Buying NJ Real Estate: Should I Skip the Home Inspection to Get a Competitive Edge?
April 15, 2021 Leave a comment

The home inspection is an entirely optional part of the home buying process, but that doesn’t mean you should skip it. The current NJ real estate seller’s market is highly competitive; more potential buyers are agreeing to forego the inspection process in order to give themselves a competitive edge against other buyers. Skipping the inspection is attractive to sellers as it normally indicates a smoother closing process, a quicker settlement, and fewer chances of repairs. For a buyer, skipping the home inspection means skipping the fee to hire a home inspector, which can save hundreds of dollars. But while it can be tempting to skip this process to save time and money, doing so is normally a big mistake.
1. Safety Hazards
A home inspection is a thorough investigation of a home’s condition. A good home inspector will spend a decent amount of time at a property investigating every structure, system, component, and any and all features including the roof and foundation. Not only do they check on the soundness of the structure itself, they also check for mold, asbestos, lead paint, and other environmental hazards. They’ll look for security issues, like broken doors or windows, as well as safety issues, like faulty wiring. If you don’t know what you are looking for, you could end up with a home that is unsafe for you and your family.
2. Costly Repairs
Inspectors will also draw your attention to specific repairs that will likely be needed in the near future or are currently needed in order for the home to be considered functional. A leaky roof, termite damage, foundation issues, or an AC unit on its last legs could all cost you thousands of dollars to fix after you purchase the home. It is possible to use the home inspector’s report to negotiate with sellers to either reduce the price of a home or make the repairs before settlement. A word of caution on this for the current market: if sellers are receiving multiple offers, they might be less inclined to make the repairs you ask for. Regardless, it’s still advisable to be aware of potential issues or costly repairs a property may need.
3. It Helps Protect Your Investment
An appraisal assesses the home’s value for the mortgage company to ensure they are not lending more than the worth of a home. A home inspection, on the other hand, is just for the buyer. You can use the home inspection report you receive to determine whether or not the investment you are making is worth it. The current condition of the home can allow you to better gauge the value of the asset you are purchasing. If the costs to repair and upkeep the property outweigh the value of the home, it might be in your best interest to pass on that particular property.
Before you agree to sign a contract indicating you will skip the home inspection, think about how that decision can affect you financially. Your real estate agent can give you better insight into accepting this term in a contract. Remember, you should never agree to terms in a real estate contract that you are unsure about. Veitengruber Law can review your contract to ensure you are wisely protecting yourself and making a sound investment.