Unlock a Faster Home Sale

The inspector will determine whether there are any issues with these features, looking for signs of damage like leaks, cracks, faulty wiring, and code violations. It’s important to keep in mind that most home inspections do not evaluate the condition of the paint, wallpaper, and other finishes.

What a pre-listing inspection covers (and what it usually doesn’t)

A pre-listing inspection gives sellers a clear snapshot of their home’s condition, helping prevent surprises during the sale. It typically focuses on safety, structural soundness, and the proper functioning of major systems. While thorough, there are a few things that inspections usually don’t cover, so it’s important to know what to expect.

• Roof, gutters, and attic: Inspectors check for leaks, damage, and proper ventilation to ensure your home is protected from water issues.
• Foundation and structural elements: Walls, floors, and support systems are evaluated for cracks, shifts, or other signs of structural problems.
• Plumbing and water systems: Pipes, fixtures, water heaters, and drainage are tested for leaks, pressure issues, and proper operation.
• Electrical systems: Inspectors examine wiring, panels, outlets, and grounding to confirm safety and functionality.
• HVAC systems: Heating, ventilation, and air conditioning units are checked for efficiency, proper operation, and potential repairs.
• Appliances and built-in features: Major appliances, fireplaces, and other built-in systems are reviewed for working condition.

Cosmetic issues, environmental hazards (like mold, asbestos, or radon), pools, septic systems, and code compliance for past renovations typically fall outside the standard inspection scope.

How can a pre-listing home inspection benefit your sale?

The main advantage of conducting a pre-listing home inspection is that it allows you to identify issues and complete repairs before a buyer is involved. Let’s take a look at how this and other benefits can accelerate the home sale process.

Get ahead of repairs

Common home repairs can take weeks to months to book and complete. A pre-listing home inspection gives you time to compare contractors and tackle repairs without the pressure of a buyer threatening to walk away from the sale.

Be aware that state laws mandate that sellers disclose known property issues to buyers. You’ll need to disclose any pre-listing inspection findings that you choose not to fix.

Reduce points of negotiation

Buyers often use home inspection findings to negotiate for a lower sale price or repair credits. For example, say an inspection reveals a major crack in the foundation that would cost $4,000 to repair. The buyer may ask that you either complete the repair or give them a $4,000 repair credit at closing. If the buyer included an inspection contingency in their offer, they can leave the deal with their earnest money intact if you don’t agree to their request.

With a pre-listing home inspection, you beat the buyer to the punch by completing (or at least acknowledging) these repairs ahead of time. Bypassing the usual inspection negotiations, which often last one to three days, can get you to closing faster.

As Smeltzer puts it:

Determine an effective price point

Whether you tend to all, some, or none of the pre-listing home inspection findings, knowing your property’s condition can help set a strategic price. For instance, you might disclose that the roof needs repairing and share that the listing price reflects this discount. On the flip side, if you know your property is in perfect condition, you can price and market it as a turnkey home to encourage higher offers.

Encourage stronger offers

If you’ve conducted a pre-listing home inspection, you can market your home as “pre-inspected” and show buyers the inspection report along with relevant repair invoices. This documentation gives potential buyers the confidence to put in a higher offer because they know that there won’t be any surprise repair costs down the line.

“In my market, a pre-listing home inspection isn’t done a whole lot of the time, but it’s an added value … It’s definitely something that a buyer would want to see,” notes Smeltzer.

If a buyer is torn between offering on your home or another, the pre-inspection bonus may just serve as the tiebreaker they need.

Prepare for an FHA appraisal

If a buyer is backed by a Federal Housing Administration (FHA) loan, your home will need to pass an FHA home appraisal. This intensive appraisal process functions similarly to a home inspection as the FHA appraiser assesses the property’s overall condition.

For the buyer’s loan to go through, the seller needs to take care of repairs to ensure the home is safe, livable, and in good condition.

The entire list of necessary repairs is extensive and includes the following issues:

• Cracked window glass
• Missing handrails
• Poor workmanship
• Trip hazards
• Lack of an all-weather driveway surface