When you are buying a home, the last thing you want to do is shortchange yourself on inspections. Many buyers choose to waive their home inspection, thinking that they are saving time and money. However, waiving your home inspection can actually lead to bigger problems down the road.
In this blog post, we will discuss the risks of waiving your home inspection and what you can do to protect yourself!
What is a Home Inspection Waiver?
A home inspection waiver is a document that waives the right of the buyer to have a home inspection performed on the property they are buying.
Waiving a home inspection means that you are agreeing to purchase the home “as is” without any guarantees from the seller about the condition of the property.
While this can help you negotiate a lower purchase price on the home, it is important to be aware of the risks involved in waiving this contingency.
What is the Inspection Contingency Clause?
Another important clause in the real estate contract is the inspection contingency clause. This clause gives the buyer a specified amount of time, usually around ten days, to have the home inspected by a professional.
If the buyer is not satisfied with the results of the inspection, they can back out of the contract and receive their deposit back. This contingency also allows the buyer to negotiate with the seller for repairs, a credit at closing, or a reduction in the purchase price.
In some cases, the buyer may waive their right to an inspection. This means that they are waiving their contingency and will not be able to back out of the contract or negotiate with the seller if they are not happy with the home inspection results.
Why Do People Waive Home Inspections?
There are a few reasons why a buyer would waive their home inspection contingency.
The most common reason is that the buyer is afraid they will lose the home if they don’t waive the inspection contingency. If you are in a multiple-offer situation, waiving the home inspection can sometimes be the deciding factor that gets your offer accepted.
Another common reason people waive home inspections is that they think it will be too expensive.While home inspection fees can vary, the average cost of a home inspection is between $300 and $500.
So, if you are waiving your right to an inspection because you think it will be too costly, you should know that the fee is typically not as high as you might think.
However, just because you can save a few hundred dollars by waiving your home inspection doesn’t mean that it’s always the best decision.
There are definite risks involved in waiving this contingency, and you should be aware of them before making a final decision.
What to Know About Waiving a Home Inspection
Waiving a home inspection is a risky move, especially if you are a first-time homebuyer.
While the fees for an inspection might seem like an unnecessary expense, it’s important to remember that this is one of the only ways to get an unbiased, professional opinion about the condition of the home you are thinking about buying.
An inspector will look for any and all potential problems with the home, both big and small. This can include things like water damage, mold, structural issues, infestations, and more.
If there are any problems found, you will then have the opportunity to negotiate with the seller to have them repaired or to lower the purchase price of the home.
If you’re buying an older home, waiving the inspection could mean you’re inheriting someone else’s problems. Even in newly built homes, inspectors can sometimes find things that the builder missed.
Should I Waive a Home Inspection?
The bottom line is that waiving a home inspection is taking on a lot of risks. Unless you’re an experienced handyman or have a lot of money to blow, your best bet is to have a home inspection before you buy.
A home inspection is the best way to know what you’re getting into before you buy a home. If you’re looking for expert home inspection services in Los Angeles, contact the Elite Group today.