What happens if I waive inspection? In this red hot Denver housing market we are seeing buyers resort to many different strategies in order to win the “bidding wars”. It is not uncommon to have multiple offers on homes and every buyer/agent is looking for a way to get an edge and get the home they want under contract. One of these strategies is to waive the home inspection. The question then becomes whether this is a “safe” strategy for the buyer. Our answer to that is “yes” and “no”.
If the buyer choses to waive the inspection, our preference is to write the contract in such a way that they have the “right to inspection”. With this language we are sending the message that we are not going to be asking the Seller for lots of fixes (maybe no fixes), but it still allows us the opportunity to have the home inspected and surface any potential "big" problems.
After the inspection, the buyer can then chose to either take the home “as-is”, negotiate for any health/safety related fixes or they can terminate the contract without losing their Earnest Money. We would not recommend to purchase a home “as-is” without the right to inspection, simply because the buyer could end up with expensive repairs that they were not expecting. So, it is a safe strategy to waive inspection, provided you retain the right to inspect the home.
If you have any home buying questions, please give us a call!