Home Buyers Potential Inspections
In my opinion, home buyers have an advantage in California that many other states do not have….. a buyer can make an offer to purchase a home, obtain the accepted offer (an executed contract with the seller) prior to completing any due diligence. The buyer’s due diligence may or may not consist of the following:
- A professional physical inspection of the home
- Verification of information and facts
- Wood destroying pest inspection
- Square footage, age, boundaries
- Soil stability
- Water, utilities, waste disposal, well or septic systems
- Environmental hazards – floods, earthquakes, gas lines, lead-based paint etc.
- Insurance requirements
- Governmental requirements, zoning and building permits
- Security and safety mannters
- Neighborhood, area, subdivision conditions and personal factors
Remember that along with the California Residential Purchase Agreement…. do not forget to read the buyer’s inspection advisory. It will give you, as the buyer, suggestions on the types of inspections or information you may wish to have prior to the removal of your contingencies.
Yes, the buyer has a contingency period for due diligence, appraisal and loan approval. The California purchase agreement has a default of 17 days for inspections and 21 days for loan approval; however, the buyer and sellers can mutually agree to a different time period. Once the buyer has removed all contingencies, her earnest money deposit is at risk should she not purchase the home.
This is just a brief overview of the due diligence a buyer needs to complete and I always recommend that a buyer consult an attorney for legal advice and answers to specific questions about the real estate purchase documents.
Do you have any questions that I can answer for you?
