Photograph courtesy of Mark Compton
Craig Moorhead (right), owner of WellHouse Building Inspections, and associate Chris Telly prepare to inspect a chimney, as part of a comprehensive home inspection.
Inspection should precede home purchase
Identify problem areas
By Jean Newton
There seems to be no question in today's real estate market that home inspections are a must, but what has changed over the past few years is whether the buyer, or the seller, is ordering them. During the fast-paced market of the past two years, the current trend shows a slight shift to the seller.
"Buyers were 80 percent responsible for ordering home inspections and sellers usually were asked to fix items needing repair. That was life as normal, up until two years ago," said Craig Moorhead, owner of WellHouse Building Inspections in Campbell. "The competitive real estate market changed all that and drove the trend for the seller to have the home inspection in hand. The concept took on a life of its own and there became an understanding that the value was intrinsic."
Instead of a wish list from the buyer, the seller began to take the lead in repairs, often to get contingencies removed as soon as possible. Moorhead, who doesn't see the trend shifting back, now does about 50 percent of his inspections for buyers and 50 percent for sellers.
Broker Chuck Nunnally of Alain Pinel Realtors in Los Gatos believes property inspections are a must. "I advise my sellers to get an inspection up front to help assess what, or if any, problems or concerns exist. You can deal from a position of strength, if the seller knows in advance that, say, the furnace has a cracked combustion chamber, or if there are electrical problems," said Nunnally.
Nunnally also said a home inspection could shorten the contingency period, in most cases, if the inspection company is reputable and has done a good job. If the seller doesn't conduct a home inspection, he recommends the buyer should have one performed. "Property inspections have become such an important part of our due diligence that agents would be remiss in their duty if they don't urge their clients to get one," Nunnally said.
For Realtor Ceci Ellis of Taylor Properties in Palo Alto, home inspections are a logical step, and she has advised both buyers and sellers to get one.
"Most of us wouldn't think of buying a used car without having our mechanic check it out, so it makes good sense to hire a professional to evaluate what is likely the most expensive investment most people will make in their lifetime," Ellis said. "As a buyer, it is vitally important to know what you are getting into. Many first-time home buyers are naïve about what it takes in time and resources to repair and maintain a home."
Ellis said she likes to work with home inspectors who take the time to not only note all the defects in a home, but who will actually walk through the home with the buyer and tell them which items they can repair themselves and which require professionals. "One home inspector I recommend consistently gives buyers a basic class in home maintenance and construction which I believe makes hiring him one of the best investments my buyers can make toward purchasing their home."
Conversely, Ellis thinks that it is a good idea for sellers to have a home inspection completed before putting their home on the market. A home inspection helps the seller find defects before a prospective buyer finds them. It gives the seller an opportunity to fix things before they are forced to do so during the escrow period.
"Having a home inspection eliminates any little surprises that may arise when the home goes into contract and the buyer does his or her own inspections. It's much easier to negotiate around a home's defects when you know about then up front," said Ellis.
Whether a buyer, or a seller, requests a home inspection, the duties remain the same, said Moorhead. The home inspector's job is to examine the overall condition of a home including electrical, plumbing and mechanical items, such as the furnace and water heater. After identifying any problem areas, the home inspector will recommend what steps might be necessary to correct those problems.
Home inspections generally include the examination of the exterior, including drainage conditions, exterior surfaces, decks and chimneys; the roof, roofing materials and flashing; the interior, including windows, doors, plumbing, furnace and air conditioner, electrical outlets and switches; and the crawl space and attic for structural condition, as well as the insulation, ventilation, electrical, heating and plumbing systems, if accessible.
Although home inspectors are not currently licensed, Moorhead sees the profession moving in that direction. As a member of the American Society of Home Inspectors, he follows its standards of practice and code of ethics, regarded as the industry benchmark of performance. The group requires 20 to 30 hours of continuing education and a testing process for its members.
"Although the home inspection industry does not currently have a licensing requirement, The American Society of Home Inspectors takes on that role," said Moorhead. "In addition, whether you are a buyer, or a seller, or just want to find out what condition your home is in, it is wise to get a recommendation from your Realtor, to make sure you find a reputable home inspection company."
Saratoga, California Since 1955
