Most real estate transactions include contingencies – conditions that must be met to close the deal. One of the most common real estate contingencies involves home inspections, which are designed to protect buyers from purchasing a property that has major issues. Here’s what you need to know.
What is an Inspection Contingency?
When someone buys a duplex, triplex, fourplex, single-family home or just about any other property, that person’s real estate agent will recommend that they hire a qualified inspector. The inspector will go through the property and look for any issues, ranging from little cosmetic issues like chipped paint to major problems with the property’s structure or systems.
Most real estate contracts have an inspection contingency in place that protects buyers from being forced to purchase a property that has major issues. If the inspection report details issues that the buyer isn’t willing to deal with, he or she may choose to:
- Back out of the deal without consequences
- Renegotiate the sale price of the property
- Ask you to make repairs or improvements
How Long Does a Buyer Have to Get the Duplex, Triplex or Fourplex Inspected?
Every contract is different, but generally, buyers have a few days to a few weeks to hire an inspector to check out the duplex, triplex or fourplex. The length of the inspection contingency will be clearly outlined in your contract. California is usually 17 days.
In some cases, buyers waive the inspection contingency. If that happens in your situation, your real estate agent will explain what happens if the buyer discovers an issue, what you’re required to tell them, and how the lack of an inspection contingency could impact your transaction.
A qualified agent with years of experience in the real estate market can help you based on your particular market. When you’re ready to learn more, connect with me today. I’m happy to help!