Pre-Closing Walk-Through Checklist - You Can Do This!

A complete pre-closing walk-through in under 45 minutes: the chronological check-list

We’re often asked for help in the walk-through process.  “What should I look for?” and “How long should it take?” are questions often asked.  We have therefore compiled what we believe to be not only a complete check-list of items, but a chronological tour of the walk-through so that it proceeds smoothly, with no step forgotten.  You will find next to each step an estimated time for those related inspections.

Cycle appliances (:01)

1. Turn on dishwasher, washer and dryer to let them run their cycles
2. Smile nicely at the building representative as you proceed, swallowing any words of contempt you might have for the entire purchase process having taken this long

Move to the kitchen (:03)

1. Turn on the oven – let out a yelping sound pretending to get burned to break the ice
2. Test the microwave – you may bring a popcorn bag to check the power and have something to munch on for the rest of the walk-through
3. Check vent and its associated lights
4. Turn on every burner on the stove and smell for gas
5. Check each kitchen cabinet, ensuring the hinges/drawers slides are operable and lined up evenly
6. Run water in the sink and check that it gets hot
7. Test the garbage disposal – throw your favorite organic material in there for full effect; chicken bones usually do the trick
8. By now, some heat should be felt in the oven, so turn it off

Head over to the bathroom(s) (:05)

1. Run water in all available faucets for a few minutes, with bathtub and sink at the same time, humming the “Singing in the Rain” tune; test for heating time, water pressure and leaking under cabinets or around caulking
2. Flush all toilets
3. Should your apartment/home be so odd to come with a bidet, test it by using it as a drinking fountain
4. Check all tiles for scratches, nicks, cuts, cracks, or chips 
5. Check the caulking everywhere to ensure it’s a neat job and no gaps exist

Do a sweep of all electrical outlets and jacks (:10)

1. Bring a night light to check outlets and switches (test by plugging it in the switched outlet and turning the switch on and off) – you may also bring an outlet tester
2. Make sure all device plates are straight and installed tight to the walls
3. Ensure that light bulbs are installed in all appropriate fixtures and in working condition

Check the heating / cooling units (:03)

1. Make sure all local air conditioning and heating units are working properly and in their different modes
2. Test the HVAC system by turning the thermostat high (for heat) then low (for AC).

Do a sweep of each of these things at once (:15)

1. Go through the whole home so your eye stays trained on one thing at a time, floors first, then walls – take  your time with this one and bring colored masking tape to mark the spots
2. Check that the floors are properly installed and finished with no stains or marks; ask you walk through, feel for any loose boards
3. Should you feel particularly punchy, slide across the wooden floors in your socks like Tom Cruise in Risky Business as you check for board misalignment (pants optional)
4. Check the walls for even paint (particularly between ceiling and walls, behind columns, etc.), ensuring there are no dents, scratches, nicks or discoloration

Exterior facing/related items (:05)

1. Ensure that the door bell is working by ringing it, coming back in, and asking “who is it?”
2. Check that all windows open and close smoothly and are sealed properly
3. Open and close all doors, making sure they don’t scrape the floor and that they close easily
4. Check the intercoms, concierge phone and alarm system without waking up the neighbors

Exchange of materials/items (:01)

1. Kindly turn to the homeowner or listing agent and ask if you have received all of your instruction manuals, directions and warranties (do a quick glance-over, adding “sorry, I just want to check”)
2. Make sure that all the keys are accounted for and ready for delivery after closing

While a checklist is not a substitute for a thorough home inspection, this list is a fantastic tool for getting to know the ins and outs of your new home, especially if the seller has made repairs since your inspection. Despite the liberties we’ve taken on the humor front, we hope that this will be of help to you in the final walk-through process. Feel free to add to this list via your comments – an injection of humor is quite welcome!

Lastly, don’t forget to get everything in writing and … at the end of it all, smile and exhale – you’re about to be the proud owner of your new home!

Please feel free to call TC Home Inspections with questions.  Even if we didn't inspect your home, homes are what we love, and you're questions aren't just welcome, they're enjoyed.

321-723-7322

Remodeling Always Makes Financial Sense...NOT

With a large number of homes for sale, many at amazingly low prices, investors are heading back in to the real estate market, and some adventurous first time investors are testing the waters.  With so many shows on the Discovery and HGTV, flipping is becoming trendy again, but do your research.  Remodeling can dramatically increase the quality of life for building occupants, but if you are considering a remodel strictly as an investment, think twice about it.

Remodeling is rarely a sound monetary investment.

According to a report published by Remodeling Magazine, most remodeling projects add only 60% to 80% of their cost to the home, and no projects, on average, yield any positive return. Home upgrades are thus more accurately described as consumer spending than as true investments, which ordinarily have a decent chance of seeing some kind of profit.

Source: Remodeling Magazine, 2008
Project	% of Cost  Recouped in Resale
deck addition	81.8%
minor kitchen remodel	79.5%
bathroom remodel	70.7%
master suite addition	66%
home office addition	54.6%

As the report deals only with averages, it is still possible for individual remodeling projects to yield positive returns. A wooden deck added to a mid-range house on the Pacific coast, for instance, will add more value than the construction costs nearly half of the time. Even the most wasteful of the projects analyzed by the study, such as the addition of a sunroom or a backup power generator, are bound to reap a profit in rare instances. Also, remodeling projects are more likely to be profitable in houses that are inexpensive for their neighborhood. But, by and large, remodeling projects should be undertaken to improve quality of life for household occupants, not strictly as monetary investments. While you will lose more than a third of what you put into a family room addition, for instance, maybe your family will enjoy the addition enough to more than counter its expense.

