major financial headache.
It will be easier when you have the money to deal with small problems than to wait until they blow up in your face. Periodically checking on your utilities, water, electric service and gas to ensure they are functioning properly will benefit you in the long run.
Leaking pipes and water infiltration in the basement, especially when near a body of water, can cause havoc when ignored. Due to the areas on the North Shore where soil in many areas can be more clay in structure, water doesn’t percolate down very easily and may keep many basements smelling a bit musty.
Having a dehumidifier to keep moisture levels as low as possible will avoid a mold condition that can occur. Although mold generally will not kill you, it can be more challenging and aggravate those with existing respiratory conditions.
A dry basement will be more beneficial in the sale of your home, your health and be one less issue that you will need to have to deal with in the future.
Although performing a pre-inspection to address homes that are 20 years or older is prudent, a newly built home may have problems, too.
I have seen some new homes with flooding issues that the builders never addressed or maybe weren’t aware of.
Having a home inspector check heat, hot water, electrical, gas, roof, and windows, even if floors are level and true, proper insulation, quality of appliances, and fixtures may result in problems that need to be fixed.
The inspection report as well as your punch list should be provided to your developer and addressed before signing or subject to those items that should be noted in your contract.
Just because it is new construction doesn’t necessarily mean everything was built and installed correctly. Make sure that everything you are purchasing, especially any customizations and extras, has been done and is to your satisfaction.
Depending on the developer, some have had issues, and checking for online reviews in advance of purchasing or building will provide you greater insight into the experiences of current or former owners of homes they have built.
Even going as far as checking to determine if there were any current or previous lawsuits against them for faulty construction will further provide critical information before making the most expensive purchase of your life.
Philip A. Raices is the owner/Broker of Turn Key Real Estate at 3 Grace Ave Suite 180 in Great Neck. For a free 15-minute consultation, value analysis of your home, or to answer any of your questions or concerns he can be reached by cell: (516) 647-4289 or by email: [email protected] or via https://WWW.Li-RealEstate.Com
