Who Pays for a Home Inspection? Buyer or Seller?

A home inspection is an evaluation of a property’s condition by a licensed inspector, to identify issues with its structure, systems, and integrity. This assessment helps buyers understand a home’s condition before a significant financial commitment. Inspectors examine components like the roof, foundation, plumbing, electrical, and HVAC systems, to uncover defects. The report provides a detailed overview, flagging items that may require repair or replacement due to safety concerns or wear.

The Buyer’s Primary Responsibility

In most real estate transactions, the homebuyer is responsible for scheduling and paying for the home inspection. The inspection primarily serves as a due diligence step for the buyer. It provides a comprehensive understanding of the property’s condition, protecting their investment and informing their purchase decision. A standard home inspection costs $300 to $500, though prices vary based on the home’s size, age, and location. This fee is paid directly to the inspector at the time of service, rather than being rolled into the mortgage or closing costs.

Scenarios Where the Seller May Contribute

While buyers cover the inspection cost, a seller might contribute or pay for the home inspection in several situations. One common scenario involves pre-listing inspections, where sellers hire an inspector before putting their home on the market. This allows them to identify and address issues upfront, leading to a smoother transaction and a higher sale price. A pre-listing inspection also builds buyer confidence and reduces last-minute negotiation delays.

Sellers might agree to cover inspection costs as part of sales contract negotiation. This occurs if significant repairs are needed, or if the buyer requests it as a concession. In a buyer’s market, sellers may offer incentives, including paying for the inspection, to attract offers and expedite the sale. Alternatively, a seller might provide a credit at closing that offsets the inspection fee or contributes towards other buyer costs. These seller credits can cover various closing costs, and sometimes repair costs, though limits may apply based on loan type.

Understanding Associated Costs

Beyond the general home inspection fee, additional costs can arise during the inspection process. Specialized inspections, such as for radon, mold, pests, or sewer lines, are not included in a standard home inspection and incur separate fees. These specialized assessments are initiated and paid for by the buyer, especially if recommended by the general inspector or if specific concerns exist. Costs for these vary widely, from $50 for a termite inspection to several hundred dollars for radon or mold testing.

Re-inspection fees may apply if a buyer requests the inspector to verify that agreed-upon repairs have been completed. This fee is a smaller amount than the original inspection and is paid by the buyer. While the main inspection fee is a direct out-of-pocket expense, other minor fees, like travel charges for remote properties, could be added.