Home inspections are one of
the most crucial elements of the purchase of any residential piece of real
property. This is especially true in the current real estate market where most sales
are done on an As-Is basis with the purchaser having a seven to fifteen day
window to inspect the subject property and to determine whether they are going
to purchase same or cancel the contract and received a return of their deposit(s).
Traditionally, the purchaser would inspect the property and
provide the inspection report to the seller who would have to then make repairs
contained in the inspection report up to a certain maximum percentage for
structural items, appliances and other matters, and a certain percentage for
wood destroying organisms. For those who have been in the real estate business
for a long time, will remember that the percentages used to be as high as three
percent for structural matters and two percent for wood destroying organisms
(what used to be called termites).
Today, the percentages have been greatly reduced with the
latest Realtor®/Bar approved contract limited to one and one-half
percent for structural matters and -half percent for wood destroying organisms.
Either way, the inspection must be completed timely and presented to the seller
to determine whether the seller is obligated to make the repairs assuming same
does not exceed the percentage limit contained in the contract. If the
percentage limit is exceeded, the seller has the option of refusing to make excess
repairs in which case the buyer may walk from the contract or the buyer may accept
repairs up to the limit and take the rest of the property in its As-Is
condition.
The inspection itself should be done by a licensed home
inspector or general contractor. In addition to the structural components
specialized contractors are needed for certain inspection items. For example,
you may need a separate pool contractor to inspect the pool and spa. You also
need a licensed pest inspector to conduct the pest, fungi and mold inspection.
Many home inspectors have multiple licenses which provide one-stop shopping for
structural, wood destroying organisms, pools and mold inspections.
Mold inspections
are now a new area that has arisen as a result of a better understanding of the
effects of mold on people, especially in homes that are heavily air-conditioned
and that rarely have their windows opened. Mold can occur from a variety of
leaks including plumbing leaks as well as a leak in the ice cube/water line to
the refrigerator. Also a home that has too large an air-conditioning system for
its size will also likely develop a mold condition. Wherever there is moisture
there is the potential for mold and is important for the inspection to
carefully address this issue. If a mold condition is detected a further
air-quality test may be necessary to determine the type of mold, the risk to
occupants and the method for post leak stoppage remediation.
Human since inspectors are only human, and further since
many limit their liability to the cost of the inspection it is important that
you act as your own inspector when purchasing a home. This means turning on all
faucets, flushing all toilets, examining all vents for mold and airflow,
testing all appliances and the air-conditioning system and using anything else
in the home to determine whether or not it functions normally. I also suggest
you look up. Many a homeowner has sat on a toilet in their new home finally
look up and see evidence of a water leak that was missed by the inspector and
everyone who came into that bathroom. You should also challenge any recent
repairs. Under Florida law the seller is obligated to provide you with a copy
of any past repairs or service on within the last year.
A home inspection is one of the most important parts of
your home purchase. Using a reputable home inspector is a key to finding out
the condition of any home that you are considering purchasing. If you fail to
get a proper inspection the only person you have to blame is yourself.
Michael
Posner, Esq., is a partner in Ward Damon a mid-sized real estate and business
oriented law firm serving all of South Florida, with offices in Palm Beach
County. They specialize in real estate law,
and can assist buyers and sellers in all real estate matters. They can be reached at 561.842.3000 or at
www.warddamon.com
