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A home inspection is often required when purchasing a new home. Mortgage lenders almost always request it before they approve your loan amount. Failing to have one completed could result in you losing out on the home of your dreams.

That being said, home inspections are not as straightforward as you might think. The results are used for a few different reasons and can mean different things to both the buyer and the seller. Trying to navigate an inspection your first time can be overwhelming. At Royce Williams Insurance, we’ve been helping Tennessee families and individuals obtain a comprehensive home insurance policy. Over the years, we’ve seen and experienced it all when it comes to the home inspection. Here’s some information to get the most out of the experience.

Benefits of a Home Inspection

Let’s talk quickly about the benefits of a home inspection. These attributes are especially helpful for those who are interested in buying a new home.  

Discover the potential risks

Making a claim on your policy could make it go up. We talked about this in a previous blog when we answered your most common questions about home insurance pricing. Anything you can do to prevent the increase in your monthly premium can start with the home inspection.

You could get a discount.

The property you are interested in could be a potential money saver if it exhibits a few different attributes. Newer builds, energy efficient upgrades, and better wiring and plumbing could bring down the average cost of your insurance policy.

You’re getting the right value on your home.

An inspector could come to the property and decide that it’s not worth insuring for the amount it’s selling. That information on the desk of your mortgage lender could encourage them not to provide you with the full amount the sellers are asking for.

What are Inspectors Looking for?

So, now that we understand why you want an inspection let’s talk about what you should expect. Home inspections should always be conducted by a licensed professional. We don’t recommend using a friend or family member. At this point, you want an honest and unbiased opinion. When the professional comes over, they will inspect the following areas.

Structural Features

The roof, garage, attics, crawl spaces, windows, doors, and siding are examples of the structural features. Replacing any of these features is costly. The inspector is going to confirm they have maintained their integrity.


A home’s “system” includes plumbing, wiring, heating, cooling, and gas. Any leaks and they will notify you immediately of the issues. Then it’s up to you to decide if you want to negotiate a fairer price or fix the problems yourself.


Yes. The appliances are calculated into the home inspection. These devices utilize the systems we just mentioned. Therefore, they need to be performing optimally. Reports that don’t come back meeting the asking price of the home is a potential for negotiation.

Preparing for a Home Inspection

It’s time to gather your documentation because a home inspector is going to need all the paperwork about the property.  Grab the paperwork articulating square footage. They use it when calculating the value. Any renovations and interior work need to be presented as well. It could include everything from adding a room to refurbishing an existing bathroom. New garage doors, roofs, or installation of windows should be recorded as well. Any alarm systems inside the home can get you a discount. Paperwork explaining the potential protection level is helpful. Some houses also have water damage protection devices. If your property has one or other security features, give it to your inspector.

The Results of the Inspection

The results of your inspection say a lot for the mortgage lender and your insurance provider. We’ve already discussed the benefits, but let’s look at how this information plays out with respective parties.

Real Estate Inspection

So, we know any issues found within the home is a potential negotiation point. But, it reveals a lot to you as well. When buying a house, you don’t want to do so blindly only to find you need to replace the garage door after six months. It’s an honest overview of what you are sinking your money into. It should be noted that almost every property, even a new build, will have something that needs work.

Home Inspection Required by Mortgage Lender

Lenders often ask for insurance before the approval. They want to protect their investment. An inspection can confirm your potential new home is worth its value and leverage an opportunity to negotiate pricing. ” In some cases, a seller may be willing to lower the asking price or correct the issue(s), while other times the property may be sold on an as-is basis.”

Tennessee Homeowners Insurance

Are you buying a new property? We’ve got you covered. At Royce Williams Insurance, we are excited to start this journey with you and want to help you get the home of your dreams with the best home insurance coverage in Middle Tennessee. Together we can make that happen. Contact us today for a free quote.


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