Tips for Reading the Home Inspection Report

How to Read & Interpret Your Home Inspection Report

Your home inspection report is a crucial document that provides valuable insight into the condition of the property. Even though the inspector will walk you through their findings during the inspection, it’s essential to thoroughly review the written report once you receive it.

Don’t be alarmed if the report is 30+ pages long and contains a long list of issues—this is completely normal. Every home, even new ones, will have some defects. The key is to distinguish between minor cosmetic fixes and serious structural or safety concerns.

Understanding Your Inspection Report

Not Everything Needs to Be Fixed by the Seller

• The inspection report is a buyer’s informational tool, not a repair checklist for the seller.

• Focus on major issues like structural concerns, water intrusion, electrical hazards, and non-functioning systems (HVAC, plumbing, roof, etc.).

• Minor repairs, like a loose doorknob or chipped paint, should not be a primary concern.

Identify the Most Important Issues
Pay special attention to these categories, as they can be costly and impact the home's safety:
✔ Electrical system – Outdated wiring, faulty breakers, or exposed wiring
✔ Plumbing issues – Leaks, low water pressure, or corroded pipes
✔ Roof condition – Missing shingles, signs of leaks, or deterioration
✔ Foundation & structural integrity – Cracks, shifting, or moisture concerns
✔ Water intrusion & mold – Basement moisture, poor drainage, or active leaks

Consider Additional Inspections
If the report suggests specialized follow-ups, you may want to hire:

• A structural engineer for foundation concerns

• A sewer inspector for potential drainage or line issues

• An electrician if outdated or unsafe wiring is noted

• A pest inspector if signs of termite damage or infestations are found

These follow-up inspections are at the buyer’s expense, so it's best to schedule them quickly within the inspection contingency period.

Organizing Your Repair Requests

After reviewing the report, categorize issues into three lists:

1️⃣ Must-Fix Items – Major safety hazards, structural issues, or non-functioning systems (HVAC, plumbing, roof, etc.). These should be top priority in negotiations.

2️⃣ Would-Like Repairs – Less urgent, but still significant items, such as fixing a leaking faucet or repairing minor roof damage.

3️⃣ Personal Repairs – Cosmetic or minor maintenance items you are comfortable handling after purchase (e.g., re-caulking a shower or repainting walls).

Once you’ve created these lists, email them to us and your attorney (if applicable). Some attorneys like to review the findings and offer recommendations before submitting requests.

Our role as your real estate agents is to ensure that you understand the results of your report, manage your expectations and negotiate with the seller’s side to the best of your interests.

Negotiating Repairs & Seller Credits

Repairs vs. Seller Credits

• You can ask the seller to complete repairs before closing or request a credit at closing (which reduces your out-of-pocket costs for repairs you’ll handle post-closing).

• Credits are applied toward closing costs, not given as cash at closing.

How Long Does This Process Take?

• Minor issues can be resolved quickly.

• Larger repair negotiations (especially if estimates are required) may take 3-7 days.

• Be patient—this is often referred to as the second phase of negotiations.

Possible Outcomes
✔ The seller agrees to all requested repairs.
✔ The seller agrees to some repairs but declines others.
✔ The seller refuses all repairs—at which point, you decide whether to move forward or cancel the contract.

Finalizing the Repair Agreement

Once an agreement is reached:
✅ Your attorney or agent will draft a formal repair addendum for both parties to sign.
✅ Repairs must be completed before the final walkthrough.
✅ We will request receipts and invoices from licensed contractors as proof of completion.

What If No Agreement Is Reached?
If the seller refuses to make critical repairs and you are unable to come to an agreement, you have the right to cancel the contract and receive a full refund of your earnest money. However, inspection fees are non-refundable.

Notes:

🔹 The goal of the inspection is to ensure the home is safe, structurally sound, and functioning properly—not to nitpick minor details.
🔹 Unless purchasing new construction, expect some wear and tear—no home is perfect.
🔹 Our focus should remain on safety, functionality, and major concerns, rather than cosmetic imperfections.

If you have questions about your inspection report or repair negotiations, reach out anytime. We’re here to guide you through every step of the process!