Inspections are a crucial part of the home selling process. Prior to putting a home on the market, it is recommended that the seller obtains a
“Wood Destroying Pests & Organisms Inspection Report”
If there are issues identified from this report, they will be one of two types:
Section 1 items are where active infestation exists from either termites or other wood destroying organisms. If any Section 1 items are discovered, it is recommended that the seller have those items properly repaired per the specifications in the report. Most contracts will stipulate that the seller correct any Section 1 deficiencies prior to close of escrow.
Section 2 items are items that could lead to a Section 1 condition, such as faulty caulking in a bathroom or kitchen area or a leak in a pipe. Most contracts specify the buyer taking responsibility for these minor problems, but it is always prudent to evaluate these items as to how they might affect the saleability of your home. See a sample below:
The buyer may have any inspections done on the home that they choose, at their own expense. This might include:
- Home Inspection
- Roof Inspection
- Chimney Inspection
- Swimming Pool Inspection
- Soil Stability/Engineer’s Report
- Furnace Inspection
Any concerns that the buyer has after conducting these inspections can be negotiated between the buyer and seller. The seller is generally under no obligation to repair items found by these other inspections. The buyer can choose to cancel the purchase if, within the specified time limits, they have a concern that the seller refuses to address.