Not all terms for home inspections are the same

Although home inspections are less common in New York City than elsewhere, they are essential in certain cases.

Sparing the expense of several hundred dollars, a buyer is particularly unwise to be pound foolish in the purchase of new apartment or single-family house, whether old or new.  Inspections are especially useful for with respect to apartments in small buildings, on top floors and on ground floors.

(The BrickUnderground Web site recently provided a helpful home inspection checklist.)

An important question facing prospective purchasers is how to achieve the inspection with maximum protection and minimum chance to have sellers reject their offers.

Because the time between making an offer and signing a binding contract easily can last one or two weeks here in New York, one approach

Sellers must keep their priorities in mind

Buyers don’t need a professional inspection to cite defects. (Flickr photo by Landahlauts)

There’s more than one way to lose a buyer, and today’s post centers on a common one — that pesky “as is” clause.

Contracts for the sale of condos and co-ops in Manhattan and elsewhere in New York City generally include the clause, which stipulates that the buyer accepts the apartment “as is.”  If the clause is not included, contingency language allows the buyer to cancel the contract in the event that the seller doesn’t agree to remediation.

Including an “as is” clause, especially for units in new buildings, shifts risk from the owner to the buyer.  And the risks — e.g. shortcomings in workmanship or code issues — are manifold in new developments.  So be it: caveat emptor.