As the agent of the "For Sale By Owner" home, you will need to be aware inspections are required by most contracts. A standard sales contract allow the Buyer to have several inspection conducted on the home and property. Sales can fall through if the inspection result in some unexpected bad news.
The inspections to expect are as follows:
General Inspection: This inspection makes sure all major appliances, heating, plumbing, air-conditioning and electrical systems are in working condition. The Seller is required to keep all of it in working condition until closing. The "For Sale By Owner" seller is responsible for any needed repairs.
Roof Inspection: The "For Sale By Owner" seller can be liable to make repairs for leaks or any other damage to the roof up to 3% of the sale price, especially in areas of heavy snow.
Termites and other Wood Destroying Organisms: States will differ on the liable party in this situation. Some states require the buyer to pay for the inspections, but the seller is responsible for up to 3% of the purchase price in repairs.
In other states, the "For Sale By Owner" seller is responsible for providing the buyer with a certificate guaranteeing the home is clean and termite free. A licensed pest control company must provide this letter or certificate. These inspections run less than $100 in most cases.
There is a time limit for these inspections to be completed in most sales contracts. When the time limit has passed, the buyer forfeits the right to these inspections. If the inspection is completed during the time allowed, the results will be sent to the seller.
As the "For Sale By Owner", you want to avoid any unforeseen surprises that come with these inspections, you can hire an inspector to get a written report on the condition of your home. You should be able to save money on the repairs pointed out by the inspector you hire than if the buyer’s inspector points it out. There is a service called the Home Inspector Locator, which will help you find an inspector in your area. The cost of hiring your own inspector usually runs around $200 in most cases.
You could also sell the home "as is", but you will probably have to take a lower price for your home. As the agent of the "For Sale By Owner" home, you must ensure the stipulation of the sale of the house is "as is", is written in the sales contract.
