Buying + Selling + Looking

You’ve found your dream home. It’s in the neighborhood you wanted and has that open-concept kitchen you can’t seem to forget. You can’t wait to close and move in, but before you do that, you need to know more about the home. That’s where a home inspection can help.

We recently welcomed Alan Grubb, a Certified Master Inspector for 4U Inspection Services, to the vipHome Podcast. Watch now (or read below!) to learn everything you need to know about home inspections.

What is a home inspection?

“A home inspection is basically a professional consulting service, and we determine the present condition of any of the home’s major systems,” says Grubb, who serves on the board of Maryland Association of Home Inspectors. “It’s all based on a visual inspection.”

A home inspector examines the structure, mechanical parts, and systems of the home, including the roof, driveway, the plumbing and electrical systems, HVAC, chimneys, garage doors, and installed kitchen appliances. An inspector can check to see if these items are functioning properly and when they approximately were installed.

A good home inspector is trained to see warning signs of damage or disrepair. For example, if a home inspector finds moisture somewhere it shouldn’t be, they may advise a home buyer to request a plumbing contractor examine the area to see if there is water damage.

“We’re going to recommend when we see issues or concerns that indicate that there may be further problems, which may require specialized attention,” says Grubb.

Does a homeowner need to make repairs after a home inspection?

A buyer may request repairs or try to negotiate a lower price for the house, but Grubb explains most home inspectors separate the report into a few different segments – maintenance items, repair items, and safety concerns.

A repair item is an appliance that is not functioning as intended. This indicates a problem that probably needs to be repaired. A maintenance item may need to be fixed later, but it’s not an immediate concern. A safety concern may need to be repaired prior to taking occupancy of the home, such as a loose stair rail that can create a fall hazard for children.

Safety issues are anything extreme, such as a gas leak or electrical hazard. “Anything that extreme – we’re not only going to put it on the report,” says Grubb. “We’re going to call the gas company.”

When is a home inspection needed?

“Most of the time, an inspection is done when you’re getting ready to purchase a home,” says Grubb. “Because it’s new to you, you need that third eye on the inspection.”

When homeowners fall in love with a home, they can lose objectivity. A third-party inspector can provide perspective to buyers by illuminating parts of the home that could haunt them after purchase.

Most home buyers work with real estate agents, and the real estate contract usually allows the buyers between seven and 14 days to complete a professional home inspection.

“If you’re in the height of the season, plan on at least four or five days out,” recommends Grubb. “Normally, we can book within two or three days.”

Grubb has noticed a trend where home sellers acquire a pre-listing inspection. Instead of waiting for a home buyer to discover issues in the home, a seller can use the inspection report to know which items to fix before ever putting the home on the market.

“This can shorten the negotiation time,” says Grubb, “and if you can get three bids for the projects and save money – that’s great.”

But Grubb does not recommend a home buyer using a pre-listing inspection report as the final inspection.

“Always do your own inspection,” says Grubb. “Inspectors are all different. Some see things that others don’t, and maybe something broke after the previous inspector completed their report.”

How long does it take to get a home inspection report?

The home inspection process varies depending on how an inspector completes the report as well as legal obligations.

“From the time I complete the inspection, I have seven days to present your report in Maryland,” says Grubb. “However, if I told any real estate agent it was going to take me seven days to do that report, I would get no business at all.”

Grubb cites technology as helping to expedite reporting. Grubb and his team can generally turn around a home inspection report the same day or within 12 hours. Some inspectors even do it on site.

“Our company is a little bit particular in how we present things,” says Grubb, “so we will actually review it with the client right there on site. When you leave the home, you know exactly what’s going on with it.”

How do I find a good home inspector?

Grubb recommends that buyers listen to their agent’s suggestions but also advises to read online reviews.

“If you look at the reviews, you have a good idea of the customer experience,” says Grubb. “Also, look at their website. It’ll give you an idea of their professional experience.”

Your home inspector should also be a member of one of the two major home inspection organizations in the US – The American Society of Home Inspectors and The International Association of Home Inspectors. This will help you know that your home inspector is well trained.

“There’s also certain states, Maryland included, that require a home inspector to be licensed,” says Grubb. “You can go on the state website and type in the inspector’s name to find out if his license is valid.”

This is important when buying a home as a non-licensed home inspectors’ report in Maryland is invalid and not permissible for a real estate contract.

Buyers should also talk to their inspector beforehand to ask the frequently asked questions – the steps to getting the report, the turnaround time, and if they can be on site for the home inspection.

Grubb wants the home buyers, especially first-time home buyers, on hand, so they understand the report when they receive it.

“I want to walk you through the home,” says Grubb. “I want you to see what I’m seeing and teach you about what I’m seeing.”

(This is helpful to provide homeowners with the knowledge they need to prevent damage and injury in their new home, such as the location of the water shut-off valve and the breaker box.)

What about virtual inspections?

During the COVID-19 pandemic, some home inspectors completed virtual inspections. This meant only the home inspector was inside the home and walked the home buyers through the process via video call.

“We were able to give buyers the same information,” says Grubb. “It was live, and they could ask questions. They just weren’t there physically.”

In fact, the process has worked so well that clients have requested 4U Inspection Services to keep the virtual option.

