Purpose of the home inspection

Purpose of the home inspection

Ask Phyllis: a blog series of frequently asked real estate questions. Email us here

Dear Phyllis,

We have searched for a home for over six months and submitted several offers before one was accepted. Once we opened escrow, we completed a round of inspections. After reviewing the results, we requested credits from the seller for the roof, foundation, heating and air system, termite work, sewer line, and replacement of the old galvanized plumbing.

In total, we spent nearly $2,000 on inspections and related evaluations before the appraisal. In addition, we identified several other issues that we would need to address after moving in.

We need a fence for our kids, and the floors need refinishing. Also, we must deal with the outdated kitchen and bath. Taking all of that into consideration, we asked for an $80,000 credit. After a lot of going back and forth, the seller offered us just $5,000, and we cancelled escrow. They took the home off the market, made many of the repairs we wanted credits for, and relisted it for a higher price. I just don’t see how this is fair, and I am hoping you can explain the purpose of the home inspection process.

Jennifer

Dear Jennifer,

I don’t have all the details of your situation, so I will make a few reasonable assumptions.

First, most components of a home have a limited life expectancy. You mentioned an outdated kitchen and bathrooms. Therefore, I assume the home you were going to purchase was not newly built. In most older homes, sewer lines typically last about fifty years. In addition, if the seller and listing agent did not disclose any recent upgrades—such as copper plumbing—then there is usually no reason to assume the plumbing had been updated. As a result, experienced Realtors typically advise buyers to verify this information through permits or inspection reports.

Next, the condition issues you noted, such as the lack of a fence and the need to refinish floors, were already visible when you made your offer. Even so, you chose to proceed with an offer on an older home that clearly showed its age. However, after the inspection, you requested that the seller essentially deliver a “new” home.

At that point, the market dynamics matter. We are in a highly competitive environment. For example, imagine there are only five bridal gowns and twenty brides. Once you find a gown you love and can afford, you will not likely negotiate aggressively over a broken zipper if others are waiting behind you. Instead, you would probably accept it and make minor repairs afterward.

Similarly, in today’s real estate market, buyers often need to prioritize securing the property rather than requesting extensive post-offer improvements. I understand this may feel direct, but it reflects current market conditions.

Related Post: Benefits of a pre-inspection