Addressing Rising Risks in Real Estate Transactions

Negotiation for a Real Estate Transaction taking place.
Arms Home Inspection, a reputed real estate business based in Greater Philadelphia, has come forward to help the community address rising risks in real estate transactions. The company is a leading provider of comprehensive property inspections in Greater Philadelphia.

“In the ever-evolving real estate business, challenges such as the recent NAR settlement, ongoing impacts of COVID-19, and low property inventory are significantly increasing risks for home buyers, sellers, and agents,” says Jeff Arms, the founder of Arms Home Inspection. “These challenges, combined with high inflation, highlight the critical role of professional home inspections. They help safeguard everyone involved in real estate transactions.”

Why Are Risks Rising?

The company has observed a significant increase in legal disputes related to home sales due to a lack of thorough inspections. These disputes often result in expensive legal battles that could have been avoided with detailed inspections. Professional inspections done by attorneys specializing in real estate help resolve even tough disputes.
Arms Home Inspection is dedicated to supporting clients through uncertain times. The company offers tailored services, including Walk-Through Inspections, designed for today’s competitive market where traditional inspection contingencies may need to be more practical.

Walk Through Inspections

Walk-through inspections provide essential information on a property’s condition, reducing potential risks and enabling clients to make informed decisions.

The recent developments in the real estate industry, including the NAR lawsuit and its settlement, are of significant interest to various stakeholders. Home buyers, sellers, real estate agents, attorneys, and government entities closely follow these events due to their potential impact on the housing market, consumer rights, and broader economic implications.
Benefits of a home inspection for buyers in PA.
Due to the elevation in risk from buyers waiving inspections, some companies such as Seller Shield are even offering paid protection plans for sellers and agents to simplify the disclosure process, and mitigate potential lawsuits that may pop up due to unidentified damaged areas that normally are discovered during the inspection process:

Understanding the consequences of the lawsuit and settlement is crucial for government bodies, policymakers, regulatory agencies, consumer protection groups, and local authorities. Adjustments to policies, regulations, and enforcement actions may be considered to ensure fairness and transparency in the real estate industry.

Concerns for the Future

There is a growing concern that the recent settlement could lead to fewer home inspections, as buyers may attempt to save money by skipping buyers agents and inspections in this challenging market.
Buyer agents play a critical role in educating home buyers about their rights, including the right to request a home inspection. Without this guidance, buyers may be vulnerable to potential property issues, especially in new construction homes where a third-party inspection is essential.

To counteract this trend, industry professionals and home buyers must recognize the long-term benefits of thorough inspections. There are upfront costs, but these services provide invaluable protection for the largest financial investment in a person’s life.

Want to Learn More?

Arms Home Inspection has worked together with the Chamber of Commerce to help raise awareness about the elevated risks associated with skipping property inspections on CBS, ABC, NBC, FOX & over 300 publications.