Home Selling in San Antonio>Question Details

Ben Luong, Home Buyer in Kerrville, TX

bad inspection report - can still sell?

Asked by Ben Luong, Kerrville, TX Sun Jun 24, 2012

My house is under contract. The inspection report comes back showing all kinds of exaggerated defects which I don't believe many of them are true. The inspector even mentions something like he suspects there is salvage material used for the new roof construction which we can prove with receipts that the material is newly purchased.

As a result, the buyer backs out the deal. Now I worry that even after we fixed the actual defects, we are required to disclose the first exaggerated inspection report to the next potential buyer. This will greatly reduce the marketability of my house, even though I have spent so much money to fix the actual defects.

I even worry if the house is now sellable?
Is any way you can show the potential buyer the re-inspection report (after everything is fixed) and not the original inspection report under Texas law?

Do we have any legal way to force the inspector of the original report to modify the report and state only "facts" and not his "opinions"?

Thanks

Help the community by answering this question:

Answers

9
To clarify, an inspection is an inspectors opinion...based on facts. According to the Texas Administrative Code, Title 22, Part 23, Chapter 535, Subchapter R, RULE §535.227-Standards of Practice: General Provisions, an inspection report is defined as being used "To provide the inspector's opinions and findings on the standard inspection report form."

That being said, some inspectors are more protective of litigation by deferring to licensed professionals on most matters and being overly cautious than others. In answer to your question, you must disclose the presence of an inspection report on the disclosure, but you are only required to disclose defects or problems. If you have fixed these as you stated, then they would not be disclosable as a current problem - because they are fixed and not problems. And you could always provide a copy of the most recent inspection to show the problems left after you fixed the original issues.

Good Luck.
1 vote Thank Flag Link Sun Jun 24, 2012
I'll buy your home "as-is". Seeing as how you've made needed repairs with proof of purchased materials--that's good enough for me.
Can pay your asking price (or very close to it), close in 30 days or less. I'm always looking for a
good deal on a house.
Give me a call: 210-595-019three.
0 votes Thank Flag Link Sat Jun 30, 2012
Not really... You don't have much to worry about... in fact.. it may now be easier to sell.. This happened to one of my listings not too long ago..

I had a great seller... he took the report, called a contractor, handed them the report, and said "Fix everything on this report"

He too had a few items on the list that were a bit on the exaggerated side, so he had the contractor draw up a list of all the repairs made, and reasons why other items did not need to be repaired... and we posted that letter with the receipts and we marketed the home like this:

"Seller got home inspection back and fixed everything on the inspection! Documents available for buyer's review... You won't have to worry about this home.. it's in great shape now!"

We got a full price offer less than a week later, and the buyer's were happy that they didn't have to order an inspection!

I say be positive, and your results will be positive as well. :)

Jason
0 votes Thank Flag Link Tue Jun 26, 2012
I can fell your concerns, but, Are you working with a Realtor to represent you? This should not be happening to you if you had one.
If you have representation, use all the knowledge and experience of you Realtor.
Good Luck.
Sincerely,
Jose L. Novelo
0 votes Thank Flag Link Mon Jun 25, 2012
I had the same thing happen to me and I had a realtor. I don't know how that would change anything. I believe my buyers got cold feet after making the offer, and requested the inspector "help" them get out of the sale by exaggerating the problems. Many of the issues seem unlikely and some I know are untrue, such as saying the bathtub had to be removed due to lead based paint, when the tub was the original enamel finish. The clincher was they asked for 35,000 reduction for repairs, PLUS $5,000 to travel from the east coast to supervise repairs--which to me was pretty obvious they just wanted out.
Since then, I have had 5 offers and every one has backed out on seeing the inspection report. I would like to share my suspicions with buyers when providing the report but my realtor says no. I would like some advice on how to mitigate the problem. I can't actually perform all the repairs as suggested, as they are EXTREME. Suggestions???
Flag Tue Aug 25, 2015
As a Seller, you must disclose all material defects that you are aware of.... if on the other hand
earlier defects have been repaired and are not non existent, then you are ok....
And as many said below, it is a good idea to disclose that there WAS a problem that has been
repaired and provide the bill and work done with it.....

If you are working with an experienced Realtor, they will advise you on what you MUST disclose by
law, and what you do NOT have to disclose anymore after repairs have been successfully executed,
and those you can disclose with proof of repairs......

And yes read the advice of all the other colleagues.

Good Luck to you

Sincerely yours,
Edith YourRealtor4Life and Chicago and Northern Illinois Expert
Working always in the very BEST interest of her clients, Buyers, Sellers and Investors alike....
Covering for @Properties the city of Chicago, all N and NW suburbs, the fine homes on the
North Shore, and many of the W and SW suburbs, and with her trusted Partner Agents all of
the US and worldwide properties.
Edith speaks French, German, some Spanish and other.....

@Properties, 30 Green Bay Rd, Winnetka, Illinois 60093
EdithDoesItRight@yahoo.com or EdithSellsHomes@gmail.com

Check out my website at htttp://www.tinyurl.com/MeetEdithHere and get to know me better and
learn about my experience, expertise, services available and letters of recommendation of former clients..... Also you can sign up on my site to search for properties in my expanded service area.
HAVE THE MOST WONDERFUL DAY :)
0 votes Thank Flag Link Mon Jun 25, 2012
I feel your pain, I would hire my own inspector disclose his report any corrective actions you took to remedy any problems contained in the report. State other inspections are welcome and any safety concerns will be addressed. I would not disclose the old report since that deal is dead and the report is only a statement of opinion not necessary actual fact! Inspectors serve many purposes and are not impartial and may act as a “hired gun” to get the best deal possible for THEIR client. Many inspectors are not qualified to make many of the judgments & statements made in their reports. The Salvage material statement is way over the top and should not be in the report unless there is a problem with the roof. Remember you are obligated to disclose any known defects and be honest in your disclosers. In my opinion you should not have to disclose the first report but I would ask a real estate attorney for consul in this area since real estate laws vary greatly from state to state. Good Luck!
0 votes Thank Flag Link Mon Jun 25, 2012
You may find that having another inspection now that noted items are fixed would greatly help your situation. You can hire the inspector and provide receipts to the new inspector and also provide that report. It would help ease a potential buyer's mind to see an updated inspection of a more favorable outcome.
0 votes Thank Flag Link Mon Jun 25, 2012
You do have to disclose the inspection report but you can also make notes on the report next to each item that was repaired. Consult your Realtor and they will advise you on this matter.
I am sure your home is sellable. There are many items that come up on reports that home owners are not aware of and a good realtor will explain this to their client. As long as you have fixed the items you should be in good shape!

Best Wishes to you!
0 votes Thank Flag Link Sun Jun 24, 2012
To reinforce what Darrell has said, (which was right on the money);

The Disclosures require you to disclose any material fact which will impact the Value of the Property.
If a discovered problem was repaired, such as repairing a leak in the roof, or replacing a leaking faucet, it not longer needs to be disclosed.
Here, there are certain things that are outside the score of this definition:
If there was standing water in a basement or next to the foundation; it will ask if you had standing water.
Structural modifications or repairs made without Permits.

Good luck and may God bless
0 votes Thank Flag Link Sun Jun 24, 2012
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer