Check this out!

As we transition into summer, the real estate selling season gains momentum. Many of you might be contemplating selling or buying property. This is an ideal time to emphasize the importance of thoroughly investigating the condition of a property and understanding what such an investigation might involve.

Currently, we are observing an increase in market inventory, which is beneficial for buyers as it provides more options. However, many transactions enter escrow only to fall through a few weeks later. This often occurs due to buyers conducting inspections—such as a physical inspection—uncovering major issues. Sometimes these issues seem significant but are actually quite common, which is where the expertise of a seasoned agent becomes crucial. Buyers may retract their offers due to newfound concerns or fail to renegotiate the price with sellers to account for necessary repairs.

To avoid this scenario, sellers can conduct "pre-listing" inspections. By being proactive, sellers can harness the power of knowledge, which also holds monetary value. Conducting these inspections before listing a property allows sellers to identify deficiencies early and either address them or disclose them to buyers. This transparency helps buyers understand what they are offering on, with the decision on disclosure or repairs depending on your pricing strategy. Essential inspections include:

A) General Physical Inspection – Costs typically range from $550-$800, depending on the inspector and home's size.

B) Wood Destroying Pest Inspection (e.g., Termite Inspection) – Costs can vary from $75-$250, influenced by the chosen company. The inspection includes a report and mitigation costs for any infestations, including repairs and treatment methods like fumigation, orange oil treatment, or heat treatment.

C) Sewer Line Scope – Averaging $200-$300, this inspection is often overlooked by less experienced agents. Uncovering sewer line issues mid-escrow can negatively impact the sale.

Beyond these standard inspections, additional evaluations may be warranted based on the initial findings. Common additional inspections might include:

A) Foundation – If issues are detected by the general inspector, a foundation inspection by a contractor may be recommended. While some companies charge for this, others may not. In metro San Diego, common repairs include replacing posts and piers or epoxy repairs for stem wall cracks due to rusted re-bar.

B) Roof – If a roof is leaking or nearing the end of its lifespan, obtaining an estimate is advisable.

C) Electrical – An electrician can easily estimate necessary corrections to electrical circuits or panels, often at no cost.

While this is not an exhaustive list, it provides a starting point for potential inspections during a sale or purchase. As a seller, investing in such evaluations for your future sale is highly recommended. Although buyers will conduct their own inspections, having this information ready sets clear expectations and can save significant amounts in potential future negotiations. As a buyer, spending on these inspections is invaluable, providing crucial insight into potential purchases and helping avoid surprises post-escrow.

As a local real estate agent, I prioritize educating clients and preventing unforeseen issues. The practices described here are standard in my approach. If you want to learn more about my process and strategies for ensuring successful transactions, feel free to reach out. I look forward to the opportunity to earn your business!