Should I Waive a Home Inspection Contingency?

Brid Mortamais June 17, 2023

Deciding whether or not to waive a home inspection contingency is a significant decision that should be carefully considered. The home inspection contingency is a clause in a real estate contract that allows the buyer to have a professional home inspection conducted within a specified timeframe. It provides an opportunity to identify any potential issues with the property before completing the purchase.

Here are a few factors to consider when deciding whether to waive the home inspection contingency:

Property condition: If the property appears to be in excellent condition, recently renovated, or newly constructed, you might feel more comfortable waiving the inspection contingency. However, keep in mind that even seemingly well-maintained properties can have hidden issues that may not be immediately apparent.
Risk tolerance: Assess your risk tolerance and your ability to handle unexpected repairs or issues that may arise after the purchase. An inspection can provide valuable information about the property's condition and help you make an informed decision.
Seller's disclosure: Review the seller's disclosure statement, which outlines any known issues with the property. However, note that sellers may not always be aware of all existing problems, and some may choose not to disclose certain issues.
Cost of repairs: Consider the potential cost of repairs or renovations if issues are identified during the inspection. Factor in these costs when determining the overall value and affordability of the property.
Alternative options: If you're hesitant to waive the inspection contingency entirely, you can explore other options, such as conducting a limited inspection focused on specific areas of concern or negotiating with the seller to address any significant issues discovered during the inspection.

It's generally advisable to have a professional home inspection conducted, as it provides valuable insights into the property's condition and helps you make an informed decision. However, in certain situations where you're confident about the property's condition or have alternative safeguards in place, you may choose to waive the inspection contingency. Consider consulting with a real estate professional or an attorney who can provide guidance based on the specific details of your situation.