The inspection tells you what condition the home is in. The appraisal tells your lender what it’s worth. Both happen between the accepted offer and closing, and both can change your deal. Here’s what to expect and how we help.
The home inspection
In New York, home inspectors must be licensed by the state. You hire and pay the inspector, and the report belongs to you. Schedule it right after your offer is accepted, before you sign the contract, because most NY contracts are “as is.”
What a standard inspection covers
- Roof, gutters, and exterior
- Foundation, basement, and signs of water
- Heating, hot water, plumbing, and electrical
- Windows, doors, attic, and insulation
- Safety items like smoke and carbon monoxide detectors
Extra tests to consider
- Termites and wood-boring insects, often required by lenders for houses
- Buried oil tank sweep for older houses that heated with oil
- Sewer line camera, especially with older homes and big trees
- Lead paint for homes built before 1978
- Radon, more common as a concern in parts of Westchester
- Well and septic if the home isn’t on city water and sewer
Co-ops and condos
You’re buying the inside of the unit, and the building handles the roof, boiler, and structure. A shorter unit inspection still makes sense: check the electrical panel, plumbing, windows, and appliances. For the building itself, the financials and board minutes matter more than an inspector. See Understanding Contracts & Disclosures.
After the report
- Separate safety and big-ticket items (roof, boiler, foundation, electrical) from cosmetic ones.
- Get repair estimates for the big items.
- Ask for a price reduction or a credit at closing. Sellers rarely agree to do repairs themselves, and credits are easier to verify.
The appraisal
If you’re financing, your lender orders an appraisal to confirm the home is worth what you’re paying. The appraiser compares recent nearby sales and the home’s condition. You pay for it, usually as part of your lender fees.
If the appraisal comes in low
The lender bases your loan on the lower number, so you have a gap to cover. Options:
- Renegotiate the price with the seller, using the appraisal as support.
- Challenge it. Ask your lender for a reconsideration of value and give them better comparable sales the appraiser missed.
- Cover the gap with more cash if you still want the home at that price.
- Walk away, if your contract has an appraisal or mortgage contingency that allows it. Check with your attorney first.
How we help
We don’t perform inspections or appraisals ourselves. We refer you to licensed, independent inspectors you can choose from, help you schedule quickly so you meet contract deadlines, and point you to the comparable sales information you need if an appraisal comes in low.
General information, not legal advice. Your attorney should review any repair credits or contract changes.
Related: Step-by-Step Home Buying Guide and Homeownership Maintenance Tips. Need an inspector referral? Contact us.