Data from Inspection Support Network [3].
Home inspections are very useful to anyone in the real estate market, whether you are a buyer or a seller. According to the Inspection Support Network, "A home inspection costs $300-$500. But [...] saves an average of $14,000 in potential repairs" [3]. They cite the roof, electrical issues, and windows as the three most common home parts to be included in an inspection report for having issues. The prices of these repairs vary depending on the state of the house. For example, Melissa Dittmann Tracey at NAR cites common electrical issues such as dated electrical panels and aluminum wiring costing an average of $2,400 and $16,000, respectively [4]. Knowing about these issues and their costs greatly benefits both sellers and buyers.
As a buyer, performing a home inspection lets you better understand the state of the home before committing to a purchase. Houzeo highlights how knowing what state the property is in and how much repair work it needs can help buyers negotiate a better price for the home using the inspection contingency [2]. This contingency also allows buyers to cancel a purchase following the findings of a home inspection. As such, despite the upfront costs, a home inspection is an invaluable part of the process for the savvy home buyer. Going through the steps of a thorough inspection can help you land a better deal on your home and prevent you from being blindsided by issues after completing the sale.
While buyers commonly perform home inspections, that is not to say sellers cannot make use of these services as well. Pre-listing home inspections are paid for by the seller and, as per their name, occur before a home is listed for sale [1]. Sellers who perform pre-listing home inspections can repair any found issues to help boost the price of their homes. Additionally, this gives your home a leg up in the market by letting prospective buyers know what they're in for. By showing buyers the inspection report and repair invoices, you let them know you've done your due diligence maintaining your property and could illicit higher offers [1].
Whether you're a buyer or a seller on the market, Kho & Young are here to help. We can bring you in contact with the best and most reliable home inspectors on the market; give us a call!
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