Pre-Offer-Inspections: The Pros and Cons
Certain personality types simply can’t stand going into anything blind, and that includes making an offer on a property; they need to make sure that the property is perfect beforehand. If that’s the case, there is nothing stopping you from having a pre-offer inspection; be warned, however, that there can be consequences.
As a Buyer, performing a pre-offer inspection has numerous benefit. One of these benefits is ensuring that only houses that meet the buyer’s requirements will receive offers; why would you make an offer on a home that is going to give you a headache down the road? This should go without saying, but if there is an “as is” requirement, a pre-inspection is a must. At the end of the day, in line with our motto; a pre-offer-inspection gives you knowledge about the property itself. As we all know, knowledge is power, and whoever comes to the table most prepared leaves with the most. Thus, having an inspection performed gives you all the information you need to come to the bargaining table with superior leverage (e.g., this is how much your home is actually worth, and here is why). Finally, if the seller signs off on the pre-offer inspection, it tells you that everyone involved is serious about this transaction.
There are downsides to pursuing a pre-offer-inspection as well. As an initial matter, it can come off as a bit of a bullying tactic, which may bias the seller against you. Moreover, some seller’s will simply avoid the hassle of a pre-offer-inspection, and accept the offer of someone who is making it without any preconditions.
Further, inspections aren’t cheap, and there is no telling that the expenditure will have been worth it; given that the person asking for it will have to foot the bill, this can get out of hand if you are inspecting every home you are considering before making an offer.
As a Seller, the pre-listing inspection also has positives and negatives. It is good to know what issues an inspector finds so you don’t have any surprises down the road; you can choose to address these issues before you list the house and provide Buyers a copy of completed work invoices for the repairs. However, if you don’t address every single item on the report, you are giving the potential Buyer more “ammunition,” (on top of all of their own inspection reports they obtain) to ask for credits or repairs.
At the Chernov Team we understand that knowledge is power, and knowledge of the pros and cons of a pre-offer-inspection constitutes powerful knowledge indeed. At the Chernov Team we know that whoever comes to the table most prepared leaves with the most, and the Chernov Team always leaves the table with the most.