Why Would a Seller Want to Have a Home Inspection?
Advantages of having a Pre-listing Inspection
- Home may sell faster!
- Home may sell for more money!
- No more buyers walking away because there may be a problem with the house.
- No more 11th hour re-negotiations based on the inspector's findings.
- No more buyers getting cold feet when they find out the home is not perfect.
- You resolve any differences of opinion about the house before it goes on the market.
- You have a marketing edge over other homes being sold.
- All homes have room for improvement. Disclosing the condition of the home allows you to reflect the condition in the listing price, rather than have to negotiate again later when the issues are discovered.
It's not immediately obvious to many sellers why a Pre-Listing Home Inspection would be beneficial. Home inspections have traditionally been for the benefit of the purchaser. But, a Pre-Listing Home Inspection benefits all parties; Sellers, Buyers and Realtors. Let's face it; you have invested a large amount of your money in your property, why wouldn't you want to get the maximum return from your investment. Having your home inspected before it goes on the market is one way of ensuring that.
As the market tightens, we have seen buyers more interested in the renegotiating process after their inspection is done. Buyers are looking for ways to knock every dollar off the asking price they can. As a result sellers are being subject to a excruciating renegotiation process. Many sellers have had to reduce the asking price of their home by thousands just to keep the deal together. Many are fixing repairs outside the real estate contract to keep the buyer happy. In all, it is costing the seller money and the agent countless hours to finalize the deal. Much more than if they had their home inspected before it went on the market.
Pre-Listing inspections are an excellent way to disclose the true condition of a home for sale. They help eliminate the 11th hour headaches, renegotiations, additional repair expense, cancelled contracts and much more.
So what are the advantages of having a Pre-Listing inspection done?
Deals Won�t Fall Through - Home inspections, performed as a condition of the offer, can kill deals. Sometimes this is because the purchaser gets cold feet; sometimes there's a big problem no one knew about. Sometimes it is because the house has been mis-represented; sometimes it is because the home inspector scared the purchasers by not explaining that minor and typical problems are just that minor and typical. If the home inspection is performed prior to the house being listed, all parties will be aware of the physical condition of the house before an offer is drawn. There will be no surprises after the fact. Deals are less likely to fall through.
Pre-inspected Listings Avoid Renegotiation - In a buyers market, most houses have to be sold twice. It takes a lot of work to get a signed Agreement of Purchase and Sale. Then the home inspection is done and the purchaser wants to renegotiate. If all parties know the condition of the house prior to the offer, there is no need for renegotiation. As most real estate agents know, renegotiation is very difficult. Sellers have already mentally sold the house; purchasers are suffering buyers remorse. Egos, pride and frustration can muddy the already emotional waters. A Seller who pays for a pre-listing inspection will be further ahead than one who has to renegotiate.
Unrealistic Sellers - An inspection at the time of listing can also help a Realtor deal with a Seller who has unrealistic expectations. The inspection report is good ammunition for explaining why you can't ask top bucks for a hose which is not in top condition.
Repairs Prior To Sale - Sometimes, the home inspection will reveal items which should be repaired immediately. A pre-inspected listing allows the seller to repair the problem prior to putting the house on the market. If the inspection occurs after the Agreement of Purchase and Sale, the purchaser could walk, renegotiate or, depending on the inspection clause, the seller may have the option to repair. A repair done by an unmotivated seller may not be the best repair and may not meet the purchasers expectations. This has caused more than one deal not to close.
Peace of Mind For The Purchaser Every legitimate effort you make to build trust with a potential buyer will bring them that much closer to making the decision to buy your property. It's very important to create curb appeal when placing your home on the market. That's the number one thing that gets a buyer interested. But once they take a closer look, they begin to decide whether your property is the one they want. Many things play into that decision. And trust about you and the property's condition is a key element. A Pre-Listing Inspection lets them know your property is in good shape. They'll feel good about you and the property. That can make all the difference.
In summary, we believe by having a Pre-Listing Home inspection, offers are going to be cleaner and deals are less likely to be renegotiated or fall through. Pre inspected listings afford purchasers, sellers and Realtors the information and protection they all deserve.