Real Estate Talk:
Inspection process

A property may offer surprises that can cost a great deal of money

By Joseph Marovitch

Updated July 17, 2025

Whether purchasing an old home or a new condo, it is always recommended to have a condition of inspection. An inspection indicates present or future problems with the property that can cost you money now or later. The inspector should be trained, experienced, and certified by the Canadian Association of Home and Property Inspectors (CAHPI) or AIBQ.

The inspector is generally responsible for everything they see, which is why it is better to have an inspector who uses a thermal imaging device. The thermal imaging device enables the inspector to examine what is visible and what is not visible to the naked eye, such as cracks, ungrounded electrical wires, humidity in walls, and hidden rooms. Please note that an inspection covers everything that can be seen. A home inspector is not responsible for latent or hidden defects, which we will discuss in our next topic, With or Without Warranty.

… an inspection covers everything that can be seen. A home inspector is not responsible for latent or hidden defects…

The following paragraph is taken directly from a promise to purchase:

INSPECTION BY A PERSON CHOSEN BY THE BUYER
8.1
____This promise to purchase is conditional upon the BUYER being permitted to have the IMMOVABLE inspected by a building inspector or a professional within a period of days following acceptance of this promise to purchase. Should this inspection reveal the existence of a factor relating to the immovable and liable to significantly reduce the value thereof, reduce the income generated thereby or increase the expense relating thereto, the BUYER shall notify the SELLER, in writing, and shall give him a copy of the inspection report within four (4) days following the expiry of the above-mentioned time period. This promise to purchase shall become null and void upon receipt, by the SELLER, of this notification together with a copy of the inspection report. Should the BUYER fail to notify the SELLER within the time period and in the manner specified above, he shall be deemed to have waived this condition.

OR
____By initialling this box, the BUYER acknowledges having been informed of his right to have the IMMOVABLE inspected by a building inspector or a professional and having waived his right to do so.

The clause offers two options: Either to have an inspection or to be informed that an inspection can occur, but the buyer has decided not to have one.

On occasion, the buyer will waive the inspection for several possible reasons:

1. The buyer is a contractor and is planning on renovating.
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2. To negotiate a better purchase price by offering fewer conditions to make the purchase easier and expedient.

Generally, it is always wise to have an inspection because a property can offer many surprises that can be very costly.

‘It is better to make sure the property you buy is solid and allows you to sleep at night.’

Surprises can include the replacement of windows, cleaning and/or removal of an old leaky oil tank, repair of a major foundation or wall crack, and faulty construction in the garage of a new condo complex, allowing water infiltration and further damage. The list is endless…

It is better to make sure the property you buy is solid and allows you to sleep at night.

Process and implications:

• In the promise to purchase, 7 to 10 days are provided from the date of acceptance, in which to perform the inspection.
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• Following those specified days, the inspector and buyer have 4 more days to provide the report to the seller, if there is an issue. In the event no issue is submitted in writing to the seller by the deadline, the inspection condition is deemed satisfied.
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• The inspection lasts approximately 2 to 3 hours.
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• The cost is generally between $600 and $2000 plus taxes, but can be higher depending on the type of property and location.
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• The inspection should include every aspect of the property, such as roof, basement, ventilation, electric system, plumbing, bricks, grading, and more.
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• Cosmetic issues include items that are recommended repairs.
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• Structural issues are items that must be addressed sooner (i.e, foundation, bricks, electrical, plumbing).
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• Upon completion of the inspection, the inspector will provide the buyer with a written, detailed report.
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• Should there be an issue in the report that can devalue the property, the seller must receive the report within the specified time period, along with the buyer’s request for a reduction in price, a repair of the issue, or cancellation of the offer.
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• Upon receiving the request for a reduction or repair, the seller has 21 days to remedy the situation, or not.

In the event the seller does not remedy the situation, the buyer can either accept the property as-is or cancel the offer.

The information in these articles is a summary. Should you have questions, comments or wish to discuss further, refer to the comments section at the bottom of the page or contact me directly. As well, to view past articles, click here.

Next article: Latent defects

State of the market

According to the Association professionnelle des courtiers immobiliers du Quebec (APCIQ), the Quebec real estate market improved in the month of June, with a 16% increase in sales, compared to the same month in 2024. In the Montreal CMA, single-family home sales increased 16%, while condominium sales rose 19%. In the Quebec City CMA, single-family home sales increased by 6% and condo sales by 11%.

However, according to a recent article in the Financial Post, dated July 15, we may have to wait a while longer before real estate values and demand rise. Many buyers and sellers are waiting on the sidelines for the results of global politics, war and economic uncertainty; the components of supply chain slowdown, rising inflation and interest rates. These issues do affect Quebec as well.

‘Many buyers and sellers are waiting on the sidelines for the results of global politics, war and economic uncertainty… These issues do affect Quebec as well.’

The U.S. has applied new 35% tariffs on Canada. Canada has increased tariffs on the U.S. in retaliation. The U.S. has cut thousands of jobs, dismantled the education system, FEMA, closed USAID to countries in need around the world, and cancelled funding for the World Health Organization. These actions affect household income, healthcare, education and more. The effects of these actions fall directly on the supply chain, gross domestic product in the U.S. and Canada, and cause economic hardship.

Buyers can purchase at lower prices since interest rates remain low for the moment. However, buyers can get hit with higher carrying costs on homes in the future if geopolitical issues do not calm down. As we are in a volatile and uncertain market, strategy and targeted marketing are required to achieve the goal of selling.

Have a great week!

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