Home Inspection: The Seller's Guide
You've accepted an offer - congratulations! Now comes the inspection, which can feel like judgment day. Here's how to prepare and handle whatever comes.
What Is a Home Inspection?
A professional examination of your home's condition, typically including:
- Structure and foundation
- Roof and exterior
- Plumbing systems
- Electrical systems
- HVAC
- Interior components
- Insulation and ventilation
- Safety issues
Duration: 2-4 hours for average home
Cost: $300-$500 (paid by buyer)
What Inspectors Look For
Major Systems
Roof:
- Age and condition
- Missing/damaged shingles
- Flashing integrity
- Signs of leaks
- Estimated remaining life
Foundation:
- Cracks (type and severity)
- Settlement
- Water intrusion
- Structural integrity
Electrical:
- Panel capacity and condition
- Wiring type and safety
- Outlet function and grounding
- Code compliance
Plumbing:
- Pipe material and condition
- Water pressure
- Drain function
- Water heater condition
- Visible leaks
HVAC:
- System age and condition
- Function testing
- Filter and maintenance
- Estimated remaining life
Common Red Flags
- Active water intrusion
- Mold presence
- Roof at end of life
- Outdated electrical (knob and tube, aluminum)
- Foundation movement
- HVAC failure
- Pest damage
- Safety hazards
Preparing for Inspection
Two Weeks Before
Make Repairs:
- Fix obvious issues
- Address dripping faucets
- Replace burnt-out bulbs
- Repair broken latches/handles
Document Recent Work:
- Gather permits for improvements
- Collect warranties
- Have receipts for repairs
Clean and Clear:
- Clean around HVAC unit
- Clear attic access
- Ensure crawl space accessible
- Remove items blocking electrical panel
Day of Inspection
Ensure Access:
- Unlock all doors
- Provide garage remotes
- Clear paths to all areas
Utilities On:
- All utilities must be active
- Pilot lights lit
- Water heater on
Vacate Property:
- You shouldn't be present
- Buyers need to explore freely
- Inspector needs to focus
Take Pets:
- Remove all animals
- Put away pet items
- Note any pet damage to disclose
The Inspection Report
What It Contains
- Detailed findings with photos
- Categorized by severity
- Recommendations
- Safety concerns highlighted
- Maintenance suggestions
How Buyers Use It
Buyers typically focus on:
- Safety issues
- Major system problems
- Expensive repairs
- Code violations
Minor issues are often noted but not negotiated.
After the Inspection
Possible Outcomes
Clean Report: Proceed to closing. Rare, but happens.
Minor Issues: Buyer may proceed without requests or ask for small repairs.
Major Issues: Negotiation begins. Buyer may request:
- Repairs before closing
- Credit toward repairs
- Price reduction
- Combination
Deal Breakers: Buyer may exercise inspection contingency and cancel.
Negotiating Repairs
Buyer Requests Repairs
Consider:
- Is it reasonable?
- Is it expensive?
- Will it delay closing?
- Can you do it properly?
Options:
- Agree to repairs (you control quality)
- Offer credit instead (they control repairs)
- Offer price reduction
- Decline and risk buyer walking
Common Negotiation Points
What Sellers Typically Address:
- Safety issues (must fix)
- Major system failures
- Code violations
- Significant water damage
What Sellers Often Decline:
- Cosmetic issues
- Normal wear
- Maintenance items
- Upgrades (not repairs)
Credits vs. Repairs
Seller Makes Repairs:
- Controls quality
- Ensures completion
- May delay closing
- Retains liability
Seller Gives Credit:
- No work involved
- Faster closing
- Buyer controls work
- Clear liability transfer
Pre-Listing Inspection
Should You Get One?
Pros:
- No surprises
- Fix issues in advance
- Price accurately
- Negotiate from strength
- Disclose proactively
Cons:
- Cost ($300-$500)
- Must disclose findings
- May find issues you'd rather not know
- Buyer usually still gets their own
Best For:
- Older homes
- Homes with known issues
- Sellers wanting control
- Competitive markets
Inspection Contingency
Standard Language
Allows buyer to:
- Conduct inspections
- Request repairs/credits
- Cancel if unsatisfied
Typical Period: 7-14 days
As-Is Sales
Some sales are "as-is":
- No repair requests
- Buyer still can inspect
- Can still cancel if contingency allows
- Typically lower price
When Inspection Kills the Deal
Common Deal-Breakers
- Major foundation issues
- Extensive mold
- Roof replacement needed
- Significant structural damage
- Environmental hazards
- Undisclosed major defects
If Buyer Cancels
- They get earnest money back (usually)
- You can re-list
- Must now disclose findings
- May need to repair or adjust price
Avoiding Inspection Issues
Option 1: Pre-List Repairs
Fix known issues before listing. Cost vs. benefit analysis on each.
Option 2: Pre-List Inspection
Know what's coming. Fix or price accordingly.
Option 3: Sell As-Is to Cash Buyer
No inspection contingency. No renegotiation. Certainty.
The Cash Buyer Advantage
When you sell to SpotCashOffers:
- No buyer inspection contingency
- No repair negotiations
- No deal falling through
- We know what we're buying
- Price reflects condition
Avoid the inspection stress entirely.
Worried about what inspection might reveal? Get a cash offer and sell as-is, with no inspection contingency to worry about.