coachingnegotiation 2 October 2024

The Inspection Condition: It’s Not Your Get-Out-of-Jail-Free Card

It’s time to get real about inspection conditions. We all know they’re critical for protecting buyers, but too often they’re being misused as a backdoor exit strategy when, let’s face it, the buyer just gets cold feet. Spoiler alert: That’s not what they’re for.

The Purpose of an Inspection Condition
An inspection condition is there to allow a buyer to evaluate the physical state of the property. It’s about ensuring the house isn’t hiding any major surprises—like a cracked foundation, a faulty electrical system, or the aftermath of a secret squirrel invasion (yes, that happens). The key here is that the inspection condition exists for that specific purpose, not for the buyer to pull the plug just because they got nervous.

What’s Really Happening
Lately, too many deals are dying on inspection. The worst part? When we take a closer look, it turns out there was nothingSneaky inspection guy wrong with the property. Agents, we need to educate our buyers on the proper use of this condition, because what’s happening is that clients are using it as a convenient excuse to back out when their hesitation isn’t about the property itself. Whether it’s buyer’s remorse, an unrealistic expectation of finding a perfect house, or just a case of jitters, the inspection condition is being wielded like a loophole rather than a safety net.

How This Affects You
When buyers misuse this condition, it wastes everyone’s time, blows up deals that were solid, and potentially puts the buyer in hot water if the seller decides to push back. We’ve all been there when a deal falls apart over something trivial—or worse, nothing at all. It’s a bad look for everyone involved, including you as their agent.

Setting Expectations from Day One
Your buyers need to know upfront that the inspection is about uncovering real issues—not a ‘feelings check.’ If they’re backing out because they don’t like the paint color, the neighbors, or because they think another unicorn of a house is going to pop up next week, the inspection clause is not their tool for that.

The Fallout of Misusing the Condition
Sellers are catching on to this trend, and it’s leading to more rigid negotiations. Some are starting to push back on inspection clauses or limit their scope, which can ultimately harm buyers who genuinely need the protection. And let’s not forget, when these conditions are misused, it can damage your professional reputation in the long run.

At the End of the Day…
As agents, it’s our responsibility to guide buyers and sellers through the offer process fairly and professionally. The inspection condition is there to protect, not provide an easy exit. So let’s use it right—and make sure our clients understand it too.

Want to learn more about how you can grow your business with best practices at heart? Email me.