Tuesday, February 18, 2014

Less Real Estate Drama With Home Inspections Before Listing

In a typical real estate transaction in the Rochester area, the buyers find a house, write an offer, comes to term with the seller,both sides celebrate, and then the home inspection happens.  Often there are surprises, both for the buyer and the seller and that's when the real drama can begin.  Buyers get frighten and sellers get angry.  It's no fun for anyone.

Last year I sold a few homes in which the property was inspected before the house went on the market.  Sellers have the opportunity to make repairs before the house is listed. And buyers receive the report before writing an offer with a pretty clear understanding of what's been repaired and what they will need to address as the future owners.  Buyers can make a fairer offer when they have all the facts and there is no re-negotiating the contract after the inspection.

Inspecting a home before it goes on the market is not cheap.  Expect to pay between $300 and $400 for a home inspection.  Plan on another $100 or so to make sure the furnace or boiler and in top working order and if there is a fireplace, you will also want to do a chimney safety check for approximately $75 to $100.  These fees add up but rarely is a buyer's request for a repair credit less than $1000.

Last year alone, I was involved in 3 transactions in which buyers made an offer based on there being an old furnace.  During the course of the inspections, cracked heat exchangers were discovered and guess what, each buyer ended up with a band new furnace.  Happy buyers for sure, but very angry sellers.

I'm all for less drama in real estate and believe that less surprises equals less drama.  I'd love to see all Rochester area sellers have there home inspected before going on the market, or at a minimum, have the furnace serviced.  If you'd like more information, don't hesitate to give me a call or send me an e-mail.