by Michele Newbern Gillis
Staff Writer
Most home inspections are ordered by the buyer on the prospective home they want to purchase.
But, what if the seller ordered a home inspection at the time of listing to get a better idea of the condition of their home and help the Realtor set the asking price more accurately?
That was the question that Wally Conway of Florida HomePro Inc. asked at the Women’s Council of Realtor luncheon held last month at the San Jose Country Club.
Many home inspectors are known as “deal-killers” because they find issues in the house that can cause the deal to fall through and Conway said there are no home inspectors that are “deal killers”, only Realtors uncomfortable with dealing and disseminating with truthful and full disclosure.
About two percent of home inspections Conway does are done at the time of listing.
“Guess which demographic represented the large majority of homes that were inspected at the time of listing?” he said. “Who actually does this to their own home? Realtors.
“They will do certain things for their own home and their own properties that they won’t do for the homes they list day-to-day. Why can Realtors make the case to themselves that it is a positive thing for themselves and not to their sellers?”
Once Realtors learn to make a compelling case to their sellers about the benefits of having a listing inspection, Conway said that more and more of their sellers will want them.
What is the benefit to the seller of having a listing inspection?
You would think it was so the seller could fix what was wrong in the house, but that is not always true.
“It isn’t necessarily that the problems can be fixed, but disclosed,” said Conway. “Disclosure is always a good thing.”
Having the home inspected up front also helps protect the seller and Realtor when dealing with the disclosure form.
“Do most disclosure sheets that you receive back from your seller say ‘no’ to all answers?” he asked. “Does anyone really believe that? No, but you knew it wasn’t true and you conveyed it to the other party. You see my point? Having a home inspection at listing takes all the pressure off of the seller and the Realtor.”
When the Realtor and seller set the price of the home, they can now base it on how many imperfections are in the home and are more likely to get close to their asking price from a buyer.
“Homes that are inspected at the time of listing sell closer to the asking price and in less time,” he said. “What part of more money and quicker is bad for you or the seller?”
Having a home inspection at listing does not satisfy the buyer’s need to have one completed also.
Should the buyer accept the inspection done by the seller? No, says Conway.
“You are trying to manage liability and build confidence,” he said. “You want them to get their own for two reasons management liability for the seller and listing agent and they might find something additional.
“The reasons [why they find something additional] could be that it wasn’t broke when the first inspector was there. Also the second inspection will be done after you have de-cluttered the house and moved out. Is it likely you will see things that truly weren’t observable? Yes. Also it is possible that the first inspector just didn’t see and the second guy did. That is still a good thing. What is important is that the customer gets the right information.”