If you have ever had any experience with buying a home, the term “home inspection” is probably not new to you. It is a common requirement among mortgage lenders and home insurance providers. The thought of having one does cause some people some discomfort as the word "inspection" sounds quite formal. Learning what exactly a home inspection is, what it entails, and how one can benefit you can make the process less stressful.

What is the Purpose of a Home Inspection?

When most people think of a home inspection, they think of someone checking a home for code violations. This is not actually the case, though. Homes built in the 1960s would generally not hold up to the code of today, so judging all homes on the same code is not a fair practice.

Instead, a home inspection focuses on the components of each home and determines whether those particular components are safe. Inspections provide an overview of the condition of components such as roofing, plumbing, the structure, electrical, and air conditioning. Components that are underground or enclosed are not inspected.

More importantly, though, it can help provide insight to the homebuyer in the following ways:

• It can point out any issues the home has. Buying a home is an emotional process and can cloud the judgment of the homebuyer. A home inspector can help cut through those clouds so that the buyer has an overall view of the home- not just the good parts.

• The issues an inspection points out can help a buyer make wise, educated decisions. The fact that a house has issues is not usually a problem. The home inspector can point them out, tell the buyer whether or not it is fixable, and even inform them of the steps to take to get them fixed. With this information, the buyer can decide if they want to proceed with the home, renegotiate the price accordingly, and make the necessary arrangements to get the issues fixed. Not knowing is where the trouble comes in.

• A home inspector is an unbiased party. Since the home inspector has no “skin in the game” so to speak, the buyer can trust the assessment. Whether you buy the home does not affect him or her, so you can expect their report to be unbiased.

Key Largo Real Estate Home Inspection Reports

While there are many reports that a home inspection can provide, two important inspections for insurance purposes are Windstorm Mitigation and a 4 Point Inspection.

Windstorm Mitigation Report

Florida Keys real estate is an important aspect of a home inspection. This report outlines any type of mitigating features a home has to protect it from hurricane-force wind and can actually cut a buyer’s insurance rates. Insurance companies actually start by rating all houses as a non-protected house.

Any windstorm protection feature on the home will then decrease that rate. Some helpful features that can get the buyer credits are impact-rated windows, storm shutters, doors, and a well-attached roof. The features must also be verifiable, meaning that they have labeling or etching that states they meet the requirements. However, it is important to note that if all of your windows and doors are not impact rated, you do not get the credit- it is an all or nothing credit.

In order to get credit for solid doors, they must be outswing doors that are locked with a one-inch throw deadbolt and have been tested for an impact rating. If these features are not already present in the home, consider adding them prior to the inspection. In almost all cases, the savings you will receive on your insurance far outweigh the cost of these improvements.

4 Point Inspection

A 4 point inspection is common among Key Largo houses for sale that is 30 years old or older, though some companies ask for them on 20-year-old homes, as well. This inspection helps the insurance company understand how much risk they are taking on by insuring this home. The point of it is to show what has been updated and what has not since the home was built. If everything is original, you can expect the insurance rates to be higher.

Waterfront Properties

Key Largo homes for sale waterfront properties can also have dock and seawall inspections done. These inspections check the structure to determine the condition. They take note of anything that looks like it is failing or may fail in the near future. Seawall inspections also check for potential erosion behind the wall that could cause problems in the future.

Mobile Home Inspections

Inspections for mobile homes are different from inspections for other homes. Mobile, or manufactured, homes are not designed to hold up like other Florida Keys real estate, so there is no windstorm mitigation available for them. This does not mean that you should not add storm protection to a mobile home- just that it will not affect your insurance rates.

It is still wise to get a home inspection on a mobile home even if it does not get you any insurance credits. Insurance companies are starting to do spot checks on mobile homes to determine if the roof overstrapping goes all the way around the home or not. It is better to have that overstrapping checked ahead of time so that your insurance company does not cancel your policy.

Condos and Townhomes

Inspections for condos and townhomes are similar to home inspections, but there are a few differences. As the condo association’s insurance covers external and common areas, the condo owner only needs to protect their unit. Therefore, a condo inspection typically only includes an opening-only inspection, referring mostly to the windows. The inspector will make note of whether the windows are protected so the condo owner can get a policy to protect the contents of the unit.

Townhome inspections vary slightly according to how the units are set up. If each townhome has its own roof, the roof will be inspected. If the townhomes are set up like condos, they will be inspected as condos are. In both cases, if the inspector notices issues with the structure, even if that structure is not the responsibility of the buyer, he or she will make the buyer aware of the issues so that they can make an informed decision.

A home inspection is a vital step in the home buying process. Though it does not typically take long for the inspection process, it is best to schedule your inspection as early in the due diligence step as possible. The earlier your inspection is complete, the longer you have to compare insurance rates and companies as well as negotiate the price of the home to include any repairs.