What is a Home Inspection condition?
In offers made by buyers purchasing a resale home, usually has a written clause outlining a home inspection condition. The clause represents the best interest of the buyer, stating that the buyer needs to be satisfied with the results of a home inspection report before committing to the purchase of the home.
If the report indicates big expenses or problems the buyer doesn’t want to deal with, the offer can be terminated – the buyer can refuse to waive the condition and request for the return of the deposit. Or, the buyer can possibly re-negotiate the offer by requesting a reduced price to cover the cost of major repair.
When adding a home inspection condition to an offer, it may affect the seller’s decision of accepting the offer. Especially if the sellers receives multiple offers on the property. The home inspection condition can substantially reduce an offer’s strength.