Inspection Problem Solving for Sellers Selected City Inspection Ordinance Summaries InspectorsThere are two main types of inspections: city inspections and private home inspections. City InspectorsCity Inspections are required by many cities before a home can be sold. Some city inspections require hazardous conditions to be repaired before a home can be sold, whereas others simply require the inspection to be completed and the report displayed during showings and given to the buyer. Some cities require city employees to perform the inspections, whereas other cities license or certify private home inspectors to perform their inspections. For the specific requirements of your city, see the city listing below. Private InspectorsPrivate home inspectors perform optional inspections that are usually paid for and directed by a home buyer. Typically, the home buyer make an offer on a home that is contingent upon a satisfactory home inspection. The buyer will then find a private inspector, and have the inspection done within 48 to 72 hours of their offer being accepted. If the buyer is satisfied with the results of the inspection, they will remove the contingency and the sale will proceed. If the inspection uncovers a problem that the buyer is not willing to accept, the buyer has three options:
What to do if the buyers finds a problemIf the buyer asks the seller to pay for some or all of the repairs, the seller has three options:
AppraisersAn appraisal is completed after the seller accepts a purchase agreement from the buyer. The appraiser is hired by the buyer's mortgage lender and is required to view the inside of the home. The appraisal should be completed 3 to 4 weeks before closing. The appraiser will assess the home's value relative to similar homes that have recently sold in the neighborhood. The seller usually does not need to do anything for the appraisal other than allowing the appraiser to view the home.Selected City Inspection Ordinance SummariesNote: This is not a complete list--contact your city offices to inquire whether they require a time of sale inspection or disclosure.
Bloomington-The Time-of-Sale Housing Inspection Program: The program provides potential purchasers with information about the condition of a dwelling and requires the correction of immediate hazards. An inspection and a report are required for all houses offered for sale. All single family, two family, and multiple family dwellings, including condominiums, townhouses, and mobile homes are included. The property must he inspected and a report form completed prior to offering the property for sale. The Housing Evaluation Report must be available for review by potential purchasers at all times that the property is offered for sale. The seller can choose either a licensed independent contractor or the City's Building and Inspection Division staff. All inspectors are required to be licensed by the city of Bloomington. The city maintains a list of all licensed inspectors. Only those items which pose an immediate hazard to the occupants of the structure are required to be repaired. Other deficiencies are noted in the Housing Evaluation Report, but do not require correction. When hazardous items are identified by the inspector, the City of Bloomington follows up to determine whether the hazardous condition has been corrected. Hazardous conditions must be corrected and approved by the city before the dwelling is occupied. If the dwelling is already occupied, corrective action shall be taken by the owner or agent of the owner. For more information. call City of Bloomington Building and Inspection Division, 612-948-8930. Crystal-Mandatory Code Compliance: The City of Crystal requires an inspection of all dwelling units at time of sale by the city housing inspector. "Dwelling Unit" is defined as a single or two family property, a duplex, a condominium, or a townhouse. It is unlawful in Crystal for an owner to convey a dwelling without providing the disclosure statement at time of sale. The certificate of compliance issued by the Crystal housing inspector indicates that the property has been inspected and any conditions found in violation of city code have been noted. The owner is responsible for the corrections required by the compliance order. As an alternative procedure, the owner may provide the prospective buyer at the date of execution of any document conveying the property a written disclosure statement stating the conditions in the property that, if not corrected, will constitute a major structural defect or an immediate health and safety hazard. In this instance, the buyer is presumed to have purchased the property with notice of this condition and is responsible for the corrective actions required by the ordinance. Call 612-531-1000 for more information. Hopkins-Truth in Housing Disclosure: Hopkins has a time of sale housing inspection ordinance requiring a truth in housing disclosure report to be completed by an independent truth in housing evaluator. The ordinance requires inspection of all one to four unit dwellings including condominiums and townhouses. The Truth in Housing Disclosure Report must be available for review whenever the property is offered for sale. The ordinance does include a section titled, Mandatory Correction of Hazardous Items. Items listed in this section must be corrected if noted on the disclosure