What Fixes Are Mandatory After A Home Inspection? A Home Buyer’s Guide

A home inspection is an important part of the home selling and home buying process. A home inspection involves a home inspector completing a visual assessment of a property’s condition. Home inspectors take a close look at the structure and safety of the home, so that you can feel confident in your purchase. But what if the inspection reveals water damage, safety issues or something else?

Let’s discuss what to do after a home inspection, including how to determine reasonable repair requests and how to negotiate any recommended repairs.

Home Inspection Defined

During a home inspection, an inspector will investigate the home’s structure, systems and physical condition. A home inspector’s checklist usually includes assessing the interior and exterior of the home. The inspector will look at the roof, plumbing, foundation and drainage, electrical systems, heating/cooling systems, major appliances, flooring and paint conditions and signs of pest infestations.

What Fixes Are Mandatory After A Home Inspection?

No fixes are technically mandatory after a private home inspection. However, some loan programs, states and lenders may require certain repairs before a borrower’s loan can close.

For example, if the buyer is using an FHA loan to finance the home, the lender will have minimum property standards to ensure the home is valued fairly. Typically, if any repairs are required, they’re aimed at protecting the health and safety of the occupants and they’re necessary for purposes of the property’s marketability. The repairs must be related to the structure, safety and/or soundness of the home.

State-specific mandatory repairs – or their precursor – may include:

• Functional smoke alarms and carbon monoxide detectors
• Restrained water heaters in seismic zones
• Compliant wood stoves or fireplaces
• Testing of wells and septic tanks

To avoid any delays in the real estate transaction and closing process, you should always check with your real estate agent or home inspector about any state or local requirements.

What To Do After A Home Inspection

It’s important to know that almost every home inspection will uncover issues; big, small and in between. As a home buyer, it’s a good idea to make a list of make-it-or-break-it repairs. Then, you’ll know in advance what you can or can’t afford to fix, which can be beneficial when it comes time to negotiate any repairs with the homeowner.

Depending on whether a buyer included a home inspection contingency in their purchase agreement, they may be able to walk away from the deal without losing anything if they request that certain issues be fixed prior to closing, but the sellers don’t agree. This is an important part of the home buying process since it may be a buyer’s last chance to recover earnest money if they choose to walk away from the purchase.

To help save the sale in a buyer’s market, home sellers may offer a home warranty to alleviate any buyer hesitations that result from a home inspection. Or instead of fixing the issues, a home seller may offer the buyer a price reduction or credit so they can pay to fix the issues on their own after move-in.

If the seller provides either of these offers, talk with your real estate agent about what will work best for your needs and your budget.

Reasonable Requests After A Home Inspection

Since no fixes are mandatory after a home inspection, this opens the door to negotiate repairs. After a home inspection, the seller should agree to fix anything (or drop the price or pay to have anything fixed) that creates health or safety concerns and/or violates any building codes. Some of the most commonly requested repairs are, not surprisingly, for the most common issues found during home inspections.

The most reasonable repair requests after a home inspection involve fixes to:

• Structural issues: Foundation and structural issues are among the most expensive repairs, but they can also impact the home’s value.
• Roof damage: Roofing issues are a costly repair, and requests for roof repairs are common due to the risk of water and structural damage.
• HVAC system problems: To avoid any toxic or fire hazards, it’s typical for home buyers to request an HVAC service check and new air filters.
• Electrical and fire hazards: Any exposed or broken wiring as well as any faulty, overheated or broken outlets should be at the top of your repair list due to fire hazards.
• Plumbing issues: Plumbing or pipe issues are another expensive repair. Ask for any broken or leaking pipes to be fixed, especially if you or the inspector observe water stains or mildew.
• Pest or wildlife infestations: Pests and wildlife infestations can bring diseases into your home, causing harm to you and your pets.

As you look over the results of your home inspection, perhaps ask your inspector to share their thoughts on the repairs worth prioritizing. Then, submit any repair requests in a timely manner and be clear on the exact issues you want fixed.

Tips For Negotiating Home Inspection Repairs

If you decide to negotiate home inspection repairs, consider the following tips and tricks:

• Know the market. Depending on market conditions, you may not want to make too many requests and risk the sale – especially if the homeowner can find another buyer quickly.
• Research the impact of the issues. Focus on the most important inspection areas – plumbing, electrical and the foundation. If an issue raises a concern for your health and safety or it’s going to cost you a lot in repairs, you’re better off asking the seller to fix it.
• Be willing to compromise. The seller isn’t required to fix anything after a home inspection, so it’s important to go into conversations with an open mind.

Also, if you and the seller can’t come to an agreement on repairs, don’t give up on finding a great house for your needs. The good news is that, in many cases, the prospective buyer can walk away with their earnest money deposit and know that their dream home is still out there.

Home Inspection Repair FAQs

Let’s go over some of the most frequently asked questions about home inspection repairs.

Who pays for repairs after a home inspection?

A seller isn’t required to pay for home inspection repairs, but being willing to make repairs or cover their cost is in the best interests of the sale coming to fruition. The seller and buyer can establish in the purchase agreement who will pay for what repairs. You can also state in your home inspection contingency which inspection results can allow you to back out of the deal and not lose your earnest money deposit.

What is an unreasonable request after a home inspection?

No house is perfect, and some level of repairs will inevitably be needed. To avoid seller pushback, it’s best to prioritize any requests for home inspection repairs. It may be wise to avoid requests that deal with minor wear and tear or cosmetic issues such as chipped paint, old carpet or cracked bathroom tiles.

What’s the average price reduction after a home inspection?

According to a survey by Porch.com, home buyers save an average of $14,000 on the final purchase price by negotiating after a home inspection. The right real estate agent can help you make a revised offer based on the home inspector’s findings.

Can home sellers avoid home inspection repairs?

Home sellers can list their home “as is.” This means the seller isn’t prepared to make any repairs or renovations and will sell the house in its current condition. For home buyers who are looking for a bargain or are ready to personally tackle the renovations, an as is home can be a great option to consider.

The Bottom Line

Every house is unique and will have its own challenges. It’s important to set realistic expectations and be open-minded during the inspection process.

As you review your home inspection report, talk with your real estate agent and consider the issues you might be able to fix yourself or afford to hire a professional to fix.

Ready to embark on your journey to homeownership? Get started on your application today and be one step closer to owning your dream home.