Importance of Contingency of Home Inspection

The Contingency for Home Inspection 

Home assessments are used to provide a buyer with the ability to detect any potential faults with a home prior to closing. Your first indication that a home inspection is necessary is that it can be used in your deal with the agent as a contingency. This contingency ensures that if a home inspection shows major flaws, within a given timeline, you will opt out of your buying contract, free of penalty. If they will encourage you to walk away from such a substantial deal, the possible complications a home can have must be pretty serious.

In some situations, realtors are also known to include home inspection clauses in contracts, such as those for a newly constructed residence. In new home construction, inspections are generally protected: 

Foundations: Checking before the concrete is poured (there is very little that can be corrected once poured). 

Pre-drywall: Before laying the drywall, the mechanisms and structures are tested. 

Complete inspection: A complete walk-through is done of the finished residence.

What Protects a Home Inspection 

Inspectors differ in expertise, ability, and thoroughness, but some components of the home should be inspected by a good inspector and then a report covering his or her findings should be made. The average inspection takes two to three hours and you can be there for the inspection and get a first-hand description of the results of the inspector and ask questions if necessary. Also, if you see them in person instead of relying solely on the snapshot photos in the report, any problems the inspector uncovers will make more sense.

The inspector should note:

  • In certain cases, realtors are often considered to offer home inspection clauses in contracts, such as those for a newly constructed house. In new home building, inspections are normally protected:
  • In new home building, inspections are normally protected: 
  • Foundations: Testing until the concrete is poured (there is very little that can be corrected once poured). 

  • Pre-drywall: Before laying the drywall, the mechanisms and structures are tested. 

  • Complete inspection: A complete walk-through is done of the finished residence.
  • Outdoor Inspection 

  • A thorough inspection of the exterior of the building will be done by the inspector. It would include climbing under the home into some crawlspaces and using a ladder to access the roof and other objects and check them. 

  • Walls on the outside 
  • The inspector will verify that the soil is in excessively near contact with the bottom of the house, which could invite wood-destroying insects, for broken or absent siding, holes, and cracks. Nevertheless, the pest inspector (yes, you will want to hire one of those too), not the home inspector, will check termites for real harm, etc. The inspector will let you know which beauty issues are and which may be more serious.

The Founding 

The auditor would not be allowed to evaluate it directly if the base is not apparent and it generally is not, although he or she can look for secondary signs of foundation defects, such as cracks or settling. 

Grading for 

If the grade slopes away from the house as it should, the inspector will let you know. Water could get into the house and do harm if it doesn't, and you would need to either adjust the yard's slope or add a drainage system.


The inspector will check for areas where roof damage or poor installation could allow water to enter the home, such as loose, missing or improperly secured shingles and cracked or damaged mastic around vents. He or she will also check the condition of the gutters.

Inspection of Interior 

A detailed review of the interior of the house will also be done by the inspector. Anything from the walls to the cabinets under the sink can be inspected. 

Plumbing activities 

Both faucets and showers will be tested by the home inspector, checking for obvious leaks and measuring the water pressure. If any pipes are noticeable, he or she can even recognize the type of pipes the house has. If the pipes are old, the inspector will suggest a secondary inspection to decide when or when they will need to be replaced and how much the repair will cost. The inspector would also describe the location of the main water shut-off valve in the house.

Electrical Systems 

The inspector will identify the type of wiring the house has, test all the sockets and ensure that in places such as the toilets, kitchen, garage, and outside, there are working ground fault circuit interrupters (which will shield you from electrocution, electric shock, and electrical burns). For any safety concerns, he or she will also inspect your electrical panel and check your electrical outlets to ensure that they do not create a fire threat.

Heater for water. The home inspector can assess the heater's age and determine if it is correctly mounted and covered. Often, the auditor will let you know what kind of shape it is in and give you a general understanding of how many years it has left. 

Kitchen Appliances 

Often the inspector will examine kitchen appliances that come with the house to ensure that they operate, but they are not necessarily part of the inspection. Make sure to inquire which ones are not included if you think you're going to choose to keep them so that you can assess them yourself. 

Washing Room 

In the washing room, the inspector will make sure it is correctly vented. A poorly operated dryer-exhaust system may be a major fire hazard. 

Security of Fire 

The contractor will make sure that the wall has the right fire rating if the house has an attached garage, and that it has not been compromised in any manner that would affect its fire rating. He or she will test the smoke alarms in the house as well. 


The inspector will look for noticeable leakage, adequately protected toilets, ample ventilation, and other problems. Mold and mildew can become issues and dampness can warp wood cabinets over time if the bathroom does not have a window and/or a ventilation fan.

In a home inspection, not covered 

A home inspection does not recognize anything that could be wrong with the property; it just looks for visual signs of issues. For eg, if the doors of the home do not close correctly or the floors are slanted, the base might have a crack, but if the crack may not be identified without digging up all the flooring in the building, if it's there, a home inspection can not tell you for sure. 

Some sectors that regulators would not look into include: 

Within walls (drywall or insulation will not be torn open) 

Pipes or sewage pipes within 

Chimneys inside 

Behind electric billboards

In addition, most home inspectors are generalists, that is, they will advise you that there might be a problem with plumbing, but then they will propose that you employ a specialist to check the issue and give you an estimation of the cost to repair it. Hiring more inspectors would, of course, cost extra money. Home inspectors also do not explicitly search for problems such as termite damage, contamination of the site, mold, concerns with asbestos engineering, and other specialized issues.

Nevertheless, if they have reason to suspect, they would definitely give you a heads up. Some inspectors offer radon screening as an add-on; if the house appears to be at risk, some can recommend facilities for asbestos tests. 

Following the Inspection 

You have some choices until you have the findings of your home inspection. 

You may opt to walk away from the deal if the defects are too serious or too costly to correct, as long as the purchase contract has an inspection contingency. 

You may ask the seller to repair them for major or minor problems, lower the sales price, or give you a cash refund at closing to fix the issues yourself. A home inspection will pay for itself here. Worth the Investment?

The average cost to hire a home inspector is $324, but that varies greatly, depending on the size of the home and the region; the range is roughly $270-480. Of course, that can go much higher, if the general inspection's findings lead to more specialized inspectors being called in. Ask ahead of time how an inspector charges.

It's important to put things in perspective. Remember that an inspection is:

  • Not the sole determinant for buying a house. Maybe you’re willing to make some renovations on the house with these problems. The inspection will help you determine exactly how many you’ll need to do.
  • Never free and clear of problems. An inspection will always find a problem with a home. Even new home constructions will have small issues that need to be addressed.
  • Not about getting all the fixes done. No seller is going to fix everything for you. They may negotiate on some of them, but expecting resolution of all issues is unreasonable.

The Bottom Line

A home inspection will cost you a little bit of time and money, but in the long run, you'll be glad you did it. The inspection can reveal problems that you may be able to get the current owners to fix before you move in – or else, prevent you from inadvertently buying a money pit. For new home construction, it’s an imperative part of the home buying process. If you are a first-time homebuyer, an inspection can give you a crash course in home maintenance and a checklist of items that need attention to make your home as safe and sound as possible. Whatever the situation, addressing issues early through a home inspection can save you tens of thousands of dollars down the road.