Defects – Continued

 

When a Home Inspector is contracted to look at a house the client is usually hoping the inspector can tell them they have found, “…a great place, no worries, and no problems. Good job finding a well constructed and maintained home.” 

They may want the inspector to find one or two relatively minor problems to use as negotiating points, but it would be unlikely that; assuming the buyer really wants the house; anyone would be happy to learn about a major foundation issue or leaky roof that needs to be completely replaced. 

 

Of course they prefer to find out about a big defect prior to buying the house rather than after, and that is really the main purpose of utilizing the Home Inspector; to find the ‘deal breaker’ if it is there and prevent a big mistake when purchasing the biggest investment of your life. 

 

Likewise, as a Home Inspector it is only natural to want to find the big defect, be the hero and save someone from themselves.  Preventing someone from a big mistake purchase is gratifying and an ego boost. Home inspectors are always looking for the large defect, the game changer, the one the client hired him to find, as they should. 

 

The pitfall this presents however is to think our job is only to think about the big ticket items and forget the small stuff.  It is extremely important not to walk by those little defects, the ones that don’t appear to be anything except a minor flaw.  There are two main reasons why the small defect should not be so quickly dismissed.

 

1.   That small blemish or minor flaw may be just a sign of something more substantial that is just at its early stage.  For example, is there such a thing as a little efflorescence? (That chalky substance found on block basement walls).  Isn’t a little efflorescence a sign of something larger that will become a major problem in the future if left unattended?  The same for small cracks in the driveway.  Cracks don’t fix themselves or get better. The cost of repairing a small crack today will certainly be less than fixing an entire driveway in the future. 

 

The price to put gutters on the house is nowhere as significant as the cost of installing a French drain and a sump pump in the basement.  There are hundreds examples of catching large expensive defects in the early stage before they become an expensive repair.  The small items you report on as simply recommendations to avoid large future costs should be considered by all inspectors as an important service.

 

2.   When you are inspecting a house you want to have your client at your side to hear you explain everything you are seeing and doing.  This is always the optimal situation.  Sometimes your client is out of town or will be joining the inspection late after work.  Including every little defect in your report may seem like an unnecessary thing, you may think the client will know that a minor blemish that you saw, but did not think warranted a note in the report, isn’t an important issue.  But what if he doesn’t?  What if he thinks that small vertical crack in the parge coat of the foundation is a big deal.  If he wasn’t there you did not have the opportunity to explain that it is not a major foundation issue.  He may think that you just missed that crack.  It may cause him to wonder if you know what you are doing and doubt your thoroughness. 

 

A client who doubts your report and your inspection may not say anything now about the small thing, but you have set the environment for his seeking legal recourse when something is found later that he thinks you should have seen.  A big storm may damage the roof two years after your inspection and cause it to leak.  This was not an oversight on the inspector’s part but the client may be thinking lawsuit because the distrust was planted by the earlier ‘oversights’.

 

It would be wise to note in your report anything that appears not as it should be, no matter how small.  It will show your client how thorough you are and will explain to your client that, ‘yes, you did see that flaw but no, you don’t think it is an issue.’  You never want is to create doubt with your client.

The Defect

When a Home Inspector is contracted to perform a home inspection the Home Inspector is looking for defects.  The client wants an impartial set of trained eyes to look at the house and see if there are any problems with the building that might inform the purchase. 

The Home Inspector uses experience and expertise to find defects that may not be recognized by the untrained eye.  The Home Inspector isn’t hired to state, 'This is a good house for you at a fair price and you should buy.' or, 'Do not buy this one, there are problems.' The Home Inspector is only providing a list of defects that help the buyer make an informed decision or negotiate a fair price. 

Included in the list of defects are cosmetic issues like dings in sheetrock or peeling paint and perhaps more substantial structural defects like foundation cracks or signs of moisture penetration. The process of looking for defects involves the inspector looking at everything and making sure all defects are brought to light, especially those that may affect the value of the house.

The Home Inspector examines the home for items that are unsafe, do not operate properly, or are not in good condition.  The report will list these items and note the defect(s).  This list of defects helps the buyer make an informed decision.

