New Trend For Vendor Inspections
Vendor Inspections, often referred to as Pre-Listing inspections, are becoming more popular because they eliminate many of the pitfalls and hassles associated doing an inspection when you have a buyer.
The Pre-Listing inspection often identifies minor defects that if left unattended may have had a negative affect on the buyer’s decision to purchase.
Certainly Pre-Listing inspections occasionally highlight major defects (Some pre-dating the current vendor’s tenure), which the vendor had not anticipated. But at least by having this knowledge the report puts the vendor in control, and they can either correct the problem or be prepared to negotiate.
When a Houspect inspection has been completed, the report will be available for review by the potential buyers (usually via their real estate agent) normally within 48 hours. Most vendors arrange inspections just before their home goes on the market.
A Pre-Listing inspection is a win-win-win for everyone.
The advantages to the seller are:
- The vendor chooses a qualified inspector rather than be at the mercy of the buyer’s choice.
- Inspections can be booked at the vendor’s convenience.
- The vendor can assist the inspector during the inspection. Providing information regarding repairs and other conditions, during a buyer’s inspection can delay the sale considerably.
- The report can help the seller ‘s real estate agent price the home realistically if problems exist.
- The report can help the seller make the case for a higher asking price if problems don’t exist or have been corrected.
- A building inspection report requested by the vendor/seller reveals problems ahead of time that gives the seller time to make repairs and shop for competitive contractors.
- The report may alert the seller to any immediate safety issues, before agents and visitors tour the home.
- A Houspect report provides a third-party, unbiased opinion from experienced and qualified builders to offer to potential buyers.
- A “clean” home inspection report is a powerful marketing tool for the real estate agent.
- An inspection may clear up any of the prospective buyer’s unfounded suspicions, before they walk away.
- The report might encourage the buyer to waive the inspection contingency.
- Sales of properties with Pre-Listing inspection reports are less likely to fail, than sales where a buyer’s inspection unexpectedly reveals a problem.
Advantages to the real estate agent:
- Vendors can schedule the inspections at their convenience with little effort on the part of agents. Reports help sellers see their homes through the eyes of a critical third-party, thus making sellers more realistic about asking price.
- Agents are alerted to any immediate safety issues found, before other agents and potential buyers tour the home.
- Repairs made ahead of time make the home more appealing.
- The reports provide third-party, unbiased opinions to offer to potential buyers.
- Vendor inspections eliminate buyer’s remorse, which sometimes occurs just after an inspection.
- Vendor inspections reduce the need for negotiations and last minute renegotiations.
- Vendor inspections relieve the agent of having to hurriedly procure repair estimates or schedule repairs.
Advantages to the home buyer:
- The inspection is done already.
- The inspection is paid for by the seller.
- The report provides a more accurate, third-party view of the condition of the home prior to making an offer.
- A seller inspection eliminates surprise defects.
- Problems are corrected or at least acknowledged prior to making an offer on the home.
- The report may assist in acquiring financing, and provide useful information if the buyer is considering renovations
As previously reported by Houspect, anyone buying or selling a home needs to understand the importance of having a building inspection performed by a qualified experienced builder.
A qualified builder must meet certain education, experience and professional development standards in order to maintain membership with a professional organisation.
You should also only hire a building inspector who has Professional Indemnity insurance.
When comparing the price of inspections ask if the inspector is a qualified builder and whether they have insurance. Like everything else in life, “you get what you pay for.”