Use Home Inspection to get out of Purchase Agreement

[Nalliah Thayabharan]

I received a phone call this morning.

"We've put in a conditional purchase agreement for a resale home and are having second thoughts. We understand that if we get a home inspection, we can get out of the purchase agreement. Is that correct?"

What would you say?

Nalliah Thayabharan
Expert Building Inspections Ltd
Markham ON

[Jason1]

Originally Posted by Nalliah Thayabharan

I received a phone call this morning.

"We've put in a conditional purchase agreement for a resale home and are having second thoughts. We understand that if we get a home inspection, we can get out of the purchase agreement. Is that correct?"

What would you say?

Nalliah Thayabharan
Expert Building Inspections Ltd
Markham ON

I wouldn't get caught up in helping them get out of a sale. If it is condition on home inspection then they should get it done, and then they can decide from there whether they want to go ahead or not.

It is not your responsibility to "help" them out of a jam.

They may have other conditions that they can fall back on, like financing.

This is a problem they should be bringing to their Realtor, not you.

[Blaine Wiley]

I report, you decide.

The report will be factual. Use it as you deem necessary, you're the customer.

[Greg Veal]

HELLO, who do you think is putting them up to asking us?
Duh, the Realtor!

Once a Buyer's "Conditional Purchase Offer" is delivered, about the only way to get out of/recind that offer is with a H/I or death.
A H/I is always up to interprtation, and I'm not sure death will get you out of the offer.
I can see Seller/Realtor Rep. saying that won't break the deal and try to go after your estate.

The Realtor gets frustrated with the Clients change of mind.
He/She knows the Seller won't accept a change of mind, knows Buyer won't get earnest money back...so get the H/I to write a report that will sink the ship.

From the old Hillstreet Blues Show...Hey, you be careful out there!

[rcooke]

I do my inspection always the same, how the client uses it is not my concern .
Never change my ways.

Roy Cooke

[whandley]

Originally Posted by Nalliah Thayabharan

I received a phone call this morning.

"We've put in a conditional purchase agreement for a resale home and are having second thoughts. We understand that if we get a home inspection, we can get out of the purchase agreement. Is that correct?"

What would you say?

Nalliah Thayabharan
Expert Building Inspections Ltd
Markham ON

That's a legal and or contractual question which should not be answered by a home inspector. Refer them to attorney, agent, escrow, whomever....

[Nick Gromicko]

I see nothing wrong with them getting out of the contract using the inspection rider and I see nothing wrong with an inspector accepting the job.

[whandley]

Wasn't this the question?

"We understand that if we get a home inspection, we can get out of the purchase agreement. Is that correct?"

Is the home inspector going to render an opinion on how, when and under what circumstances the buyer can opt out of the purchase agreement?

I know I'm not.....

[Paul Pendley]

Whats funny is that a couple of buyers agents around here will only use me when they want to get out of a contract....that is....They know I am thorough and I guess they think I will always find something to negotiate. Its too bad because I am just doing a good job and of course they will call me when its their personal house they want inspected.

[whandley]

Originally Posted by ppendley

Whats funny is that a couple of buyers agents around here will only use me when they want to get out of a contract....that is....They know I am thorough and I guess they think I will always find something to negotiate. Its too bad because I am just doing a good job and of course they will call me when its their personal house they want inspected.

Don't take it personal Paul. Here in California, a buyer doesn't need a reason to terminate a purchase if their within the contingency period. I have clients all the time who back out of one property because they find a better deal, view, location on another property. With prices falling, I've even had them back out simply to purchase another identical model in the same track for a lower price. I love the real estate biz!

[ggreene]

We are in business to help people with their largest investment.At a minimum talk these people into a home inspection. We have insurance for a reason,regardless of whether or not a realtor has prompted this question, it sounds obvious the realtor was trying to get these people to close without an inspection. So quote them a big price and go play superman , be the hero!! If all you worry about is littigation than your not giving your customers your best foot foward..

[Russel Ray]

Originally Posted by gromicko

I see nothing wrong with them getting out of the contract using the inspection rider and I see nothing wrong with an inspector accepting the job.

Ditto here.

[John McKenna]

I had more than one husband call me and tell me that he wanted
to use my inspection report to convince his wife not to buy the
house.

The wife would not believe him, but would believe a third party
inspection report.

I don't really care one way or the other. I inspect all of em the
same, regardless. It is funny though when I make a comment
about how nice the house looks and the husband is giving me
the "cut your throat sign"... LOL.

I inspect... the Client decides what to do with it.

[James H. Bushart]

Originally Posted by Nalliah Thayabharan

I received a phone call this morning.

"We've put in a conditional purchase agreement for a resale home and are having second thoughts. We understand that if we get a home inspection, we can get out of the purchase agreement. Is that correct?"

What would you say?

Nalliah Thayabharan
Expert Building Inspections Ltd
Markham ON

Possibly. It all depends upon the conditions reported as compared to the conditions disclosed along with the buyer and seller's ability to negotiate, in good faith, a resolution regarding the difference.

A home inspection provides you with a disinterested third party report of the conditions of the home for your use in this process and I would be happy to provide that for you.

[whandley]

Originally Posted by jmckenna1

I had more than one husband call me and tell me that he wanted
to use my inspection report to convince his wife not to buy the
house.

The wife would not believe him, but would believe a third party
inspection report.

I don't really care one way or the other. I inspect all of em the
same, regardless. It is funny though when I make a comment
about how nice the house looks and the husband is giving me
the "cut your throat sign"... LOL.

I inspect... the Client decides what to do with it.

Exactly!