So what is a defect?  A defect can be defined as:

1.An issue of Safety.  The inspector examines the house looking for conditions that are unsafe such as; a broken handrail, outlets that are not GFCI protected; the presence of mold; etc.  *There are codes that deal with safety issues but to a Home Inspector ‘Safety’ is not a matter of code. Municipal codes that deal with safety are a matter of compliance.  There is often a condition existing that is compliant to the local code yet still may be considered unsafe.   A Home Inspector may look for the presence of carbon monoxide while the furnace is operating, yet most codes aren’t concerned with the operation of the equipment.  Safety issues are often a judgment call on the part of the Home Inspector. An elevated patio may be only several inches off the ground and well within codes to not require a guardrail. However, the ground in the vicinity of the edge may drop off to a steep ravine and the missing guardrail reasonably should be considered a serious safety concern.

2.An issue of Operation:  Operation isn’t only about equipment running properly; it is about all the systems and components of the house functioning as designed.  An air conditioning system that does not cool the house is not functioning as designed and is an issue of operation. Similarly, a roof that appears in perfectly good condition may leak; in that case it isn’t functioning as designed.  It may lead to the deterioration of the insulation or may lead to the growth of mold and it is a defect because the roof covering is not operating properly.

3.An issue of Condition:  The condition of a component or piece of equipment deals with the state of that item at time of the inspection.  Is it rusty? Deteriorated? Worn?  Rotted? In any condition that is not consistent with its age? 

 

If a purchase contract is signed for a home to which a significant defect has been disclosed, the buyer can’t use that defect as a reason to get out of the contract.  The current homeowner might disclose to the seller during a visit to the property that the air conditioning system is old and does not function. He is basically stating that the buyer is getting the house “as is” in regard to the air conditioner.

The purpose of the Home Inspection is to find any significant defects unknown to the prospective buyer.   Significant is determined in many states as a defect that would cost in excess of $1,500.00 to remedy.  If a significant defect is found then the buyer is within rights to break or renegotiate the contract on the basis of the new findings.  Situations arise when the buyer is looking for a way to get out of a contract and legally cannot without paying a penalty.  The Home Inspection may provide that ‘out’ through detection of a previously undisclosed, significant defect.

The defect is judged by the cost of repair, and although establishing that cost is not the role of the Home Inspector the inspector does need to have an understanding of the reasonable expectation for the cost of repair.  A leaky hose bib is a defect but could not, within reason, be considered significant -even though there are many contractors who would be happy to receive in excess of $1,500.00 to repair it.  On the other hand, an old roof that leaks will most likely require in excess of $1,500.00 to remedy and by any reasonable standard should be considered a significant defect (despite the brother-in-law’s offer to fix it for pizza and beer).  

A Home Inspector is often asked what the cost of the remedy should be, but any estimate or advice is offered as a courtesy and is certainly not the final word.

A qualified contractor will be called in to determine the proper remedy.  The contractor will generate an estimate and this estimate will be used by the buyer to negotiate with the home owner. 

The Inspection Part II

One of the great things about this industry is there really is no right or wrong way for doing your job, as long as you are supplying the service your client expects.  We are providing information for our clients; information which they then use to make a better informed decision.  There is no governing authority - (yet) - that deems your system as correct or incorrect.  Of course there are guidelines, standards of practice, and ethical rules set forth by the professional associations, but there are no police at the home to enforce those guidelines.  If you do your job a certain way and your client likes it and other clients want you to do it that way for them as well; nobody can tell you it’s wrong.  The ultimate judge of the merit of your practices is either of two things:  You’re being sued all the time or you have no customers.

 

With that said; let’s talk about the inspection.  As mentioned before, a proper Home Inspection should be thorough and systematic.  Thorough is self-explanatory so let me explain what I mean by systematic.  I believe the inspection should be done section by section, element by element, in the same order every time.  Your process should be automatic so that you become habituated to always do it the same way. 

 

This will create a pattern that is ingrained in your reporting.  You will never have to wonder, “What should I inspect next?”   The comfort of knowing the pattern allows you to focus on what you are looking at and the three viewpoints of condition, operation and safety. 

