So you've found the home of your dreams and you're preparing to make your offer. As you consider price and terms, be sure to include one of the most critical components of the offer - the home inspection. The contract should clearly identify how any reported habitability problems will be handled.
By including an inspection in the terms of the contract, you give yourself three valuable options if habitability repairs are needed. You can either: a.) request that the sellers complete the habitability repairs prior to closing, b.) negotiate a dollar amount from the sellers and hire your own contractors, or c.) ask to withdraw from the contract if the seller refuses or is unable to make a habitability repair.
The last option isn't very appealing, especially if you really love the home. While the selling market was so hot a few years ago, many buyers would forgo the inspections, just so their offer looked better than the others and to win the bid on the property. These days, however, cooler markets allow you to make a home inspection part of your contract.
If the inspection discovers habitability issues and the seller is unable or unwilling to make the repairs or to provide a dollar amount for you to make the repairs, you may ask to be released from the contract. Chances are though, that the inspection will only reveal minor repairs. Most sellers are willing to make habitability repairs and you'll soon be living in your dream home!
