A very common question that I get as a Home Inspector is: So, what do you think, Should I buy this house? This question usually comes near or at the end of the home inspection and most often when there are a number of repairs needed. Most would know, (but I'll put it out there anyway) that it is not the home inspectors place to give their personal opinion on what a client should do with respect to how they spend their money. The home inspector's job is to present data. Ya know, cold hard facts. Most often good, but occasionally data that indicates needed repairs. When that kind of data goes head to head with the home buyers visions of the future family they will raise and the home they will grow old in together in, you have an emotionally delicate situation. That's right, we're not only talking about money here. We're also talking about emotions and psychology.
Now, when I first became a home inspector, I would have never guessed that my job would include anything close to working with people's emotions. But, you know what? That's the human part of this job and I wouldn't trade it for the World. Some home inspectors don't even entertain the thought and I completely understand that approach, but not me. I mean, I tried ignoring it at first, but the thing is, my clients are counting on me. They are expecting me to look over their shoulder and make sure that they are ok. Buying a house is a big deal, and let's face it, they don't want to mess up. When it comes to structural issues (as skilled as they are in their respective areas), the agent, lawyer, banker, and even the appraiser can't advise accurately.
So they're I am, grappling with the question: "Should I buy this house?". What do I say, you ask? Assuming the house requires some work, this is what I do. I give them the data with a couple of other pieces of advice.
I let them know that it may be in their best interest to get repair estimates from qualified contractors. And I do mean qualified. Not "brother in law Billy" who works in an office during the week and does handyman work on the weekends. I'm talkin' about contractors that have many years of experience, who are licensed in the fields that require licensing, are fully insured, and come with many glowing references. Next, I suggest that they add the repair costs to the cost of the house and compare it to the actual value of the house. Ok, pretty basic, makes sense.
Here's the most important piece. The "actual value" of the house. Not some comps that were taken from 3 years ago and not comps that are of listing prices. Accurate comps are of houses that have actually sold in the recent past. I tell them they want to be very careful with what they use as comps. This is where the Appraiser comes in. An Appraisers sole purpose is to identify the market value of the property. "Today's prices are very dynamic", states Jim Mason of Mason Appraisal service. Experienced Appraisers are in the trenches and have the most accurate view of the frequent price changes. Working off an inaccurate value could cost everyone (Seller, Buyer, Realtor, etc) time and money. The cost of an appraisal prior to purchase is a great investment and a very important part of the home buying process.
I hope this helps. Remember, If you have any questions, we are here to help. Feel free to give us a call. We welcome your comments.
Dan Wos
House Detective Inc.
888-692-2711
http://www.housedetective.biz
