02-05-20 Real Estate Weekly

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FEBRUARY 5, 2020 • Volume 15 • Issue 6

RE WEEKLY RESIDENTIAL • ACREAGE • FARM • COMMERCIAL • AREA DEVELOPMENT 515-233-3299 • 317 5th Street, Ames • All REALTOR® ads within are REALTORS® licensed in the State of Iowa

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Page RE2 • REAL ESTATE WEEKLY • Wednesday, February 5, 2020

DEAR MONTY

Three home inspection practices to scrutinize negotiate the price accordingly, or must I make the repairs and have that reflect on the cost of the property? Monty’s answer: If you make the

R

RICHARD MONTGOMERY

eader question: I am a seller. My agent got me an offer that required a home inspection. When the investigation took place, they determined the electrical breaker box needed replacement. This discovery caused the buyer to back out. Now, can I sell my house without this upgrade and

repair and have the paid receipt available (a buyer may ask to review it), you have eliminated any condition issue with your home. You have also removed the possibility of time constraints on repairs when there is a deadline in an offer-to-purchase. Many homebuyers do not want to deal with repairs and replacements. Theoretically, you have more potential buyers. If you decide to wait, the electrical issue will resurface. Allowing credit for the repair is only half of the problem. Taking time to identify, hire and oversee the work is the other half.

Inspection issues

In my opinion and based on my personal experience:

1. What the law requires and what home inspectors deliver is sometimes different. The law in my state requires only

identification of unsafe, unhealthy, or expensive defects that reduce a homes’ value or components at or near the end of their useful life. Some inspectors will point out standard maintenance or component characteristics that appear as a home ages.

2. Timing with the home inspection is poor. Houses can sometimes be on

the market for weeks or months without anyone knowing the condition. It makes more sense to have the house pre-inspected for unsafe, unhealthy, or expensive defects. The seller would

eliminate potential objections before a buyer makes an offer. A buyer learning the condition of the home from a welltrained and objective inspector before submitting an offer makes them a betterinformed buyer.

3. Home inspectors can create relationships with real estate agents as a source of business. Some of these relationships

are arms-length, and some are not. Here are two articles that mention the issue, one from Consumer Reports (http://bit. ly/35M5dkK) and the other from House Detective (http://bit.ly/2uFAHwi). Had you invested in a pre-inspection, your home would be sold. Richard Montgomery can be contacted at DearMonty.com.

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REAL ESTATE WEEKLY • Wednesday, February 5, 2020 • Page RE3

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REAL ESTATE WEEKLY • Wednesday, February 5, 2020 • Page RE5

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REAL ESTATE WEEKLY โ ข Wednesday, Febr uar y 5, 2020 โ ข Page RE7

Page RE8 • REAL ESTATE WEEKLY • Wednesday, February 5, 2020

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