A question came to the board office regarding the new home inspection law. We were asked to share with everybody for clarity: Q. If the buyer chooses to waive their inspection, can that choice be communicated in any way to the seller or their agent in advance or at the time of an offer? Whether in writing or verbally through the buyers agent?
A. The buyer’s agent or buyer can’t say to the listing agent or seller “we love this house and don’t worry, we don’t need an inspection” or “we are waving our inspection” before submitting an offer, nor can you do it on the actual purchase agreement, whether it’s an offer to purchase or purchase & sale. This is to ensure that the seller is not making a decision about the offer based on the buyers willingness to wave or need to conduct an inspection.
We are a “buyer beware” state (no seller’s disclosure about defects is required, only agent-known material defects) and during the fast pace market in Covid years, the only way many buyers could be competitive was to waive their right to inspect. Right or wrong, lawmakers are trying to give primary residential buyers the ability to inspect and not be penalized or lose the opportunity to purchase a home because of their need to understand what is wrong with it before moving forward.
Contract updates and the final form that must be provided are still being developed.