If you don't already know the importance of having YOUR OWN Home Inspection and a Termite and Moisture Inspection to boot, then I highly suggest you read this story and follow this link:http://For Your Protection Get a Home Inspection The inherent trouble with working with the public is that no matter how intelligent, experienced, or correct your advice is or how much you care, you CANNOT force someone to take it.
I received a call from friends at church who were ready to buy a home. They explained they wanted a GREAT deal, 3-4 bedrooms, a good sized lot, and more space than their previous home offered. They felt they would likely find the best prices in shopping Foreclosed homes and Short Sales, but we left no stone unturned, and ultimately viewed nearly 40 homes before they found one they felt was perfect.
In all those hours in the same vehicle driving from home to home, we discussed everything from the ins and outs of Short Sales, Foreclosures, and the differences and things to be aware of in purchasing an "as-is" home. TheyÂ even hadÂ a friend that is a licensed Home Inspector who offered to do their inspection when they found a suitable home. We found one home that was a Foreclosure on 3 acres that they thought they liked and was strictly "as-is." We set up a second showing the next day and they invited their Home Inspector friend out who quickly gave his opinion that the lot appeared to be very low and wet and there were signs that home may have flooded previously. We quickly moved on.
Ultimately, we found a lovely older brick home in Chesapeake on a large wooded lot. The spacious living room addition with 3 walls of windows and big cathedral ceilings, huge screened in porch with french doors, and its location close to the wifeâ€™s job made it a wonderful choice for them.
This home was a Fannie Mae property, sold strictlyÂ "AS-IS," but offered a new roof, HVAC, new carpet, windows, and paint. The kitchen and baths needed some updating but my Buyers felt they had the time, skills, and desire to do the work. So we submitted anÂ offer asking a lower price, some closing cost assistance, and a home inspection.
We quickly learned there was another offer made on the home and we were involved in a Multiple Offer situation. Despite my advice to negotiate with price or amount of closing costs, my buyers were so confident in the appearance of the home that they felt waiving the Home Inspection was a better idea. They also stated that the $300 that they would save on the Home Inspection would go a long way in the kitchen and bath projects they had planned. I explained the potential dangers and my concern for my friends but they felt it was the right decision for them. Their strategy worked and they did get a lower price and a ratified offer.
Within a day or so, the Listing Agent contacted me and stated that they had a clear Termite and Moisture Inspection that they had done on the property recently, as part of the process of listing Fannie Mae Properties, and that they could transfer it to my Buyers and save them the expense of ordering their own Termite Inspection. It costs about $85.
I told my Buyers and Friends that although it was a nice gesture that I feel it is important, especially on an as-is home, to order you own inspection. They decided to accept the seller's Termite and Moisture Inspection and save the $85.
Several days after settlement, the phone calls and emails began. My buyers and friends had a nightmare on their hands. There was fungus and mold growing in the crawl space affecting structural components of the home. There were rusted holes in the HVAC duct work that were filled with old insulation and mold growing in the air ducts themselves along with many other issues and problems. They saved $385 in exchange for $12,000 worth of repairs and replacements. At that point all I could do was provide receipts, suggest attorneys, and listen.
If you are looking to buy a home please listen to the experts. If you feel the advice you are being given isn't right, speak to a Broker or an Attorney and get a second opinion.