The Home Inspection

A home inspection is an absolutely invaluable step in the home-buying process for any buyer, whether first-time or seasoned. No matter what you can see with the naked eye, there may be (a) systems and functions you just don’t have any knowledge of, and (b) defects that may not be apparent until a professional has a more in-depth look. It may be tempting to skip a home inspection, especially if you don’t have any reason to believe there is anything terribly ‘wrong’ with a home. That’s the point – it can uncover issues you may not otherwise have found or known about. Best case, it gives you peace of mind that all is sound, or, worst case, it can divert you from a potential disaster, saving you money, time and headaches down the road. Between those extremes, it gives you the opportunity to request resolution of any issue(s) and/or a reduction to the originally-agreed-upon price to account for the defect(s) before firming up the deal.

A home inspection consists of a thorough walk-through by an inspector, inside and outside a home. Buyers and their real estate agent are encouraged to attend the inspection to gain knowledge and understanding throughout the process. They will also typically receive a written report after the inspection for their records. Inspections cover systems and components such as heating, air conditioning, ventilation, plumbing, electrical, insulation, roofing, structure/foundation, water leakage/damage, exterior cladding, windows/doors, stairs/decks, drainage, etc. Some inspectors also offer optional inspections of additional items such as fireplaces, environmental tests, pools, wells, septic systems, etc.

Home inspections are most typically completed as part of a conditional (or ‘tentative’) purchase of a home. Buyers have this opportunity to ensure what they’ve agreed to purchase satisfies their expectations when it comes to building standards, condition, safety and functionality of the home. If not, they are able to either re-negotiate or walk away from the deal.

A lesser-used but equally beneficial type of home inspection is the pre-listing inspection. A seller can choose to have their own home inspected before listing for sale on the market. This serves two functions. First, it gives the seller an open-book look at the state of their property, which brings attention to any unknown defects and gives them the opportunity to repair/resolve them before listing. Second, assuming no defects, or that defects have been resolved, it gives potential buyers the upfront peace of mind of knowing the home is fit for immediate purchase. They don’t have to spend the time or cost on an inspection or worry about finding issues with a home they’ve fallen in love with.

A final and even lesser-used inspection is the ‘informational’ inspection. This is one that isn’t tied to a conditional purchase. For instance, in a sellers’ market, a competing buyer could make a firm offer to purchase a home foregoing an inspection condition, especially if there doesn’t appear to be much risk of defects (ie. newer home). However, maybe they would still like to gain a thorough understanding of the home’s systems and draw out any deficiencies so they can assess what they might like to fix upfront or budget for down the road. This is truly just for their own information. It doesn’t give them any recourse to ‘get out of the purchase’. In another instance, any homeowner could voluntarily have an inspection done just to check the state of their home - especially if they don't know much about the home's systems or proper functioning, want to be proactive in tending to any issues before they worsen, and/or save for repair costs ahead of time.

It’s important to know that a home inspector is there to do the job for whoever has ordered and is paying for the service. However, that doesn’t mean they sway their observations or findings in favour of that client, be it buyer or seller. A good (ethical) inspector will simply provide an objective report of findings based on their knowledge of building standards, home systems, etc. Whether it suits the buyer or seller in a good or bad way isn’t of their concern.

It is also important to note that there are currently no Canadian federal government regulations in place when it comes to educating or licensing home inspectors. Other than BC and Alberta, there aren’t provincial regulations either. So be leery of choosing just anyone based on close location or low cost. Ontario IS working toward mandatory regulations via the Home Inspection Act, 2017 however this has not been implemented yet.

In the meantime, inspectors can voluntarily obtain designations (ie. Registered Home Inspector (RHI)) and memberships in organizations such as OAHI (Ontario Association of Home Inspectors) or CAHPI (Canadian Association of Home & Property Inspectors) boosting their knowledge, exposure and credibility. These self-regulating organizations help to boost professionalism in and consistency amongst inspectors, as well as public confidence in the industry.

For example, CAHPI membership qualifications include passing the national exam, completion of mentoring with peer evaluation and continuing education. Members are inspecting according to either the CAHPI Standards of Practice or the CSA A770 Home Inspection Standard and are adhering to the CAHPI Code of Ethics.

Using these organizations’ websites to locate a home inspector is good practice in ensuring you are well-served and well-protected.