Thursday, 1 May 2014

REMEMBER TO INSPECT BEFORE YOU SELL

IMPORTANCE OF PRE-INSPECTION





The industry norm has been to have a home inspection conducted if you are the buyer putting in an offer.  This scenario benefits the buyer. 
But, if the seller conducts a Pre-inspection, it stands to benefit all parties involved in the real estate transaction--the seller, buyer and the agent.


BENEFITS

Often, an offer on a home is conditional upon a satisfactory home inspection.  Often times, this may end up jeopardising the deal.  The reasons for this can be either that the purchaser gets cold feet or that a major deficiency is uncovered during the inspection.  It my also be that the house was misrepresented.  Or still, maybe that the way in which the home inspector conveyed the minor repairs scared the purchasers as they weren’t explained as repairs that were typical small problems and that they could easily be fixed.
The benefit of performing a home inspection prior to listing the house is that all parties will become aware of the condition of the house before any negotiation starts.   The element of surprise of a home inspection can be eliminated thus deals will not fall through.




AVOID RENEGOTIATION

During certain economic conditions, when it is a buyers market, it may end up being that a house ends up selling twice.  It definitely takes a lot of work to get a signed agreement of purchase and sale.  No real estate agent would want to waste effort if after the home inspection is conducted, the purchaser uses that as a tool to renegotiate.
A pre-listing inspection allows all parties to know the condition of the house prior to the offer thus eliminating the need for renegotiation. As most real estate agents know, renegotiation is very difficult. Vendors have already mentally sold the house; purchasers are suffering buyers' remorse.  There are many mixed emotions going around and dealing with bruised egos and pride often blurs judgement.
It is therefore an excellent idea for a home owner to pay for an inspection prior to listing their property as they will be further ahead than a homeowner who ends up having to renegotiate.  This step can often help to sell the house faster.

UNREALISTIC VENDORS

A pre-inspection done before the listing can also help the real estate agent handle a vendor who may have unrealistic expectations about the value of their home.  The inspection report makes for excellent ammunition for explaining why top dollar cannot be asked for a home requiring repair.





REPAIRS PRIOR TO SALE

A home inspection may reveal items, which should be repaired or replaced immediately. A pre-inspected listing allows the vendor the opportunity 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 vendor may have the option to repair. A repair done by an unmotivated vendor 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 PURCHASER

There is no doubt that part of the value of a home inspection is a guided tour of the house for the prospective purchaser. The inspection company can return to do a walk-through with the purchaser, if requested.


REPUTABLE INSPECTION COMPANIES

Pre-inspected listings will only have value if the home inspection company is perceived to be reputable, qualified and properly insured.  Road to Home Inspection is reputable and waiting for your call.





No comments:

Post a Comment