How To Use A Pre-Inspection Report To Close The Sale
All homes talk. Sometimes it just takes a trained ear to hear what they’re saying. Some real estate professionals maintain that having a home inspection prior to listing offers several benefits to the seller. Identifying possible property related “red flags” early in the transaction could potentially save the transaction from menacing roadblocks that threaten to send everyone back to the negotiating table.
While a pre-inspection will not head off every potential issue, most will agree that early detection is beneficial to all parties involved.
According to HomeGain.com, here are 3 benefits of having a pre-inspection prior to listing:
- Identify defects and make repairs ahead of time. By identifying possible defects early on, the seller is in a position to handle repairs prior to listing, making the listing more attractive and the property more saleable. This may mean more money to the seller and a faster sale. Making repairs ahead of time will limit objections over defects during the negotiations. If the seller elects not to repair certain defects that turn up in the inspection, they can disclose the defects to potential buyers in the disclosure documents. State disclosure laws vary, and sellers should consult with their attorneys on state disclosure laws.
- Aid as a pricing tool. Having a completed inspection report from a certified inspector will help you (the seller) arrive at a realistic list price. If you find out, for example, that your HVAC system shows significant wear and tear and will need to be replaced before the next winter season, you should take that into consideration when pricing your home for sale.
- Provide a feeling of confidence to potential buyers. With a clean inspection in hand after viewing a property, potential buyers may feel more comfortable in moving ahead with an offer. When a buyer can see there are no major defects in the property to be addressed, it is easier for them to determine how much they can comfortably spend on the house. If there is a problem that needs to be addressed, they buyers can write an offer that will reflect the cost of the needed repairs, or they can ask the sellers to remedy the defect.
Additionally, here are 3 Ways to use a Pre-Listing Inspection to Benefit Your Home Seller:
- Create a unique selling advantage.
- Early resolution of any differences of opinions.
- Fix any conditions identified (if you choose to) or simply reflect it in the purchase price (attach repair estimates or paid invoices to the inspection report).
While pre-listing inspection potentially benefit the home seller, home buyers are encouraged to have their own, independent home inspection and not rely exclusively on the home seller’s generated report. As an agent, understanding property conditions and warranted items is a valuable asset in assisting your clients. GRI Property Conditions is a one day course that teaches agents of all experience levels how to better understand what warranted items, how to use inspection reports, work with appraisers and how to utilize the correct AAR forms for a successful closing. For more information on Property Conditions, visit the GRI website or register for the next class.
STANDARDS OF PROFESSIONAL PRACTICE For Arizona Home Inspectors
Tags: Calie Waterhouse, home inspection, selling arizona home, using a REALTOR