Final Inspection Before Settlement: What to Expect
The final inspection is usually a very exciting day for both buyer and seller, as it marks the final stretch before the property sale becomes official.
Before the transaction is absolute, your buyer is entitled to at least one final inspection, which usually occurs within the week before your settlement date. You, as the seller, have the right to be there and your buyer has the right to bring up to two people unless otherwise agreed.
What do Buyers Look for During the Final Inspection?
The final inspection (also known as a pre-settlement inspection) is your buyer’s final opportunity to check that the property is in good condition and raise any remaining issues before officially taking ownership of the property.
As such, your buyer will likely check for cleanliness and that the property is in working order, especially the plumbing and electrical. Buyers also usually check that any agreed conditions have been met. This may include verifying that any inclusions and/or exclusions are in line with your contract, and that all required adjustments and repairs have been made.
What Happens if My Buyer Finds an Issue?
The general rule of thumb is the property must be in the same condition as it was when your buyer signed the contract. There is room for reasonable wear and tear, however, your buyer has the right to raise any significant issues and request that they be resolved before the transaction is final. In this case, your respective legal representatives will work together to find an acceptable solution for both parties.
In most cases, any issues raised from the final inspection are easily resolved before settlement. So long as you stay true to your initial agreement and keep the property intact, the final inspection will be seamless, and your sale will go through successfully without a hitch.
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