Basics of Home Inspection

Caveat emptor. Let the buyer beware. Sometimes even the most attractive homes are hiding expensive problems behind freshly painted walls.  If money were no object, it wouldn’t be a problem but most of us budget a certain amount for accommodation based on our income. Costly repairs could set us up for years of unanticipated debt repayment. This has given rise to the home inspection industry.

Sometimes a seller will provide a home inspection document as part of the listing, however most home inspections are purchased by the buyer once an agreement of purchase and sale has been accepted by the seller. The buyer’s REALTOR® will write the agreement of purchase and sale to be conditional on having a home inspection. Once the home inspection report is provided, the buyer can make an informed decision about how to proceed. The options are to:

a. walk away from the purchase if the report suggests a lot of work is required.

b. ask the seller to either make repairs, or reduce the cost accordingly (which the seller is under no obligation to do).

c. waive the condition and finalize the deal.

Enter the home inspector. He or she will inspect the major systems and components of the house such as the heating, cooling, plumbing, electrical, roof and foundation. Typically they provide a written report outlining the condition of the elements they’ve inspected with an indication of how much longer they expect the element to continue to perform without needing to be repaired or replaced.

In 2017 the Home Inspection Act was enacted in order to regulate the industry. Prior to that, there were no minimum qualifications or requirements for becoming a home inspector in Ontario.  Now home inspectors are subject to both standards and a code of ethics governing their work.

Your REALTOR® will be able to refer you to a home inspector whom they’ve used and trust.