A home inspection is routine. Before buying or selling a home, it should be inspected to detect any possible problems that may be present. These problems should be taken care of before the sale is made, so think of it as protecting both the buyer’s and seller’s. While many inspections go smoothly, the reality is some don’t. So what do you do when you get a bad inspection? Dean Graziosi has provided the following information to help you through the process.
If you are selling a home, take the inspection results in stride. Make a list of all the changes that need to be made and figure out what it will take to make them. It may require you to put off selling for a while, but you’ll wind up ahead in the end.
As a buyer, a home with a lot of significant problems may not be the best choice for you. If you suspect other problems will arise once the sale is made, consider backing out and finding another property to purchase.
As a home seller, if you will be required to make repairs, get bids from several contractors. According to an article posted on frontdoor.com, at least three should suffice. You want the work to be completed by a reputable company, but you don’t want to break the bank getting it done. You’ll save money by skipping the middle man and going directly to the contractors themselves.
As a buyer, find out what work will be completed before you actually buy the house. Make sure you understand both your responsibility and that of the seller.
If you are the seller, talk to your realtor about asking the buyer to pay a closing cost credit. This will help free up some of your own cash for post-closing repairs. It will also enable you to complete some necessary repairs. If that isn’t successful, you may want to consider reducing the price of the home and requiring the buyer to take care of some of the repairs instead.
If you are the buyer, you’ll want to assess whether or not you are satisfied with the condition of what may be your new property. Consider the final purchase terms including: credits, repairs, or the agreed to price reduction if this is the case.
Take all aspects of the deal into consideration before deciding whether or not you will move forward. Selling or buying a home is a very big decision and should not be entered into lightly.
A bad inspection does not signify the end of the deal. It just means some work will be necessary before you can move ahead with it. Try to relax and keep open communication with your realtor who will be there to help you through it. Read more about real estate by visiting Dean Graziosi’s blog.