Many first-time homebuyers confuse inspections for appraisals, and vice versa. However, these two evaluations of a home are not the same, and opting out of one or the other might cost you. Furthermore, they’re both essential to your financial interest in a home, so you must employ a professional, like Residential Inspector of America. Yet, despite being two separate assessments, inspections and appraisals do have some things in common.
1. Buyers Pay for BothBy now, you probably realize that buying a home is rather expensive. Not only do you have the price tag of your new home, but you also have all the paperwork, fees, and closing costs. Part of what you can expect early in the closing process is that you’ll be paying out of pocket for your inspection and appraisal. This means you’ll need to budget for these expenses so you can hire the best. Leaning on a cheap inspector or appraiser could cost you, especially when it comes to home repairs and knowing what your home is worth.
2. Both Happen During EscrowOnce an offer on a home is accepted, the home goes into escrow. The inspection of your potential home usually happens within a week of the seller accepting your offer. You don’t want to wait too much longer than that, in order to give the seller time to make repairs and fixes. It also gives you a chance to renegotiate the price if you’re going to cover the cost of those repairs yourself. In contrast, the home appraisal happens about a week or two before closing and is usually one of the final steps before the seller signs everything over to you as the buyer.
3. Both Allow for NegotiationsStructuring your initial offer with contingencies on the appraisal value and the inspection report gives you negotiating leverage. This means that if the home doesn’t appraise for equal to or more than the home price, you can renegotiate the price of the home. Likewise, if the inspection report comes back with multiple major repair suggestions or failures, you can then negotiate on these with the seller as well. Either way, both of these evaluations put the ball in your court and give you more buying power.
Be Confident in Your Inspection
The inspection of your new home should give you confidence and leave you feeling protected. That feeling is exactly what you get when you hire Residential Inspector of America. We proudly help new and current homeowners throughout Fulton County, GA, with their home inspections, termite evaluations, stucco inspections, and radon testing. If you’re looking for a reliable, professional team, then it’s time to give us a call. Dial (770) 476-4963.