A certified previously owned home is as good and as close as it can get to the new home warranty. The new homes go though an inspection process and the builder has to warrant the home for as much as 10 years either directly or through a third party.
Although most states have a warranty programs for other new and pre-owned valuables like an automobile or a boat etc, but it is not so for “pre-owned homes”. We are members of COPCHI, which has teamed up with the American Bureau of Certification, to underwrite a certification program for the “Pre-Owned homes” similar to the “New Home Warranty”. Certification standardizes the process of home inspection with a warranty on it, which is easily understood both by the sellers and the buyers alike. Certification is backed by an assurance of accuracy and completeness of inspection and a warranty of performance by a major third party warranty carrier. This certification report is issued prior to the purchase negotiations so that there would be no renegotiation after wards.
In the event, if the buyer wants to have the inspector familiarize them with the purchase, we will return to do so for a small fee. We can also undertake many other types of inspections such as private septic etc. In the even that the buyer still chooses to employ any of their own State Licensed inspector, we warrant to the buyer that we shall repair the major visual defect, if found and documented in writing by the State licensed home inspector, and it was not listed in our certification but was covered under the State protocols, that we shall undertake such repairs and fund the said allegedly newly found major visual defect’s repairs, above the threshold, after the deductible has been received from the buyers.
What if the inspection reveals a Major Visual Defect (MVD) in the home at the time of first certification?
The first party (seller) has the option to correct the deficiency, or list it as a deficient component, and let the other parties (buyers) decide later, as to which party will make it good and at what time frame. The seller can credit that amount to the buyer for letting the buyer undertake the repairs themselves later on. How ever at the very least there are no surprises at the last minute for the seller or the buyer, when all parties would have been under pressure to resolve.
What happens if the defect is detected after the Certification?
There is a warranty on the components for a minimum period of about 90 days which can also be extended. Generally there are warranty deductibles which are minimal like $ 10.00 for small appliances of value up to $ 500.00. For some warranty companies, the maximum deductible is of $ 100.00 for large value repair of above $ 2,500.00 for may be like a roof or heating system etc. For more details, please see the warranty company terms and conditions.
Who Pays for the Certification?
It can be any one. Typically the entity calling for it, pays for the certification, generally it is seller, but in some cases it can be sellers representative or the buyer.
What if a buyer is interested in buying a home that has not been certified as yet?That is easy. If the buyer and or buyer’s representative were to call us (or email us) and or the seller to get a certification on a home that they intend bidding on, most home sellers generally agree to it . The buyer generally would not have to pay for the home inspection. Sellers can use that certification to show to as many buyers as they wish.
Please contact us for more details
