Pre-listing Inspections

A new marketing tool for selling a home – a home inspection at the time of the listing – is gaining momentum as the residential real estate market grows less driven by demand.  While professional home inspections are not a new concept, the idea that sellers can benefit by them is beginning to gain acceptance as the number of seller facing difficult negotiations over repairs escalates.  Research shows that homebuyers negotiate $2 for every $1 worth of repairs found during the home inspection.

For example, if your roof needs replacement at a cost of $1,500 your buyer will begin the negotiation at $3,000!  While you can certainly walk away from the deal,  you will be under pressure to close and valuable market time may be lost.
However, negotiations routinely occur on conditions found on the home inspection that were previously not disclosed.  By having an inspection done before listing your home and disclosing needed repairs, you control repair negotiations and could save thousands of dollars.

Home inspections have traditionally been for the benefit of the purchaser. Pre-inspected listings benefit all parties - purchasers, vendors and Realtors.

Deals Won't Fall Through
Home inspections, performed as a condition of the offer, can kill deals. Sometimes this is because the purchaser gets cold feet; sometimes there's a big problem no one knew about. Sometimes it is because the house has been mis-represented; sometimes it is because the home inspector scared the purchasers by not explaining that minor and typical problems are just that - minor and typical.

If the home inspection is performed prior to the house being listed, all parties will be aware of the physical condition of the house before an offer is drawn. There will be no surprises after the fact. Deals will not fall through.

Pre-inspected Listings Avoid Renegotiation
In a buyers' market, most houses have to be sold twice. It takes a lot of work to get a signed Agreement of Purchase and Sale. Then the home inspection is done and the purchaser wants to renegotiate.

If all parties know the condition of the house prior to the offer, there is no need for renegotiation. As most real estate agents know, renegotiation is very difficult. Vendors have already mentally sold the house; purchasers are suffering buyers' remorse. Egos, pride and frustration can muddy the already emotional waters.

A vendor who pays for a home inspection will be further ahead than one who has to renegotiate. He or she may even sell the house faster.

Unrealistic Vendors
An inspection at the time of listing can also help a Realtor deal with a vendor who has unrealistic expectations. The inspection report is good ammunition for explaining why you can't ask top bucks for a house which is not in top condition.

Repairs Prior To Sale
Sometimes, the home inspection will reveal items which should be repaired immediately. A pre-inspected listing allows the vendor to repair the problem prior to putting the house on the market.

If the inspection occurs after the Agreement of Purchase and Sale, the purchaser could walk, renegotiate or, depending on the inspection clause, the vendor may have the option to repair. A repair done by an unmotivated vendor may not be the best repair and may not meet the purchasers' expectations. This has caused more than one deal not to close.

Peace Of Mind For The Purchaser
There is no doubt that part of the value of a home inspection is a guided tour of the house for the prospective purchaser. The inspection company can return to do a walk-through with the purchaser, if requested.

Reputable Inspection Companies
Pre-inspected listings will only have value if the home inspection company is perceived to be reputable and qualified.  Prospective purchasers will have little or no faith in a report done by someone they perceive to be in the vendors', or Realtors' pocket.

Summary
We believe that the future of home inspection lies in pre-inspected listings. Offers are cleaner and deals are less likely to be renegotiated or fall through. Pre-inspected listings afford purchasers, vendors and Realtors the information and protection they all deserve.

Preparing a House to Sell

Many buyers peruse neighborhoods looking at listed properties from the outside before inquiring with the listing agent to show them the inside. A first impression is hard to shake and if the prospective buyer doesn't like the house from the outside, they probably won't inquire at all. To get them past the front door, you need to add some curb appeal. Here's a list of items that will definitely add value to your home.

Outside Maintenance

Inside Maintenance

• Clean everything in sight. The kitchen, bathroom, bedrooms and general living spaces, and clean/test household appliances and equipment. No matter what physical condition the property is in, it should be clean, tidy and uncluttered.
• You want buyers to view your home as their potential home. Therefore put away family photos, sports trophies, collectable items, knick-knacks and souvenirs. Put them in a box or a rented storage area for a few months.
• Shampoo rugs and wax floors.
• Wash walls and use a broom to clear cobwebs from the corners of rooms and closets.
• Wash windows and clean blinds or draperies.
• Repair those small things now, like leaky faucets, missing tiles or broken screens.
• Replace all burned-out light bulbs.
• Properly insulate (12" of blanket or 8" of blown-in insulation) and ventilate the attic of your home.
• If you are a smoker, clean, prime and paint any nicotine stained walls and ceilings thoroughly and refrain from smoking in the home.

Basement

• Neaten up the basement.
• Clean up and correct any water problems in your basement, including upgrading the foundation with a mortar parging at all loose cavities and cracks.
• Test sump pump.

The Day of the Showing

• Before you leave, turn on all lights, open all curtains and shutters to let in as much light as possible but screen out unappealing views.