A home inspection is a professional evaluation of a home’s condition — roof, foundation, electrical, plumbing, HVAC, and more — performed after your offer is accepted and before you close. It’s one of the most important steps in the buying process and should never be skipped to make an offer more competitive.
The inspection doesn’t just find problems. It gives you detailed knowledge of exactly what you’re buying — and leverage to negotiate repairs or credits from the seller.
Who Pays and How Much
The buyer pays for the home inspection — typically $300–$600 for a standard single-family home, more for large or older homes. You pay this before closing, regardless of whether the sale proceeds. It’s worth every dollar.
You hire the inspector. Your real estate agent may recommend one, but you can and should do your own research. Look for inspectors certified by ASHI (American Society of Home Inspectors) or InterNACHI. Read reviews and ask about their experience with the type of home you’re buying.
What the Inspector Examines
A standard home inspection covers the major systems and structural elements:
Exterior
- Roof condition: shingles, flashing, gutters, downspouts
- Foundation: visible cracks, settling, drainage issues
- Siding, trim, and exterior cladding
- Grading: does water drain away from the foundation?
- Driveway, walkways, deck, or porch
- Windows and doors: condition, weathersealing
Interior Structure
- Walls, ceilings, and floors: signs of water damage, cracks, settling
- Attic: insulation, ventilation, signs of moisture or pests
- Basement or crawl space: moisture, structural concerns, radon readiness
Major Systems
- Electrical: Panel condition, grounding, outlets, GFCI protection in bathrooms and kitchen
- Plumbing: Supply lines, drains, water heater age and condition, water pressure
- HVAC: Heating and cooling systems, ductwork, age, last service date
- Water heater: Age, condition, safety features
- Fireplace and chimney: Visible condition (a chimney sweep inspection is separate)
What Inspectors Do NOT Check
A standard home inspection is visual and non-invasive. Inspectors don’t break into walls, move furniture, or test every outlet. They also don’t typically inspect:
- Septic systems (requires a separate septic inspection)
- Wells (separate water quality test)
- Pools and spas (often available as an add-on)
- Radon (separate radon test — highly recommended in high-radon areas)
- Mold (visual only; lab testing requires a separate specialist)
- Pests/termites (separate pest inspection, often required by lenders in certain states)
- Asbestos or lead paint (requires a specialist in older homes)
For older homes (pre-1978) or homes in high-radon areas, consider ordering additional tests alongside the standard inspection.
How the Inspection Day Works
The inspection typically takes 2–4 hours for an average home. You should be there — following the inspector and asking questions gives you far more useful information than reading the report alone.
Good inspectors explain what they’re seeing as they go: “This stain on the ceiling is old and dry — not a current issue.” “This electrical panel brand has a known defect and should be evaluated by an electrician.” That context doesn’t always make it into the written report.
After the inspection, you’ll receive a written report — usually within 24 hours — with photos of every issue found, organized by severity.
Reading the Report: Major vs. Minor Issues
Inspection reports list dozens of items. The key is distinguishing between:
- Safety hazards: Electrical issues, exposed wiring, missing smoke detectors, carbon monoxide risks. These should be addressed.
- Major defects: Roof failure, foundation movement, HVAC failure, plumbing leaks, evidence of water intrusion. These affect the home’s value and habitability and are legitimate negotiation points.
- Deferred maintenance: Items that are worn or aging but still functional — a water heater that’s 12 years old, peeling caulk around a tub, an older HVAC system. These are expected in an older home.
- Cosmetic issues: Paint chips, worn carpet, minor dents — things that don’t affect function or safety. These are yours to deal with after closing.
Don’t let a long report scare you. Most homes, especially older ones, have dozens of items. The question is whether any of them are material — meaning they significantly affect value, safety, or function.
How to Use the Report in Negotiations
After the inspection, you have several options:
- Request repairs: Ask the seller to fix specific issues before closing. Best for safety concerns or systems that have stopped working.
- Request a price reduction: Ask the seller to lower the sale price by the estimated repair cost. Clean and simple — you handle the repair yourself.
- Request a closing credit: The seller gives you money at closing. Flexible and doesn’t depend on the seller’s contractor doing the work well.
- Walk away: If the inspection reveals serious structural, environmental, or foundation issues you’re unwilling to take on, your inspection contingency lets you exit and recover your earnest money.
Be strategic. Asking for every item on the report is annoying to sellers and can derail the deal. Focus on significant issues — things that cost real money to fix or affect safety. Let the cosmetic stuff go.
Red Flags That Deserve Serious Attention
- Foundation issues: Cracks, settling, bowing walls — can mean six-figure repair bills
- Active roof leaks or major roof damage: Roof replacement runs $8,000–$25,000+
- Knob-and-tube or aluminum wiring: Older wiring types that many insurers won’t cover without remediation
- Evidence of water intrusion in basement: Current moisture problems, not just old stains
- Major HVAC failure: Systems that don’t function, especially if they’re at end of life
- Active pest activity: Termite damage can be extensive and expensive
- Polybutylene plumbing: A type of plastic pipe prone to failure, banned from new construction
These aren’t necessarily deal-breakers — but they are items where you need repair estimates from licensed contractors before deciding how to proceed.
