Everything Home Buyers need to know about Home Inspections: The Ultimate Guide

If you’re in the market to buy a home, one of the most important choices you will make is whether or not to have a home inspection. A home inspection is an incredibly important step in the home-buying process, and it’s something that all home buyers should at least consider. In this blog post, we’ll discuss everything you need to know about home inspections: what they are, why they’re important, and what happens during and after one is conducted. We’ll also provide some tips on how to find a qualified home inspector and ask the right questions when hiring one. So whether you’re just starting to look for homes or you’re already in the process of buying one, make sure to read this post!

What is a Home Inspection?

A home inspection is an examination of the home you are buying. It is conducted by a licensed home inspector who will look at the home’s structure, systems, and components. The purpose of a home inspection is to give you, the buyer, an un-biased opinion about the condition of the home from a licensed, third party professional.

Why is a Home Inspection important?

Buying a house with open eyes and realistic expectations is crucial. A Home Inspection may find problems with the property that no one knew about, not even the seller, which might save you a lot of time, money, and aggravation in the immediate future or later on. Ultimately, the Home Inspection is either looked as an insurance policy against a bad decision, and/or an investment in your future ownership of the home. So, how do you find a Home Inspector?

Hiring a Home Inspector

Your Real Estate Agent should have list of Home Inspectors they can recommend to you: I certainly have a list that includes a number of Home Inspectors I trust and I enjoy working with in the Milwaukee area (see below). Of course, you can always find a Home Inspector on your own – and it may be worth asking some friends/family who they’ve used and how the experience has been.

If you’ve never hired a Home Inspector, you may be thinking “ok – but what am I looking for and what do I ask?”. Never fear – these are the questions you should consider asking the Home Inspectors you speak with:

“Are you Licensed by the State of Wisconsin?”

If the individual you’re talking to doesn’t have a State of Wisconsin License: RUN. In the eyes of the State of Wisconsin, they aren’t a Home Inspector. The different Offer to Purchase forms in the State of Wisconsin clearly specify that the inspector must be state licensed unless your contract changed to allow for exemption. This means in probably 99.999999% of cases you not only should hire a licensed Home Inspector, but that you MUST hire a licensed Home Inspector. This means Contractors, your best friend, and your dad are (mostly likely) not qualified…

“Are you Insured?”

As a buyer, it is important for you to determine whether the home inspector is protected in the event that there is a mistake in their inspection report. For example, if the inspector fails to discover an issue that ends up costing thousands of dollars in repairs but does not have errors and omissions coverage, the buyer could end up having to pay for rectifying the error. This is also important in case the Home Inspector accidentally damages the property over the course of the inspection.

“What is your professional background? Are you a member of any professional home inspectors associations?”

It’s worth finding out how your house inspector got into their line of work. The trades, architects, engineers, firemen, and other professions that have a broad range of backgrounds are well suited to being house inspectors. It’s an indicator that they’re excellent at what they do if they work as a Home Inspector full-time: if their services are “in demand” enough to make a living is probably an indication that they’re competent.

The National Institute of Building Inspectors (NIBI), the American Home Inspectors Training (AHIT), the American Society of Home Inspectors (ASHI) and National Association of Home Inspectors (NAHI) are some examples of trade associations for home inspectors. Membership in these organizations indicate a commitment to the profession and a desire to keep up with the latest practices and methods.

It is all about the Report: it is all-important.

The ultimate goal of a Home Inspection is the Report, which serves a number of purposes (see below “What to do with your Inspection Report”). Important questions to ask about the report is: what format is it completed in? Does it include pictures (if so, are they embedded in the report or sent separately)? Does the Inspector have a sample you can see? How long after the Inspection can you expect to receive it? Knowing this ensures you will be able to comply with your Home Inspection Contingency and that the Report will meet your needs (and that you’ll get your moneys worth).

“How much will this cost me?”

Finally, you’ll want to know how much the Inspection and Report will cost. The costs of inspectors can vary somewhat. As a friendly reminder, you’re not searching for the most inexpensive inspector; you’re looking for value. In other words, seek out the finest home inspector that you can afford and one that you are comfortable with. Once you’ve hired your Inspector and agreed upon their professional fee, it is time to set the date and meet at the property…

My Inspection is Today: What can I expect?

A home inspector will generally spend two to three hours at a home, depending on its size and age (among other factors). During this time, they will be examining the home’s structure, systems and components. This includes everything from the foundation to the roof and all areas in between, so long as it is accessible and within the scope of the Inspection.

As a buyer, you should be at the Inspection. This is your chance to really understand the home you are buying and to ask questions about its upkeep and maintenance. The home inspector will be looking for any and all defects, so don’t expect a perfect home – what you should expect is an honest evaluation of the home’s condition. By being at the Inspection, you’ll also be able to see first-hand any defects and this will help you with decision-making down the road.

Ultimately, the goal of a Home Inspection is to look for Defects. As in all matters you will encounter with your transaction, you should always go back to the contract for guidance. In the WB-11, lines 445-447 define a Defect as such:

What to do with your Inspection Report

You’ve received your report – now the big question is: what do I do with it? In my personal opinion, there are two essential roles for the report, which are…

To Save you from a Bad Decision

Once you get your report from your Inspector, it is a good idea to make sure your real estate agent has received a copy. Review it on your own, then plan to speak with your agent about it. We will guide you through the report as it affects your contract. Because there are so many nuances with each individual purchase contract, it isn’t really worth my going over those here. Just please be sure to consult with a trusted, qualified professional who has your best interest at heart – such as your Real Estate Agent.

To Serve as a Roadmap for your ownership of your Home

Everyone has heard of the term “honey-do” list. The Home Inspection Report is the ultimate “honey-do” list: prepared by a professional who has given you a (hopefully) clear-eyed assessment of the condition of your property. This roadmap should give you an idea of what maintenance items need to be dealt with for the first few years of your ownership. Looking at this “big picture” will not help you budget and prepare, but it will allow you to prioritize – and ultimately conquer – the projects that are a necessary part of homeownership. Proper maintenance of your home is critical to maintaining (and, hopefully, increasing) the value of your home, not to mention creating the environment for your enjoyment of it. So, after the closing – keep it nearby and reference it often. You paid good money for it, after all!

Final Thoughts

I hope you’ve learned how crucial a home inspection is to the house purchasing process and that you now have a deeper understanding of it. If you have any further questions, please do not hesitate to contact me.

Recommended Home Inspectors: Tyler’s List

These are just some of the many wonderful Home Inspectors I’ve been privileged to work with and whom I feel have served my clients well:

David Nason Best Inspections, LLC: https://www.bestinspectionsllc.com/

Brian Derewicz Realistic Home Inspection Services, LLC: https://realistichomeinspection.com/

Aaron Marjala Tri-County Home Inspection, LLC: https://tricountyhomeinspectionllc.com/

Jason Flaherty Solid Foundation Home Inspection Services, LLC: https://solidfoundationinspections.com/