Everything you need to know about home inspections, from what inspectors check to how findings affect your purchase decision.
NMHL Team2026-02-0513 min read
Why Home Inspections Matter
A home inspection is one of the most important steps in the homebuying process, providing a detailed assessment of a property condition before you finalize your purchase. A qualified home inspector examines the major systems and structural components of the home, identifying existing problems, potential safety issues, and maintenance items that may require attention. The inspection gives you critical information that may not be visible during a casual walkthrough, empowering you to make an informed decision about proceeding with the purchase. Without an inspection, you risk inheriting expensive problems that could cost thousands or even tens of thousands of dollars to repair. Common issues discovered during inspections include foundation cracks, roof damage, outdated electrical wiring, plumbing leaks, HVAC system failures, water damage, mold, pest infestations, and structural deficiencies. Many of these problems are hidden behind walls, under floors, or in areas that are not easily accessible. The cost of a standard home inspection typically ranges from $300 to $500, depending on the size and location of the property. This is a small investment compared to the potential cost of undiscovered repairs. While home inspections are not typically required by lenders for conventional loans, they are strongly recommended. FHA and VA loans have their own property inspection standards that must be met. Most purchase agreements include an inspection contingency that allows you to renegotiate or withdraw from the deal based on inspection findings.
According to industry data, approximately 86% of home inspections reveal at least one issue that needs attention. The average cost of repairs identified during an inspection is $11,000.
Key Tips
Never waive the inspection contingency to make your offer more competitive without understanding the risks
Attend the inspection in person to see issues firsthand and ask questions
Budget $300-$500 for the standard inspection plus additional costs for specialized inspections
What Home Inspectors Check
A standard home inspection covers the major visible and accessible systems and components of the property. The inspector examines the structural elements including the foundation, walls, floors, ceilings, and roof structure for signs of damage, settling, or deterioration. The roof inspection covers shingles or other roofing materials, flashing, gutters, downspouts, chimneys, and any visible signs of leaks or damage. The exterior inspection includes siding, trim, windows, doors, decks, porches, driveways, grading, and drainage patterns. Inspectors look for proper water management that directs moisture away from the foundation. The electrical system is evaluated for the type and condition of wiring, the electrical panel capacity and condition, the operation of outlets and switches, the presence of ground fault circuit interrupters in wet areas, and any visible code violations. Plumbing is checked for pipe material and condition, water pressure, drain flow, water heater condition and age, and any signs of leaks. The HVAC system inspection covers the furnace, air conditioning, ductwork, filters, and thermostat operation, along with the estimated age and remaining useful life of the equipment. Interior elements including walls, ceilings, floors, windows, doors, and built-in appliances are inspected for proper operation and visible damage. The attic is checked for insulation levels, ventilation, and any signs of moisture or pest activity. The inspector documents all findings with photographs and detailed descriptions in a comprehensive report.
Key Tips
Ask the inspector about the estimated remaining life of major systems like the roof and HVAC
Pay special attention to moisture-related issues as water damage is the most common and costly problem
Note the age of major components to plan for future replacement costs
Specialized Inspections to Consider
A standard home inspection covers a broad range of systems but does not include specialized assessments that may be important depending on the property and location. Radon testing measures the level of this naturally occurring radioactive gas that can seep into homes through the foundation. Radon is the second leading cause of lung cancer and is present in elevated levels in many areas. Testing costs $100 to $200 and is recommended for all homes with below-grade living space. Termite and wood-destroying insect inspections are often required by lenders and are critical in areas prone to pest activity. This inspection identifies active infestations, past damage, and conditions conducive to future problems. Costs typically range from $75 to $150. Mold testing may be warranted if the standard inspection reveals signs of moisture problems or musty odors. A mold inspector takes air and surface samples that are analyzed in a laboratory. Costs range from $300 to $600 depending on the scope. Sewer line inspection uses a camera to examine the condition of the main sewer line from the house to the street connection. Older homes with clay or cast iron pipes are particularly susceptible to root intrusion, cracks, and blockages. This inspection costs $200 to $400 and can save you from a repair bill of $5,000 to $15,000 or more. Well and septic inspections are essential for properties not connected to municipal water and sewer systems. Well testing checks water quality and flow rate, while septic inspections evaluate the tank and drain field condition. Environmental assessments may be needed for older homes to check for lead paint, asbestos, or underground storage tanks.
Sewer line inspections are one of the most overlooked but valuable specialized inspections. A failed sewer line can cost $5,000 to $25,000 to replace, making the $200-$400 inspection a worthwhile investment.
