Should You Skip Your Home Inspection?
The pandemic has brought on some tough challenges in the housing market, especially for buyers. Bidding wars, multiple offers, and low inventory have increased competition when buyers are putting in an offer on a home. Some buyers are even resorting to waiving their home inspection rights to try to get a leg up on the competition. As REALTORS, we advise against that, because the home inspection is such an important part of the home buying process.
Waiving your home inspection comes with sizable risks and can end up being a costly mistake. Getting a home inspection is intended to protect the buyer and is an important step in making sure that the house is worthy of your time and hard-earned money.
What is a Home Inspection?
A home inspection is a full examination of the condition of the home you are planning to purchase. A certified, experienced professional will carefully inspect the entire physical structure thoroughly. This usually includes the foundation, structural integrity, plumbing, electrical systems, floors, walls, ceilings, roofs, attics, heating and AC units, windows and doors, and exterior features like porches, decks, and patios. The examination gives you a detailed report on the condition of your home and ensures there are no surprises or issues once you have made the purchase. The inspectors look for any current or potential concerns of building components that may be unsafe, hazardous, not up to code, or in disrepair, and will clarify if these are cosmetic or structural issues.
Why Do People Skip a Home Inspection?
It’s a significant up-front cost- Because the home inspection is a tool aimed to help and protect the buyer, it is typically the buyer’s responsibility to schedule, pay for, and obtain a home inspection. Depending on where you live and how large the home is, a home inspection could cost several hundred dollars or more. However, a home with major issues could be a money pit costing thousands so, in comparison, it’s a small price to pay for such valuable information about your home.
To make your offer look more attractive- With multiple buyers vying for listings, the pressure to craft a compelling offer can be intense. Removing a home inspection contingency can be very attractive for a seller. From their perspective, no home inspection contingency means one less step in the sales process and a lot less stress about any problems potentially tanking the deal or causing a renegotiation.
Fear that your dream home isn’t as perfect as it seems- There’s an old saying: “ignorance is bliss”- but it shouldn’t be in the home buying process. Some buyers may have just stepped into their dream home and would rather not know that the foundation is cracking, and it will cost them lots of money down the road. It can be hard to accept that your perfect home isn’t everything it seems on the surface.
How to make a strong offer without waiving a home inspection:
Luckily, there are other ways to strengthen your offer on a home besides waiving a home inspection. Here are a few:
- Get preapproved. In a strong seller’s market, many sellers won’t even consider a buyer who is not preapproved for a mortgage.
- Offer a shorter closing time.
- If you’re making a cash offer, provide proof of funds.
- If you’re obtaining a conventional home loan rather than an unconventional loan, such as an FHA loan, let the seller know. Conventional loans are often more appealing to sellers.
- Make a larger earnest payment to show you’re a serious buyer.
If you’re ready to find your dream home or have questions about home inspections, Contact us! We’d love to guide you in your home buying journey.
Sources: Realtor.com, Colwellbanker.com