How Home Inspections Have Become a Transaction Landmine in Alberta Real Estate

Before I begin, let me be very clear: I always recommend my buyers get a home inspection. It's in their best interest to do so. With that out of the way, let's talk about how home inspections have gone rogue...

In real estate, there are no 'perfect deals' and there are certainly no perfect homes. Yet, inexperienced and experienced agents alike are waging war over $200 repairs. Deals are crashing because the 90-page home inspection report commented on so many so-called 'deficiencies' that the homebuyer suddenly felt like they chose the wrong property.

(I recently read a home inspection report that explained how a ding in the formica counter should be addressed so as to protect the cabinetry underneath. On a twenty-year old property. This is insanity.)

Demanding repairs or price reductions for every deficiency---perceived or real---is not reasonable. The age and condition of the home should already be priced in by the seller's agent at time of list, and then again by the buyer's agent during subsequent negotiations.

Sadly, today's 'trash the house' inspection approach confuses buyers who are already navigating a very complex process. What matters and what doesn't? What is a real problem and what is a manufactured problem? And should we be piling pretend problems on top of real ones? How is the buyer to know what to focus on? When everything is a priority, nothing is a priority.

On home inspections, we've lost the plot. Making mountains out of molehills is far from working in the buyer's best interests.

There are only two reasons to get a home inspection. Everything else is noise:

1) To protect you from unforeseen liability and expense around big, scary problems, such as: Systemic moisture in the basement. A $15,000 roof repair that wasn't obvious upon viewing the home. Foundation issues that might be extremely difficult to remedy. You get the idea.

2) To educate you about the home you're buying. What are the deferred maintenance items you should plan for? What is the general maintenance schedule for these types of systems and structures? An inspection is a great opportunity---a second set of eyes---to get informed about the investment you're making.

That's it. The rest is drama, my friends. Watch my video below and give us a call if you have questions about buying a home in Lethbridge!