Home Inspection 101: What Buyers Need to Know

A thorough home inspection is one of the most critical steps in the homebuying process. This professional assessment can reveal hidden issues that could cost thousands of dollars down the road, provide negotiating leverage, and give you peace of mind about your investment. Here's everything you need to know about this essential homebuying safeguard.

The Purpose and Limitations of Home Inspections

What Inspections Cover

A standard home inspection typically includes:

• Structural components (foundation, walls, roof)
• Exterior features (siding, grading, walkways, driveways)
• Roof system (covering, flashings, chimneys, gutters)
• Plumbing system (pipes, drains, water heating equipment)
• Electrical system (service, panel, wiring, outlets, fixtures)
• Heating and cooling systems
• Interior features (walls, ceilings, floors, windows, doors)
• Insulation and ventilation
• Fireplaces and wood stoves

What Inspections Don't Cover

Standard inspections typically don't include:

• Issues behind walls or under floors
• Swimming pool inspections
• Well and septic inspections
• Mold, asbestos, lead paint, or radon testing
• Pest or termite inspections
• Building code compliance
• Future lifespan predictions of systems

Choosing the Right Inspector

Qualifications to Look For

• State licensure (where required)
• Certification from organizations like ASHI or InterNACHI
• Experience (years in business and number of inspections)
• Insurance (errors and omissions coverage)
• Sample reports to review
• Knowledge of your specific property type (historic homes, new construction, etc.)

Finding Quality Inspectors

• Ask for recommendations from your real estate agent
• Read online reviews carefully
• Interview multiple inspectors
• Check for complaints with the Better Business Bureau
• Ask about their background before becoming an inspector

Preparing for Inspection Day

Timing Considerations

• Schedule the inspection as soon as possible after offer acceptance
• Allow 2-4 hours for a thorough inspection
• Plan to attend personally if possible

What to Bring

• Copy of the purchase agreement (to verify what's included)
• Questions or concerns about specific areas
• Comfortable shoes and clothes (you may enter crawl spaces or attics)
• Camera or smartphone for taking photos
• Tape measure
• Notebook for taking notes

Questions to Ask During the Inspection

• Which issues are major vs. minor concerns?
• What needs immediate attention vs. future maintenance?
• What are the approximate costs to repair identified issues?
• Are there any safety concerns that should be addressed?
• What regular maintenance is recommended for this property?

Types of Specialized Inspections to Consider

Common Additional Inspections

Based on property type, age, and location, consider:

1. Termite/Wood-Destroying Organism Inspection

   • Often required by lenders
   • Costs: $75-150

2. Radon Testing

   • Important in areas with known radon issues
   • Costs: $150-300

3. Mold Inspection

   • Recommended if visible mold or musty odors present
   • Costs: $300-800

4. Sewer Scope

   • Especially for homes 20+ years old
   • Costs: $100-300

5. Well Water Testing

   • Essential for properties with private wells
   • Costs: $250-500

6. Septic System Inspection

   • Required for properties with septic systems
   • Costs: $300-600

7. Foundation/Structural Engineer Assessment

   • Recommended if inspector notes potential issues
   • Costs: $500-1,000

Reading and Understanding the Inspection Report

Report Components

Most inspection reports include:

• Summary of major findings
• Detailed descriptions of each system and component
• Photos of problem areas
• Recommendations for repairs or further evaluation
• Maintenance tips

Prioritizing Issues

Categorize findings into:

1. Safety hazards (electrical problems, trip hazards, etc.)
2. Major defects (structural issues, water damage, failed systems)
3. Items needing repair/replacement soon
4. Minor defects
5. Routine maintenance recommendations

Using Inspection Results in Negotiations

Strategic Approaches

• Focus on safety issues and major defects
• Request repairs for significant items or credit toward closing costs
• Consider the current market (buyer's vs. seller's market)
• Get contractor estimates for significant repairs
• Be willing to compromise on minor issues

Common Negotiation Outcomes

1. Seller completes repairs before closing
2. Credit at closing for buyer to handle repairs
3. Price reduction to account for needed work
4. Combination approach of some repairs and some credits
5. As-is continuation with no changes (but informed decision)

Post-Inspection Next Steps

If Proceeding with the Purchase

• Schedule follow-up inspections for specialized concerns
• Get repair estimates from qualified contractors
• Create a priority list for post-purchase repairs
• Plan for future maintenance items identified
• Schedule final walk-through to verify any agreed-upon repairs

If Considering Cancellation

• Review inspection contingency deadlines in your contract
• Discuss findings with your real estate agent
• Consider whether issues are fixable or deal-breakers
• Evaluate repair costs against potential property value
• Make decision within contingency timeframe

New Construction Home Inspections

Many buyers skip inspections on new homes, but they're equally important:

• Builder quality varies widely
• Municipal inspections focus on minimum code requirements, not quality
• Construction defects may not be visible to untrained eyes
• Consider both pre-drywall and final inspections
• Use findings to create a builder punch list

A home inspection is an investment in your peace of mind and financial security. The few hundred dollars spent on a quality inspection could save you thousands in unexpected repairs and help ensure you're making a sound investment decision.