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Home Inspection - Merely Leverage?
If you intend to put your house on the market, a home inspection could identify items that would be called out on a buyer's inspection. This becomes a disclosure item. Buyers can evaluate this report before submitting an offer. Buyers may choose to submit offers without inspection contingencies. Buyer assumes more risk and the seller receives a "cleaner" offer. Historically, if a buyer is unaware of a defect prior to making an offer, the natural tendency is to negotiate the price once the defect becomes known after their home inspection. With prior knowledge from the seller's home inspection report, the defect instead is taken into consideration before the offer is made and there is less leverage for re-negotiations. The seller's strongest position is at the time the buyer first presents an offer to purchase. If negotiation starts subsequent to the buyer's home inspection, the seller is mentally set for a sale, but perhaps more inclined to give concessions to avoid the deal falling apart. With prior knowledge a seller can either: a) offer the house "as-is"
Above all, the seller's inspection report gives a fixed point of reference for everyone involved to work from before the sales agreement is signed. How do I find a good home inspector? Not all inspection companies are alike, and selecting the wrong company could cost you thousands of dollars in repair and replacement costs. Consider the following when shopping for home inspection companies.
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“ The seller's strongest position
is at the time the buyer first presents an offer to purchase. If negotiation starts subsequent to the buyer's home inspection, the seller is mentally set for a sale, but perhaps more inclined to give concessions to avoid the deal falling apart. ” |
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