In a red-hot seller’s market, where there are more buyers in the market than suitable homes available for sale, it is relatively easy to succeed in getting your full asking price, and in extreme cases, sometimes more. It often becomes a feeding frenzy of sorts, and emotions overrule logic when one has to compete to simply find a suitable home to purchase. As markets cool off and return to normal supply and demand equilibriums, buyers become much more cautious and thoughtful in how they approach a home purchase.
One of the most important actions that a homeowner can take when preparing to sell in a competitive market is to request a professional assessment of their home prior to putting it on the market in the form of a PRE-LISTING INSPECTION. A pre-listing inspection provides sellers with upfront information about the condition of their property, which gives them complete control over the repairs and significantly strengthens their negotiating position once an offer is made.
A pre-listing inspection focuses on proper functionality of all major systems and components of the home: structure and roof, siding, brick veneer, doors and windows, heating and cooling, electrical, plumbing, insulation, etc. It’s a full inspection for the seller to better understand the condition of their home prior to the buyer’s independent inspection. This provides the seller with important information to consider so they are not caught off-guard in the midst of a transaction.
The value to the seller comes in the form of making them aware of any issues in advance of negotiating a purchase agreement, allowing them the opportunity to resolve, repair, or address these issues, or have them accounted for upfront in the asking price. It’s always better for everyone to know about major inspection issues as soon as possible. Once they have been itemized and identified, they can be carefully assessed for proper resolution. Depending on the nature of the issue, its not automatically necessary for every item to be fixed. The seller’s real estate agent should advise them to which repairs are necessary to the viability of the sale.
For many buyers, being provided with forthcoming inspection information has both tangible and emotional value. They’re made aware of issues identified in the inspection report, which gives them more factual information to work with, and then they are provided subsequent clarity on which issues have been, or will be, resolved as part of the transaction. The more information agents can provide to give buyers peace of mind, the better it is for the sale.
A pre-listing inspection can be a great to tool to reinforce the seller’s asking price. It enables agents to explain how the inspection report, and subsequent repairs made prior to listing, helped the sellers to arrive at the homes value.