Home Condition Reports, HCR’s

 

 

Home Condition Report contains information about the physical condition of a property, which sellers, buyers and lenders will be able to rely on legally as an accurate report.

It is similar to a Homebuyer Survey and can let the seller and buyer be aware of any works or repairs that are needed to the property.

The report:

· must be carried out by a certified Home Inspector

· must be written in plain English and not include technical jargon

· gives you comprehensive information on work or repairs needed to the property, reducing the chance of nasty surprises later on

Condition rating	Definition
Œ	No repair is currently needed. Normal maintenance must be carried out.
�	No repair is currently needed. Normal maintenance must be carried out.
Ž	These are defects which are either serious and/or require urgent repair or replacement.
NI	Not inspected (See important note below)

Important note

The inspection is ‘non-invasive’. This means that the Home Inspector does not take up carpets, floor coverings or floorboards, move furniture or remove the contents of cupboards. Also, the Home Inspector does not remove secured panels or undo electrical fittings.

The Home Inspector will say at the start of sections D, E and F of the report if it was not possible to inspect any parts of the home that are normally reported on. If the Home Inspector is concerned about these parts, the report will tell you about any further investigations that are needed. The Home Inspector does not report on the cost of any work to correct defects or how repairs should be carried out. Some maintenance and repair may be costly.

Benefits of a Home Condition Report

Sellers

You have an early opportunity to carry out repair work on the property or get quotes before marketing your property. By giving buyers a clearer idea of your property, it reduces the risk of a buyer pulling out later in the process due to an unforeseen problem and gives your property an additional selling point.

Buyers

If the seller has included a Home Condition Report, you can use it at the beginning of the home-buying process to reduce the risk of being faced with unexpected repair bills and other surprises when you buy the property.

Buyers and their mortgage lenders have a legal right to rely on the report, so you can give the report to lenders when they make their valuation. This means they may not have to repeat a detailed site inspection at your cost.

Sample