ASU Real Estate Listings

Step 6 - The Inspection Period

The first day of the Inspection Period is the day contract is executed.  The standard Inspection Period in Arizona is 10-days but is negotiable.  This is your chance to perform your "due diligence" by investigating any aspect of the property that is of concern to you.

The most common investigation that is performed is a Home Inspection. The home inspector will evaluate the structural condition of the home along with the condition of most of the components on the property.  Following the actual home inspection the inspector will discuss any defects that were found and explain any foreseeable future maintenance issues that the property might have.  Typically, a full-color narrative report will be provided by the inspection company that details everything that was inspected and what condition those things were found to be in.  This report serves as a valuable tool in negotiating any repairs the buyer wishes to ask the seller to make to the property.

We work with an excellent inspection company if you do not already know of a reputable one yourself.  You can view a sample of one of their Inspection Summary Reports  in PDF format by clicking Clicking Here (this is the smaller version of the full report that shows only items in need of repair)  The home inspection does not cover termites but the inspection company we work with can take some of the work out for you by getting the termite inspection ordered for the same day with a pest control company that they associate with.

The Inspection Period is also a time for you to further research the neighborhood and the surrounding areas. The title company will order and provide you with a copy of the Community CC&Rs and the HOA Rules and Regulations if there is a home owners association .  This is also a good time to further research the nearby schools, if of importance to you.  Please refer back to the Arizona Buyer Advisory for a more detailed description of everything you want to be mindful of during this 10-day period.

Once all inspections have been complete, and if the property is not being purchased AS-IS, the buyers must decide if they would like to request any repairs to be made by the seller.  This request is covered in a standard 2-page form used in conjunction with the purchase contract known as the Buyer Inspection Notice Seller Response (BINSR or pronounced BINZER by most real estate agents).  Certain items are known as "warrantable items" and must be repaired by the seller per the original purchase agreement and are listed in a special section on the BINSR.  Other items that are not covered as warrantable, should the buyer decide to request them to be repaired, are also listed on the BINSR for review by the seller.  Once the form is submitted to the seller they can either agree to make the repairs, disagree to make the repairs, or respond with a description of the repairs that they are willing to make along with which ones they are not.  Once the BINSR comes back to the buyer they have only two choices; either accept the seller's response or they cancel the contract.  There is no going back and fourth like there can be in the initial contract negotiations. It is, therefore, very important to work with an agent that stays involved and keeps an open line of communication going with the seller's agent in order to better negotiate throughout the escrow period.  This is exactly where we come in. 

Another thing to be mindful of, if you are using financing to purchase the property, is that the contract only has a 5-day appraisal contingency period.  We work closely with lenders to make sure they receive a copy of the executed contract right away so they can get the appraisal ordered.

If you have any questions regarding the inspection period or anything else, please Contact Us. You may also complete the Buyer Form by clicking here and providing your information so that we can start working to get you a great deal on a solid property.