“We’re in an area where there’s a lot of military, a lot of government workers,” says Grubb. “Sometimes they can’t be here for the home inspection, so real estate agents love that we can show a client the home inspection without them flying from California, New York, wherever, to be there for a three-and-a-half-hour home inspection.”

When do you pay for a home inspection?

The report belongs to the person who hired the home inspector and paid for the report. In a real estate deal, the home inspector completes the report and sends it to the client. The buying agent will generally get the report as well, and the buyer and agent discuss what they want fixed in the home prior to closing. If the buyer desires repairs to be made, then the buyer’s agent will forward the report to the selling agent, along with their repair request.

“Every once in a while, we’ll get the selling agent that wants to reuse the report on the next buyer,” says Grubb.

Unfortunately, many issues can arise in the home after the original inspection report has completed, especially if it’s occupied. As mentioned earlier –

“You should always have your own inspection done,” advises Grubb.

How much does a home inspection cost?

There are two different formulas that inspectors use when setting prices. Most inspectors use a square footage measurement, based upon time.

“If I inspect a thousand square foot home, then the price will reflect the time I spent there,” says Grubb.

However, there might be some add-ons that raise the cost of a home inspection, such as an apartment over a garage.

The other formula is based on percentage and is less frequently used.

“It usually comes into play in larger metropolitan areas where you have a small building that takes a lot of time and traffic. If a home is selling for $500,000, the cost might be one percent of the asking price.”

While the price varies from region to region – a homeowner in northern states and metropolitan areas can expect to pay a bit more – it’s important to remember that certified home inspectors are professionals.

“We have training,” says Grubb. “We are licensed. We attend continuing education courses. We’re professionals, so we have to charge a professional fee.”

Once you’re in your new home –

A few days before Christmas, your furnace gives out. You’re hosting the winter festivities this year, and it’s freezing outside. Without heat, it’ll soon be freezing inside as well. What do you do?

If you’re like our Content Writer Susie, you jump onto your home warranty website and place a request for service. A home service professional arrives at the house on Christmas Eve to fix the heating system and saves the holiday – thanks to a home warranty.

Not sure if a home warranty is right for your house? We tackle the most frequently asked questions below to help you decide that yes, you probably should invest in home warranty coverage.

What is a home warranty?

A home warranty is a service contract that covers the cost of repairs and replacements of many appliances and the systems in your home. Though plans differ, most home warranties cover your heating, cooling, plumbing (hot water heater), and electrical systems. Some also include roof leaks and other structural damage. A majority of plans cover your everyday appliances, such as the refrigerator, stove, dishwasher, washing machine, and dryer.

You usually can purchase additional coverage that applies to a pool, spa, and more appliances.

How does a home warranty differ from homeowners insurance?

Home warranties cover the wear and tear of your appliances and home systems. Homeowners insurance covers unexpected damages, usually from weather events or fire. If you have flood insurance and your home floods, then your insurance will cover the damage to your home, appliances, systems, etc.

However, if your refrigerator fan dies after eight years, then your home warranty will cover its replacement.

Essentially, a home warranty and a homeowners insurance policy complement each other and help to keep your home’s appliances and systems functioning.

How does a home warranty work?

When your appliances or heating system stops working, you contact your home warranty company. A qualified contractor – either from the home warranty company or one contracted by the company – will be dispatched to your home to inspect, assess, and ultimately repair your appliance or system if possible.

A home warranty plan usually has a monthly cost with a service fee with every call. The cost to repair and replace parts are covered by the warranty company.

How long does a home warranty last?

Most home warranty service contracts last approximately 12 months and are renewed annually.

How much does a home warranty cost?

Prices vary from the type of plan to the number of appliances in your home to the different companies. Home warranty coverage can start on major appliances in your home for as little as $25, but others – like PSE&G – provide a la carte services. This allows you to choose which appliances and systems you want covered by their plans, including but not limited to HVAC systems, gas fireplaces, and even natural gas grill protection. These types of plans can range from $2.95 a month to almost $20, depending upon the service and appliance.

Some companies even offer money off and your first month free, depending upon the service you choose.

Service fees also vary from company to company, with some as little as $60 and others as much as $125.

Are home warranty plans worth it?

That’s a matter of opinion, but they provide peace of mind to homeowners who fear maintenance and repair costs. Plus, having a home warranty is generally financially beneficial. According to HomeAdvisor, the typical dishwasher repair ranges between $50 and $600. If you pay $75 a month and then $80 service fee for repair with your home warranty plan, you save money on any repairs over $155. Larger repairs, such as gas furnace repairs, can cost upwards of $1,200.

On a personal note – all but one of our team’s homeowners have some sort of home warranty.

Do I need a home warranty?

Most banks will not provide a mortgage to a buyer without insurance, but a home warranty is different. It’s not a requirement for home buying or selling.

After getting a home inspection, we suggest you assess the wear and tear on your “new” home appliances and systems, and decide what is financially beneficial for your family.

When should I get a home warranty plan?

You can purchase a home warranty at any time when you own a house. Many people buy them as part of their home purchase, while some builders provide a warranty, which generally covers structural defects such as drywall and roofs.

Whether you’re buying a new or “new” home, check to see if the purchase includes a home warranty and if so, what it entails.

Give your house a home