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August 8, 1992
"Problems avoided with probe of house by buyer, inspector" By Frank King Chris Oddy’s about to buy a house. And he probably knows its good and bad points better than the people selling it to him. Oddy spent more time with Darcy MgGregor, an inspector with Home-Alyze, peering at wiring, checking out furnace and hot water tank guts, investigating roofing and generally going over everything possible. Among the things he found out is the house, in the northwest community of Varsity, has good wiring, bad basement plumbing and a furnace nearing replacement time. The cost for learning this? $300. And Oddy doesn’t regret a penny. “My parents bought a home and ran into a few problems,” he says explaining why he hired an inspector. “I also had a friend who had a pre-purchase inspection done, and ended up not buying because of the report.” The average inspection is surprisingly thorough. In Oddy’s case, McGregor spent an hour in the basement alone, explaining the wiring system as he examined the breakers, informing Oddy of upgrades in the provincial building code and advising that greater clearances are needed between gas and water lines feeding the hot water tank. McGregor used a hand-held electrical plug light to check every electrical outlet upstairs and brought along a water pressure tester for the kitchen sink faucet. All that was before he took Oddy up on the roof to check shingle conditions. These procedures take time. While Oddy’s inspection required about two hours, a three-or four-hour job is not unheard of. It all depends on the age of house, its size and how much consultation is required with the client. “If you spend less than two hours on a job, then it’s just a walk-through and that’s a waste of time,” says Clyde Johnson of Johnson and Sons, another inspection firm. Roofing, furnaces, basement water leakage and damage from renovations are among the biggest potential problem areas discovered by inspectors. “Additions or renovations often result in walls being removed,” says Johnson. “You have to know which ones to take out. I was in a house last week where the back wall of the garage was removed for an addition (As a result), you could see the roof was sagging.” Shoddy wiring is another trouble spot, with Johnson noting “I’ve been jolted a few times from electrical work done by homeowners.” Johnson and Sons is one of 22 companies listed in the Yellow Pages as specializing in at least some aspects of pre-purchase home inspections. That alone is proof it’s becoming a big business. “It’s growing like a wildfire all over the continent,” says Peter Salmon, president of the Home-Alyze’s Calgary operation. “People are realizing they should know more about what they’re buying. And to consider purchasing a $150,000 home, but spending $300 on an inspection first, is not unreasonable.” For many companies a key factor in a successful inspection is having the client along for the ride – even if it’s inconvenient for the client and results in an inspector being late for his or her next appointment. “We almost insist the potential buyer accompany us,” says Salmon. “That person then has the opportunity to ask questions about something, and have them answered while he’s looking at it. “That does take us more time, but it’s worth it if the purchaser is going to understand what they’re buying. We’ve tried doing inspections without the client, and they’ve rarely worked.” Once the inspection is done, the client received a written report – usually a minimum of 20 pages – with priority list of repairs and estimated costs. Home-Alyze offers an alternative – a 400-page home reference binder that includes the report. Neither report method changes the price. Johnson & Sons, Home-Alyze and most other firms base their fees on home size and age, as it relates to the time needed for an inspection. Jobs range from about $250 to $500, with a $300 average. “There are a few guys who’ll do it for $50, but you get what you pay for,” says Salmon. “Some guys will give you a three-page checklist, but if you don’t remember what the inspector said during his rounds, then the checklist becomes useless after awhile.” Home-Alyze often works for real estate firms. Johnson & Sons has inspected for insurers. But both companies emphasize their impartiality. “being neutral is the key,” says Salmon. “We call a spade a spade and if that affects somebody’s interests, we can’t worry about it. We’ll tell them what we find and that’s the end of the story.” This means inspection firms are often called on to testify in litigation cases between homeowners and builders.
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