Key Tips
Always get radon testing if the home has a basement or crawl space
Request a sewer line camera inspection for homes built before 1980
Ask your real estate agent which specialized inspections are most important in your area
Understanding the Inspection Report
The home inspection report is a detailed document that categorizes findings by severity and system. Reports typically classify items into several categories: safety hazards requiring immediate attention, such as exposed wiring, missing handrails, or non-functional smoke detectors. Major defects are significant issues that are expensive to repair and affect the habitability or value of the home, such as foundation problems, roof failure, or a failed HVAC system. Minor defects are smaller issues that are inexpensive to fix and are normal for a home of its age, such as a dripping faucet, a sticking door, or a missing outlet cover. Maintenance items are not currently problems but will need attention to prevent future issues, such as caulking that needs replacing, a filter that needs changing, or gutters that need cleaning. Informational items provide context about the home systems without indicating a problem, such as the type of wiring, the age of the water heater, or the location of the main water shutoff valve. Focus your attention and negotiation efforts on safety hazards and major defects, as these represent the most significant financial risk. Minor defects and maintenance items are typically the buyer responsibility and are expected in any home. When reviewing the report, ask the inspector to clarify anything you do not understand and to prioritize the most critical findings. Many inspectors are willing to walk you through the report by phone after delivering it.
Key Tips
Focus negotiations on safety hazards and major defects, not cosmetic or minor issues
Ask the inspector for repair cost estimates to help with negotiation strategy
Keep the report for future reference as a guide for home maintenance and improvements
Negotiating After the Inspection
The inspection report gives you leverage to negotiate with the seller before finalizing the purchase. There are several approaches to handling inspection findings. You can request that the seller make specific repairs before closing. This is most appropriate for safety hazards and major defects. Be specific about the repairs needed and require that they be completed by licensed professionals with documentation provided. You can request a price reduction to account for the cost of repairs you will handle after closing. This approach gives you control over the quality of repairs and the contractors used. Get estimates from licensed contractors to support your request. The seller may offer a credit at closing, effectively reducing your closing costs by the amount needed for repairs. This is similar to a price reduction but structured differently. For significant issues, you may renegotiate the purchase price to reflect the true condition of the home. If the inspection reveals problems that fundamentally change the value proposition, a meaningful price reduction may be appropriate. If the inspection reveals deal-breaking issues such as severe structural damage, extensive mold, or environmental contamination, you can exercise your inspection contingency and withdraw from the purchase with your earnest money deposit returned. Be strategic in your negotiations. Requesting repairs for every minor item in the report can frustrate sellers and derail the transaction. Focus on items that genuinely affect the safety, habitability, and value of the home. Approach negotiations collaboratively rather than adversarially for the best outcomes.
Focus your repair requests on items that are safety hazards, structural issues, or would cost more than $500 to fix. Requesting fixes for every minor item can cause sellers to push back or become uncooperative.
Key Tips
Get contractor estimates for major repairs to support your negotiation position
Prioritize safety and structural items in your repair requests
Consider a closing credit instead of seller repairs to maintain control over the work quality
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Frequently Asked Questions
A standard home inspection typically costs between $300 and $500, depending on the size and location of the property. Larger homes, older homes, and properties in high-cost areas may be at the higher end. Specialized inspections like radon, termite, mold, and sewer line inspections are additional costs ranging from $75 to $600 each.
There is no pass or fail result for a home inspection. The purpose is to inform you about the current condition of the property. Every home has some issues. The inspection report helps you understand what those issues are, their severity, and the potential cost of addressing them, so you can make an informed purchase decision.
Yes, attending the home inspection is highly recommended. Being present allows you to see issues firsthand, ask the inspector questions in real time, learn about the home systems and maintenance needs, and understand the severity of any problems. Most inspections take 2 to 4 hours depending on the size and condition of the home.
If the seller refuses to make requested repairs, you have several options. You can accept the home as-is and handle repairs yourself after closing. You can counter with a request for a price reduction or closing credit instead. You can walk away from the deal using your inspection contingency and receive your earnest money back. Or you can negotiate a compromise that addresses the most critical items.
Look for inspectors certified by organizations like the American Society of Home Inspectors or the International Association of Certified Home Inspectors. Ask for sample reports to evaluate their thoroughness. Read online reviews and ask your real estate agent for recommendations. Verify they carry errors and omissions insurance. Avoid inspectors recommended by the seller or the listing agent.
