Step 13 to Buying a Home: Reviewing the Home Inspection Report – What to Expect and How to Proceed

After the home inspection is completed, a home inspection report will be sent to you by the home inspector and i usually takes 1-2 days after the home inspection took place. If you use our recommended home inspectors, it will most likely be on your inbox and ours the night of the home inspection date. Once the inspection report comes back, you need to review it thoroughly. We will go over things that need your attention and suggest a proper way to resolve the issue.

Expect a Lengthy Report: Don’t be surprised if your inspection report is over 30 pages long and lists more than 25 issues. This is typical. Even brand-new homes have at least a few items that need attention.

Distinguishing Major from Minor Issues: There’s a big difference between small, mainly cosmetic repairs and larger issues. For example, re-caulking a shower or fixing a broken microwave handle is minor compared to addressing a sewer backup in the basement. Remember, the home inspection report is for your information as the buyer. It’s not a to-do list for the seller. Minor issues may not be completed by the sellers because they already factored that in when they put the house on the market. Some examples are wear and tear on the appliances, scratch paints on the walls, some dents here and there, burnt light bulbs, missing plates on some switches… you get the picture. Expect that if it’s a few hundred bucks’ worth that you might not be able to get the sellers to do it. Reality is, you don’t want to lose the house over $100 worth of repairs, do you?

Focus on What Matters: Here are our tips for reading and understanding your inspection report:

Pay attention to big-ticket items: Look closely at issues related to electrical, plumbing, roofing, foundation, or water intrusion, HVACs (Heat, Ventilation Air Conditioning) as these can be costly to fix.
Consider additional inspections: If any major issues concern you, think about getting further inspections. For instance, you might want a structural engineer, sewer inspector, electrician, or pest inspector to take a closer look. You will be responsible for paying these inspectors’ fees and have these requests amended to the original purchase agreement before the home inspection condition expires. I see a lot of inexperienced agents request these after the fact, and that is a no-no. If you already waived or fulfilled the conditions before these things are taken care of, then you will be left doing these things on your own. Once you firm up on your agreement then you cannot back out because you missed the deadline.
Make three lists:
- Must-fix items: Issues the seller must address for you to continue with the transaction.
- Nice-to-fix items: Problems you’d like the seller to fix but aren’t deal-breakers.
- Okay-to-fix items: Minor issues you’re willing to handle yourself or don’t need fixing.

Share Your Lists: Email us your lists, and we’ll review them to make sure you’re not missing any significant repairs or asking for too much. We’ll provide suggestions and help you prioritize.

Negotiating Repairs and Credits: You can ask the seller to repair items or do a price reduction at closing in lieu of you repairing them on your own time later. If it’s something major and you have the money to do or pay for the service, it is advisable that you do these repairs as the sellers would most probably take the easiest and cheapest route to repair this and usually they do it at the last minute, making it impossible for you to do a re-inspection before closing. If you don’t have the money to do it and the seller does not want to repair it then you would have to decide if you want to proceed or walk away. We will advise you of the options you have but ultimately, you’re the one to make a decision on this matter. Our job is to make sure that your best interest is at hand, to negotiate the best deal for you and to follow your instructions.

Focus on Key Issues:

Safety concerns
Structural issues
Non-working components (like appliances)

We’re not focusing on cosmetic issues like paint touch-ups or cleaning gutters. If you want a perfect home, consider buying new construction. Even the new constructions have some issues that arise after moving in (some of these are taken care by your Tarion warranty but not everything and it has a time restriction when you can claim for these) For resale homes, it’s important to accept some cosmetic flaws.

The Negotiation Process:

Timeframe: If only minor repairs are needed, negotiations may be quick. For more complex issues requiring contractor estimates, expect negotiations to take a few days. Keep in mind that all these should happen before your condition expires.
Agreement: Once we agree with the seller, our lawyer will draft a formal agreement, which the seller will sign. Repairs must be completed by the final walk through, with receipts provided as proof.
No agreement: If we can’t agree, you can cancel the contract and get your deposit (earnest money) back.

Questions? Feel free to reach out with any questions about your home inspection or the next steps in the process. We’re here to help!