Are Pre-listing Home Inspections Necessary?

There is a long held tradition in the Cincinnati area that there is little benefit to you, the home seller, of having an ASHI certified home inspector perform a pre-listing home inspection before your home enters the market. While this is common practice in other parts of the country, it’s just not well received advice here.As you no doubt know, the inventory of homes in the Greater Cincinnati and N. Kentucky area has firmly placed the upper hand for negotiating strength directly into the palms of the area’s home buyers.

Living in your home, it’s often easy to take the operating systems for granted, or have some chores that you’ll get to later. We’re as guilty as the next guy. However, when your home enters the market, “Economics 101” kicks in, and your home becomes a commodity.  Because there are just so many home buying options, buyers are often looking for a reason to eliminate homes from their list.  Let the pre-listing home inspection keep you on the list, and set you apart from the others.

The pre listing home inspection report can erase the “unknown” and help eliminate objections.  If the inspection reveals an expensive repair, the seller can disclose the defect, and price accordingly. In lieu of repair, having two bids for the work will eliminate what I call the “pain and suffering” award buyers will impose on a seller, to cover the unknown costs of a repair. Buyers tend to greatly overestimate the cost of a new roof and will deduct $15,000 when $8000 will cover the cost. I saw an offer written to reflect what the buyer’s thought would cost about $2500 in electrical work, when under $400 took care of the issues.  Even with cosmetic items… have bids!  Another home, beautifully wallpapered to reflect the homeowner’s taste, eliminated 100% of the buyers that viewed the home, due to the wallpaper! Buyers assumed it would be thousands of dollars to neutralize. The bid of under $2000 quickly firmed the sellers pricing position. Be proactive!!! This is your money and your investment!! Don’t “wait and see” and deal with it later.   It will cost you money!!

Buying a home is an emotional decision backed up by the checkbook. Let’s give the buyer a reason to move forward on your home.  A clean sale, with no major defects or objections to address, will soften the buyers’ fears. Remember, if this one doesn’t work out, there are a lot more homes to choose from! Buyers don’t always “get it” that the home inspection is not an “out” to a contract because of cold feet, and may attempt to use some small objection such as a wobbly ceiling fan, or a couple of broken window seals as a way to void the contract.  First time home buyers, faced with the realties of homeownership responsibilities can be fragile. Let’s make them comfortable and eliminate those issues up front.