Have you had a home inspector uncover something major, surprising, odd or just plain scary (i.e. structural issue) when purchasing a house? If so, let us know.

Sometimes the biggest surprises in the purchase of a home aren’t ones that put money in the pocketbook.  What was once a deal on property that used to be priced out of your league; bringing you visions of beautiful renovations and unique decor, can morph into headaches all the Aspirin in the world can’t fix. This can be especially true when purchasing short sales and REO’s.

This is why it’s necessary to understand the difference between a home inspection and an appraisal. The typical buyer will need both, and in many cases both will be required under mortgage loan stipulations.

Appraisal

It’s important to understand that while many appraisers will note obvious conditions of a home such as structural or foundational components; the appraisal is not a home inspection. The appraiser seeks to “estimate” the current market value of a home based on various criteria. The appraiser likely will not focus on structural issues, or non-obvious areas of the house, especially if they do not have an impact on the value of the home.

Home Inspection

This is where surprises can occur. While the appraisal may delight you as to a great value and substantial equity; the drain on your pocketbook can occur when problems with heating, plumbing, foundational issues and more are discovered after the fact.

The home inspection seeks to identify these potential problems before they become a problem for your bank account. While a home inspection does not focus on market value, it will be critical for you as the buyer to ensure that your home inspector is certified, qualified and does a thorough job inspecting everything from the electrical to the attic and roof.

For more information on home inspection check out the American Society of Home Inspectors at: http://www.ashi.org/