report. These hazardous items are related to gas piping, water heaters, furnaces, gas fired appliances, free standing space heaters, venting systems, ungrounded electrical fixtures, and rooms being used as bedrooms without proper egress. For information, call 612-935-8474. Maplewood-Truth in Housing Disclosure: Maplewood requires a disclosure type Truth-in-Housing inspection be done before a property is listed or shown. The ordinance includes all dwelling, single-family, duplexes, apartments, condominiums, townhouses and mobile homes. The city maintains a list of licensed Maplewood inspectors. Questions? Contact Ken Roberts at 651-770-4560. Minneapolis-Truth in Housing Disclosure: The purpose of the Minneapolis Truth in Housing ordinance is to inform the buyer and seller of a home, prior to the time of sale, of any major structural defects or hazards to the health and safety of the occupants. The ordinance requires the repair or replacement of certain items declared as health or safety hazards by the truth in housing evaluator. The Minneapolis Truth in Housing Ordinance requires that the seller of single and two-family dwellings and townhouses in the City of Minneapolis provides either a Truth in Housing Disclosure Report or a Certificate of Code Compliance to the purchaser of the home prior to time of signing a purchase agreement. Condominiums and sales of new units are exempt. It requires the repair or replacement of certain items declared as health or safety hazards by the Truth in Housing evaluator. The Truth in Housing Report must be prepared by a certified Truth in Housing evaluator, generally hired by the seller. The completed Truth in Housing evaluation, the Certificate of Code Compliance, or the orders resulting from a Code Compliance inspection are required to be available for inspection at the premises at all times when the dwelling is being offered for sale. The fee for the truth in housing inspection is negotiated between the seller and the evaluator. A new disclosure report, certificate, or orders resulting from a Certificate of Code Compliance inspection shall be required for each change of ownership at time of sale. For more information, call the City of Minneapolis Inspections Department at (612) 673-2031. New Hope-Mandatory Code Compliance: The New Hope Dwelling and Maintenance Ordinance requires code compliance inspections on all residential property prior to every sale, or at change of name conveyance. Application is made and inspection fee paid by the seller or seller’s agent. Any orders issued are to be completed within 60 days or before closing, whichever comes first. The city inspector is called back for final inspection when all corrections are made, and the Certificate of Compliance is then issued. A prospective buyer may purchase the property "as-is" by signing an acknowledgment of work ordered (document provided by the City) and agreeing that work shall be completed within 60 days after closing. Upon receiving this acknowledgment, the seller receives the Certificate of Compliance, so the sale may proceed. For more information, call 612-531-5124. Osseo – Truth in Housing: Osseo requires a Truth in Housing Disclosure Report at the time of sale for all single family, two family, and three and four family dwellings including condominiums and townhouses. No owner or agent for the owner may sell residential properties in Osseo without providing to the buyer prior to the time of sale a Truth in Housing Disclosure Report issued within one year of the time of sale. The report shall be made available for inspection at the property at all times when the property is being offered for sale. The ordinance requires that items noted as hazardous by the housing inspector on the report must be repaired by the owner prior to occupancy by the buyer. The buyer may elect to make the required repairs with the written consent of the city. Call Osseo for more information, 612-861-9882. Richfield-Mandatory Code Compliance: Richfield requires that all single and two family homes obtain a Certificate of Housing Maintenance Compliance and be inspected by Richfield city inspectors at the time of sale. A city inspector will conduct an inspection of the property. If violations exist at the time of inspection, a notice will be given to the owner indicating the areas that are to be corrected and the timeframe in which this is to be accomplished. A follow-up inspection will be conducted and a Certificate of Housing Maintenance Compliance will be issued if the violations have been corrected. A prospective owner shall not occupy the structure prior to the issuance of the certificate except in extraordinary or exceptional circumstances. During the period of one year following its issuance, a certificate may be accepted by the city in satisfaction of the requirements without the need for a second inspection unless alterations and remodeling have occurred which would warrant reinspection and provided that the seller is the one who is named on the certificate. An application must be completed whenever a single or two family home is to be sold. This application is to be completed and mailed to the city with the appropriate license fees as soon as the closing date has been set. For more information contact the Inspections Division at 612-861-9882. |
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