Residential real estate transactions have many phases. First, a seller must decide to list their home, hire a real estate agent, and prepare the property for sale. On the buyer’s side, they will save up for a down payment, improve their credit score, and potentially apply for a pre-approved home loan.
Eventually, a buyer will make an offer on the property, and the two parties will negotiate until a deal is agreed. Numerous steps exist before the purchase is finalized, even after reaching an agreement. One of these steps is the final walkthrough of the personal property. The final walkthrough is crucial because it allows the buyer to make one final check of the property.
What is a House Walkthrough?
The final walk-through is the buyer’s inspection of the property before the sale is closed. It is an opportunity for the buyer to take one last look at the home and ensure that it meets the conditions of the purchase agreement. For example, if the seller agreed to replace a window in disrepair, the buyer can inspect it to see if the seller upheld their promise.
In some cases, the final walk-through may reveal additional problems with the property that were not present during the initial home inspection report. This secondary inspection aims to give the seller time to address relatively minor issues before signing the closing documents.
Who Participates in a Walkthrough?
Several parties may be involved in the final walk-through before the home sale is completed. The buyer is the primary participant in this process. Often, they will do so alongside their real estate agent, who may have some valuable insight about the property’s condition.
Although most sellers do not participate in the walk-through, it is not uncommon for them to attend. If the buyer and seller are involved in a final walkthrough, they can discuss any issues to find a solution. Lastly, the seller’s agent could also play a role in the final walkthrough.
When Does a Walkthrough Occur?
The deal is almost done by the time the buyer reaches this step. The final walk-through is typically scheduled a few days before the closing date. This allows the buyer and seller time to hash out problems during the final walkthrough.
Ideally, all the significant issues have been addressed at this point, so any further concerns would be minor and easy to fix. The final walkthrough also ensures the house is in the same condition as during the first walkthrough and there isn’t new damage. Viewing the home without the seller’s belongings can give buyers a better view of potential problems, making this a crucial step.
What to Look for During a Walkthrough
If you are buying a property, it is essential to pursue a fair deal. The seller is responsible for maintaining the property while waiting for the closing day so the buyer gets what they pay for. Even so, there is a risk that some issues must be solved before you are comfortable signing all the closing documents. Common things to check for during a final walkthrough include:
- Working ceiling fans
- Exhaust fans work
- Check that the light switches work
- Plug a phone charger into outlets to ensure they work
- Check that major systems, like the HVAC system, work
- Look for water damage
- Small things like toilet paper holders
- Flush toilets to make sure they work
There are several other major things to look for. Here is a final walk-through checklist to help you maximize this thorough inspection.
Overall Condition of the Property
The property’s overall condition is the most important element of the final walkthrough. If it does not meet the standard of the purchase agreement, you could be making a bad investment. You should be fully prepared to back out of a deal if the property’s condition worsens.
Inspect structural elements like the walls, floors, ceilings, and foundation. Check windows and doors for sealant issues, degradation, or recent breaks. Test the fixtures and appliances to ensure nothing has broken in the last few weeks before closing day.
Included Items and Appliances
Most home sales include some items left behind. Generally, kitchen appliances, washers, dryers, water heaters, and other items will be included in the purchase. If these items suddenly stop working or are missing, you could spend more money than the property is worth.
Before signing off on the final walk-through, check the list of included items and ensure they are all in working order. It’s time to negotiate if they are not. Part of the seller’s proceeds should compensate for the broken items or appliances, reducing the home’s price.
Repairs and Agreed-Upon Work
The buyer and seller may have discussed specific repairs during the price negotiation. Often, buyers request certain repairs before agreeing to the sale price. The final walkthrough is an opportunity to ensure the seller makes the repairs.
Cleanliness and Functionality
The seller should not leave a mess behind except for a little dirt. The seller should deep clean the house before the final walkthrough to ensure any mess can easily be swept up with a broom. This includes dusting windowsills, removing belongings, and wiping down walls, if necessary.
All HVAC, plumbing, and electrical systems must work. If there is a garbage disposal system in the kitchen sink, is it in good shape? Are all garage door openers functional? Check for signs of pests or mold infestations. Without a final walk-through, you would not know about these issues until you have purchased the home.
Addressing Issues Found During the Walkthrough
If you do find issues with the appliances included in the sale, the condition of the property, or the cleanliness of the interiors, do not accept these issues before closing day. Here are some top tips for addressing the problems discovered during the walk-through.
Documenting Concerns
Documentation is critical if you want the seller to address the problem. If you notice mold on the crown molding, a failing hot water heater, or sputtering HVAC units, take photos or videos of them. This is the best course if you want the issues addressed before finalizing the purchase.
Communicating with the Seller
Honest communication is also key when you discover issues during the walk-through. You should communicate your concerns to the seller via their real estate agent as quickly as possible. If the seller is in attendance, you can speak with them directly.
Negotiating Resolutions
If you find an issue that violates the purchase agreement or causes concern, there are several ways to resolve it. First, you can ask the seller to make the repair before the closing appointment. If this is not possible due to the issue’s complexity, you could also ask for a seller credit, which means the seller will pay for you to address the issue after the sale is closed.
Lastly, if all else fails, you can delay the closing date so the seller has more time to address the problem. This will give them one last chance to correct the issue before you back out of the sale.
The Importance of the Walkthrough
The walk-through is crucial because it could help you avoid a bad deal. In extreme cases, a major issue with the property could have manifested only in the past few weeks after the professional home inspection. Proceeding with the deal without noticing this problem may cost thousands of dollars.
A thorough walk-through lets you look carefully at the property before buying it. It can prevent future disputes with the seller after the transaction and ensure the agreed upon repairs are completed.
Walkthroughs and Cash Home Buyers
As a seller, waiting for the final walk-through can be stressful. You are likely hoping for the inspection to go smoothly so the home-buying process can be completed. The deal could be held up if the buyer finds any new issues. However, if you sell to a cash home buyer, you can avoid the stress of a final walk-through.
Simplified Process
Cash buyers can purchase homes with a simplified process. These companies often buy houses in any condition, so the seller does not have to worry about making necessary repairs like paying for window treatments, replacing electrical outlets, or upgrading the air conditioning.
Cash buyers are typically experienced investors, meaning they won’t get hung up on minor issues like malfunctioning light fixtures or missing window screens. Their goal is to buy the house as is, handling the needed repairs themselves.
Faster Closing
Negotiated repairs during a traditional sale can delay the closing date. Cash buyers don’t require agreed-upon repairs before purchasing, leading to a much faster closing process. Although there may be a final walk-through, it will likely be less meticulous.
Save on Time and Fees by Contacting A-List Properties
Selling your home to A-List Properties can save you time and money. You won’t have to invest in cleaning before the sale or pay a commission for a real estate agent. Our team can schedule a successful closing within two weeks of accepting our cash offer.
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Zach Shelley
Zach Shelley is a seasoned real estate investor with a diverse network spanning across the nation. As the founder of his own real estate venture, Zach is committed to offering innovative solutions to homeowners facing various real estate challenges.. Through his dedication and strategic approach, Zach continues to make a significant impact in the real estate industry, providing homeowners with alternative pathways to navigate their property transactions.
