inspections are an essential component of real estate transactions
for millions of buyers, sellers, and Realtors.® Whether you are
shopping for a previously-owned house or a brand new house, an inspection
provides insight to the condition of the home you are buying. If
you are putting your house on the market, an inspection helps hasten
the sale and can generate a higher price. And if you are a Realtor,®
a professional home inspection report serves as an ideal marketing
tool that also helps protect you against post-closing hassles.
essence, a home inspection is a visual examination of a house and
property. When performed by a qualified professional, it includes:
A thorough visual inspection of the structure
(inside and out, from foundation to roof).
An examination of all major systems.
An objective evaluation of the condition of more than 400 items.
A printed report covering all findings and identifying potential
following pages provide a more detailed description of a home inspection
and additional useful information on the following:
Who needs a home inspection.
What a home inspection is... and is not.
Benefits of a home inspection.
Preparing for a home inspection.
How to choose a home inspector.
NEEDS A HOME INSPECTION?
do if you are shopping for a home.
home inspection can help you avoid costly and unpleasant mistakes
and provide peace of mind. It will help you identify the house that
is right for you, and alert you to potential concerns prior to closing
the deal. It will also teach you about your home and its operating
do if you want to sell your house.
pre-marketing home inspection provides the seller with an objective
evaluation of the home’s condition before the house is put on the
market. Consequently, you are provided with guidance in preparing
your house for maximum sales appeal. A home inspection not only
encourages a faster sale and a better price, it also helps ensure
compliance with disclosure requirements.
do if you are a homeowner.
if you do not intend to sell your home, a thorough inspection of
your house and property every four to five years can yield significant
returns. First and foremost, a professional inspector can identify
conditions that may be present or may lead to safety hazards for
family members. Furthermore, periodic inspections can help detect
potential problems early, before they become severe and costly.
guide has been created to educate consumers looking to fulfill the
increasing demand for home inspections across the country; especially
as real estate values fluctuate, disclosure requirements intensify,
home buyers become more cautious, and litigation against sellers
and Realtors climbs to unprecedented levels.
recently as 1980 it was caveat emptor (buyer beware), where fewer
than one in ten homes sold were inspected. Today that number still
is only four times greater but growing rapidly In past decades,
when the services of professional home inspectors were virtually
nonexistent, buyers were forced to gamble on hidden problems, unexpected
repair costs, and sometimes major disasters. Today’s smart consumer
demands better information.
mandatory disclosure of a home’s condition prior to sale is not
yet widespread in Canada, a growing number of real estate boards
are including inspection clauses in purchase agreements. The vendor's
responsibility to disclose depends upon the nature of the defect.
For this reason, careful and thorough inspection prior to purchase
is crucial. A recent study revealed that 42% of home buyers face
unexpected repairs costing an average of $500 after moving into
their new home; more than one in nine buyers must spend more than
$1,000 for repairs.
A HOME INSPECTION IS...
home inspection is a thorough visual examination of the home and
process usually takes two to three hours, during which time the
house is examined from the ground up. The inspection includes observation
and when appropriate, operation of the plumbing, heating, air conditioning,
electrical, and appliance systems, as well as structural components:
roof, foundation, basement, exterior and interior walls, chlinney,
doors, and windows.
conducted by a professional, a home inspection covers about 1,000
check-points in approximately 400 items around the home.
should be provided to you in the form of a comprehensive report.
It is vital that such a report include an objective evaluation of
the condition of the home, clearly relating existing defects and
indicating potential problems.
A HOME INSPECTION IS NOT...
home inspection is not an appraisal, and vice versa.
appraisal is the formal process of estimating a property’s value
as it relates to a mortgage loan or mortgage insurance. It does
not itemize defects or reflect potential problems in the home, Even
a CMHC appraisal does not fully attest to the condition of the home.
To ensure an objective evaluation of a home’s condition, many lenders
encourage home buyers to use private inspection services, and some
employers reimburse home inspection fees as part of their relocation
home inspection report is not a warranty.
a home inspection is a visual examination of the home and operating
systems, it is not technically exhaustive. There is no assurance,
expressed or implied, that equipment will not break down at some
future date. However, such protection is available when a home inspection
is complemented by a home warranty When the services are used in
conjunction with one another, a home warranty covers the items that
were serviceable at the time of the inspection and then may subsequently
fail due to normal wear and tear.
home inspection does not detect every conceivable flaw.
is an inspection of those areas and items that can be seen. Home
inspectors cannot see through foundations, floors or walls, and
cannot inspect areas or items that are inaccessible.