Remodeling is also a cheap alternative to house-swapping, which can cost 10% of your current house's value to real estate commissions, moving costs, and selling expenses. If your home update would cost less than the costs accrued by house-swapping, or if you can’t live outside your current neighborhood, the remodeling project might be worthwhile. If you do choose to remodel your house, as always, have the project inspected by an InterNACHI inspector.

Remodeling Mistakes

If you are committed to remodeling in order to add resale value to your home, avoid the following mistakes:

• upgrading your house in any way that will make it bigger or fancier than most others in your neighborhood, as such remodels are unlikely to add much value;
• adding pools or spas, as they repel as many buyers as they attract, in most markets. These upgrades often require maintenance that buyers don’t want to hassle with, and they pose a drowning risk to young children. Ask your InterNACHI inspector during your next inspection about remodeling projects that prospective buyers may find dangerous.
• indulging in your personal tastes rather than aiming to please prospective buyers. Bold statements, such as brightly colored appliances, will repel many buyers.
• trusting TV shows that are based on the premise that remodeling is a true monetary investment. These shows are successful if people watch them, not if their claims are based in reality. Buying anything at retail cost and hoping to resell it at a profit – especially in the future, when the item or project has become dated – is rarely a winning financial strategy.
  

Low-Cost Alternatives to Remodeling

Real estate agents often recommend the following fixes, as they are likely to return more than their cost:

• Refurbish rather than replace. Refinishing or re-facing cabinets is usually less expensive than it costs to replace them. Re-glaze sinks and tubs to extend their lives and avoid the high price of replacing them.
• Rethink how you use space. While adding floor space may seem like a reasonable way to deal with a space crunch, you can probably achieve the same result by ditching the clutter. An off-site storage unit can be used to free up space in your house.
• Re-purpose a room. Never use the guest bedroom? Maybe you can turn it into an office or a dining room instead.
• Paint. Paint can transform the look of a room or house, and it is inexpensive and relatively easy to apply. Hire a professional or do it yourself.
• Brighten the house by removing heavy curtains, washing windows, and trimming back branches and bushes that cover windows.
• Deep-clean. Scour your house from top to bottom.
• Clean up landscaping. Trim bushes and hedges, rake leaves, clear downed branches, plant flowers and replace mulch.
• Use staging techniques. Rearrange furniture and décor to highlight the positive aspects of the room and create an inviting space. While you can do this one your own, professional staging services are contracted to tweak color and furniture to create an emotional appeal. Consider that a large segment of prospective home buyers will preview homes on the Internet, and staging can dramatically enhance a first impression.
  
  

In summary, remodeling is often a bad investment strategy, and inexpensive alternatives may achieve the same end.

Three Deadly Mistakes Every Home Buyer Should Avoid

Thinking of buying a home?  Avoid these pitfalls for a successful start.

"No, honey, I'm sure it's fine.  Realtors and
home inspections are totally overrated."

Deadly Mistake #1: Thinking you can't afford it. 
  
Many people who thought that buying the home they wanted was simply out of their reach are now enjoying a new lifestyle in their very own homes.  
  
Buying a home is the smartest financial decision you will ever make.  In fact, most homeowners would be broke at retirement if it wasn't for one saving grace -- the equity in their homes.  Furthermore, tax allowances favor home ownership. 

Real estate values have always risen steadily.  Of course, there are peaks and valleys, but the long-term trend is a consistent increase.  This means that every month when you make a mortgage payment, the amount that you owe on the home goes down and the value typically increases.  This "owe less, worth more" situation is called equity build-up and is the reason you can't afford not to buy. 
  
Even if you have little money for a down payment or credit problems, chances are that you can still buy that new home.  It just comes down to knowing the right strategies, and working with the right people.  See below. 
  

  

Deadly Mistake #2: Not hiring a buyer's agent to represent you. 
  
Buying property is a complex and stressful task.  In fact, it is often the biggest, single investment you will make in your lifetime.  At the same time, real estate transactions have become increasingly complicated.  New technology, laws, procedures, and competition from other buyers require buyer agents to perform at an ever-increasing level of competence and professionalism.  In addition, making the wrong decisions can end up costing you thousands of dollars.  It doesn't have to be this way! 
  
Work with a buyer's agent who has a keen understanding of the real estate business and the local market.  A buyer's agent has a fiduciary duty to you.  That means that he or she is loyal only to you and is obligated to look out for your best interests.  A buyer's agent can help you find the best home, the best lender, and the best home inspector in your area.  That inspector should be an InterNACHI-certified home inspector because InterNACHI inspectors are the most qualified and  best-trained inspectors in the world.

Trying to buy a home without an agent or a qualified inspector is, well... unthinkable. 
  
  
Deadly Mistake #3: Getting a cheap inspection. 
  
Buying a home is probably the most expensive purchase you will ever make.  This is no time to shop for a cheap inspection.  The cost of a home inspection is small relative to the value of the home being inspected.  The additional cost of hiring a certified inspector is almost insignificant by comparison.  As a home buyer, you have recently been crunching the numbers, negotiating offers, adding up closing costs, shopping for mortgages, and trying to get the best deals.  Don't stop now!  Don't let your real estate agent, a "patty-cake" inspector, or anyone else talk you into skimping here.   
   
InterNACHI front-ends its membership requirements.  InterNACHI turns down more than half the inspectors who want to join because they can't fulfill the membership requirements.  
  
InterNACHI-certified inspectors perform the best inspections, by far.  InterNACHI-certified inspectors earn their fees many times over.  They do more, they deserve more and -- yes -- they generally charge a little more.  Do yourself a favor...and pay a little more for the quality inspection you deserve.