 

In Karate you need to learn a ka’ta. A ka’ta is a repetition of a series of standard moves, almost like a dance, that creates muscle memory.  The repetition of this choreographed set of movements becomes so familiar and automatic that the martial artist is able to go into “no mind”.  This separation of mind and body ensures that the practiced martial artist can react using one of the ‘moves’ of the ka’ta without thinking; no matter what the situation or what distractions surround him or her.  This is similar to what an effective and efficient home inspector needs to do. 

 

A Home Inspection can get out of hand with any number of different distractions.  The current homeowner may be combative about what you are looking at; a realtor may try to distract you away from an area that may be known to be problematic; a client may have small children running around, or just be hyper-inquisitive about every last detail of your inspection as you go through the house.  These can be not only aggravating but can cause the inspector to lose focus and miss important things that need attention.

 

To ensure a thorough and systematic inspection the inspector has to have a predetermined process that he or she is comfortable with; a routine that can help block out these distractions in order to stay focused on the job, keep cool and be confident that nothing was overlooked.

The Inspection

Part I

Inspecting a house is a daunting task.  Standing in front and looking at a house, an inspector can become overwhelmed by the sheer number of things that need to be checked in order to do a thorough inspection. 
It seems enormous; and it is.

Look around the room you are in.  Imagine that you need to examine and assess every item; from pencils to windows, walls to computer.  Take a minute to see how many items there really are in our everyday environment.  How would you begin?  How would you be sure you did not miss something? 

You would need to list everything.  You would need to break the items down into categories and systematically go through them and report your findings in a logical way. 

 

The first time you did it this would be an extremely tedious and slow process; if you wanted to do a thorough job.  But
when you completed the task you would learn ways to do it better the next time.  You would become more efficient.  Your list would be premade to show what is typically found in similar rooms, you would have preset ways to check each type of thing and what it should be like, and you would leave spaces for unforeseen items.  Eventually you would have a system and, given practice, you could do the job relatively quickly and efficiently.

 

Now, a Home Inspector does not have to deal with the minutia of pencils or non-home related electronics like computers; but does need to inspect the windows, walls, doors, outlets, plumbing, furnace, and on, and on, and on.

 

The approach to complicated questions is often to simplify the problem.  We inspect a complex house by breaking it down into its basic sub-parts and those sub-parts into their components, and then inspect each of those, one at a time.  When we are done with all of the parts, we are done with the whole house. 

We break it down into its sections; the roof, the exterior walls, the exterior grounds, the garage, etc.  We then break each of the sections down into its relevant components, for example: the garage. 

The garage has basic components like doors, floors, walls, door opener, etc. As we inspect each of these components we look at each from three perspectives.  We inspect each component for its Condition, its Operation, and its Safety. 

If a garage door opener is newer and appears in good condition then we note that and report on it.  If it opens and closes as designed we note that it operates and report that as well.  If the overhead door stops and reverses when we break the beam of the electric eye sensor or apply resistance as if someone were under the closing door, then its safety features are also functioning and we report.

Let’s look at a roof as a section. One component of the roof is the covering. What is its condition? Is this covering older; newer; slate; architectural shingle? Is this roof operating properly?  We look to see if the roof is leaking.  If it is not leaking then we know the roof covering is performing its operation properly. Perhaps there is cement tile that looks loose and possibly unsafe.  We then move on to the next components like the gutters and downspouts.  After doing all the separate components of the roof we move on to the next section.  After we have completed all the sections we are done with the entire house; systematically and thoroughly.  

The worksheet (or list as mentioned above) is the primary tool for good home inspection.  It will have listed all of the sections with all of the components.  All the inspector has to do is follow the worksheet section by section, component by component.  The worksheet acts as a guide, and by following the worksheet exactly you will ensure that nothing is overlooked and ensure a thorough, complete inspection.

I recommend that you order your worksheet sections in the order you want to inspect. Order them logically (like outside to inside –top to bottom) and just stay on track, don’t jump around, and don’t become sidetracked; if you do this you won’t miss any sections or components.

A good reporting system should already have all of the components laid out for you and all you have to do is arrange the sections into the order you wish to inspect to check things off piece by piece. 

Personally, I start outside and then move inside - top to bottom, ending in the basement.  Some inspectors prefer to start in the basement and end outside at their vehicle, to do the final paperwork there.  This is a matter of personal choice.  The important thing is that you not skip over any sections or any components within a section, and follow a set routine each and every time to ensure a complete inspection.