October 30, 2006
Fall 2006 Issue: Pre-listing Inspections
©2006
Hi,
Welcome to the Fall 2006 issue of The HomeTeamKC Report.
This quarterly report provides REALTORS® and Homeowners with helpful information about residential homes from a home inspector's perspective.
This month’s newsletter focuses on the idea of pre-listing inspections.
Thanks for your interest and call or email us anytime with any questions you may have.
Mike
The HomeTeamKC
P.S. If you have problems viewing this newsletter in your email browser, click this link to view this and past newsletters from our archives.
The archives are becoming a treasure trove of good information about homes. Be sure to pay a visit now and again: you are sure to find something of interest. Archives
What you’ll find in this issue of
the HomeTeamKC Report:
·Pre-listing Inspections
·A Note of Thanks
·Quick Access to Our Current Pricing Sheet
PRE-LISTING INSPECTIONS
Publishing a Newsletter has been on my ‘to do list’ for a number of months now, and the next topic was originally going to be ‘Droughts & Foundations’. Fortunately, the past month has brought a respite of precipitation to K.C., and that very important topic will be postponed to the next installment.
This afternoon, a very successful agent phoned me to discuss how her last couple of clients had asked for all discovered issues from our inspections to be repaired, and had reached an impasse with the sellers. We discussed why this was perhaps a more common phenomenon in a ‘buyers’ market’...as in, "if the seller doesn’t take care of everything, I’ll just look for a different home."
The topic of conversation evolved into the agent wanting to be more proactive with her listings, and to the ‘pre-listing inspection’. This agent remarked that the 12 month warranty just did not seem to distinguish the listings from the rest of the market. Although pre-listing inspections are still an overall small part of our business, interest has been steadily growing from both agents and clients.
Why wait? You are planning to put your house on the market, it’s a good bet that a potential buyer will have a home inspection. So why wait for surprises on the buyers’ home inspection? Why not have your home inspected before it is on the market?
It is common for a sales contract to have a “Contingent upon Inspection” clause. Many sellers wait for the buyer to order and purchase the home inspection, because they feel that they save money by having the buyer pay for the home inspection. This does not always work in the seller’s advantage. By waiting for the buyer’s inspection, the seller limits their time frame to have any needed remediation preformed, this can cost the seller more money than if they where aware of a problem in advance. Some things that an inspection may reveal that could catch a seller off guard may include:
- Out-dated electrical systems (common in pre-sixties homes)
- Unsafe &/or obsolete electrical wiring (i.e., open junction boxes & splices, older knob & tube wiring, 3 prong open ground receptacles, etc.)
- Problematic plumbing systems (common in seventies and older homes)
- Exterior wood decay (very common with K.C. area siding & windows)
- The lack of safety devices on electrical, plumbing, and HVAC equipment
- Failing roof and gutter systems
- Water intrusion &/or inadequate grading
- Foundation issues
- Unsafe heating equipment
- Building materials that are now considered a health hazard
Having a pre-inspection can also shine a positive light on the care and pride you take in your home. A pre-inspection and subsequent corrective maintenance shows a buyer that the seller is a conscientious homeowner. Our clients will often provide bound copies of our inspection to their serious prospects, along with an addendum detailing their repairs. This gives the buyer the feeling that the house has been well maintained. This makes a big difference when the buyer’s decision is down to two homes, because the conscientious owner usually wins out.
There are a lot of mysteries when selling a home such as:
- Will the house sell?
- How much will it sell for?
- Will it show well?
The HomeTeam will operate all systems and components of the home. We will identify major defects, safety concerns, and maintenance issues. We do the full, detailed inspections for pre-listings (same price as for buyers), and also a ‘major issues only'...at a substantial cost savings to the client. Please call or e-mail me if you want to discuss further.
A Note of Thanks
Thanks to all of our clients and agents who were instrumental in The HomeTeam having our busiest year ever, by far. I apologize that we were typically scheduled about one week out throughout most of the year, and we are planning to try to better handle your needs (considering a 2nd team).We have not raised our prices since January 2005, and we will increase for 2007 by a modest approximate 3%. The new price schedule will be sent with the next Newsletter. I realized that none of you choose us based upon price, as there are many out there who are cheaper. Our clients and referring agents realize that a home is an important investment, and a quality inspection and report is worth the extra cost many times over. Nonetheless, we attempt to maintain a fair and affordable pricing schedule.
May all of you and your friends and loved ones have a safe and very happy holiday season!
Mike
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