Property inspections are conducted by trained officials who visit a property. They may be required by the city, or requested by home buyers or tenants.
Landlords can perform regular inspections to monitor maintenance issues and the adherence of lease rules by their tenants. However, it is wise to give tenants clear notice about the reason for the inspection and when it will be conducted.
Pre-Sale Inspections
Pre-sale inspections are a great way for property owners to establish an honest and open relationship with potential buyers. The presence of a professional inspector prior to listing can eliminate many surprises that often lead to price reductions or canceled contracts and sales. It also reduces the likelihood of a buyer asking for credits or repairs that are uncovered during their own inspections and can facilitate a smooth transaction.
Home sellers are required by law to disclose known problems in their properties when they sell them. Unfortunately, this means that once you know about a problem, it’s not uncommon for the same issues to come back up during escrow—for example, demands for repairs related to flooding or sewage backups.
A pre-sale inspection can be used to discover such issues, as well as verify compliance with zoning regulations, set back requirements and parking conformity. These are all important considerations that can impact a sale and potentially cost you thousands of dollars in lost profits or delays in closing your home.
Post-Sale Inspections
In a buyer’s market, buyers often have more leverage to negotiate with sellers to cover repair costs or adjust the purchase price. Identifying problem areas in advance can help ensure that buyers are making an informed investment and reduce the risk of surprises after closing.
For example, if a home inspection uncovers that the roof is in disrepair or that the home has toxic mold, the property may not sell. The resulting loss of time and energy can derail the entire real estate process, leading to a frustrating experience for both parties.
A pre-listing inspection can eliminate these frustrations by providing a clear picture of the property’s condition. Then, buyers will be able to decide whether the problems are worth pursuing or if they’re willing to pay for the property as is. It can also help a seller determine the best way to address repair requests. Crucial repairs will typically be covered by the seller, while less urgent issues can be negotiated between both parties.
Maintenance Inspections
Like a check-up at the dentist or doctor, a maintenance inspection is an opportunity for your building to catch potential issues before they become major problems. For example, if the roof or gutters are in disrepair, this is an ideal time to have them repaired. Otherwise, a small problem may lead to water damage or even structural damage.
In addition to being beneficial for the longevity of your building, a regular inspection is also an excellent way to avoid accidents on the job site. For instance, if a worker falls off of a ladder or is caught between two pieces of equipment, he or she may experience severe injury or even death.
A comprehensive maintenance department inspection checklist can help reduce the risk of these accidents by ensuring that all necessary steps are taken to maintain the safety and quality of your building and its workers. Learn more about how DATAMYTE can help create a quality inspection process by requesting a demo today.
Lease Inspections
Whether you’re an experienced landlord or new to the business, periodic inspections will help you keep up with your property and prevent costly repairs. A good way to start this process is by having an inspection before a tenant moves in. This will allow you to determine which repair costs can be deducted from the security deposit, and which fall into the category of ordinary wear and tear.
If you don’t conduct routine inspections, it can be difficult to spot unauthorized additional people living in your rental home or even the presence of pets that cause excessive wear and tear. Excessive traffic and strange smells can also indicate that drugs are being sold or cultivated on the premises.
It’s essential that you let your tenants know about these inspections and schedule a time that’s convenient for them to visit the property. This will prevent them from making a false defense in Small Claims Court when you want to retain deductions from their security deposits.
