What should I check about a home inspection firm’s report templates and past reports?
Read a sample of past reports and the blank templates. Check that they are clear, consistent and cover what the firm says they do, and ask who owns the templates and where old reports are stored. Look at claims or complaints that came from a report.
Request a spread of reports from different inspectors and different years. Read them as a client would. Are findings explained plainly, with photos? Do the inspectors describe limits of the inspection? Wide differences between inspectors suggest a weak standard.
Study the template itself. Who wrote it and who owns it? If it was built by the seller or licensed from another party, ask your lawyer whether it can transfer to you. Check whether the wording was reviewed by a professional, and whether there are disclaimers that make sense.
Ask about storage. Reports and photos form a record that may be needed years later if a client disputes a finding. Find out how they are kept, backed up and protected, and who can open them. Ask your lawyer how long records should be kept. Finally, ask for claims, complaints and insurance history linked to reports. How were they handled? Past reports often show how the firm would stand up to a dispute. Look at whether the reports are written in a way the next owner can improve. Plain wording, clear photos and a logical order help keep disputes down. If the templates are weak, plan the time and cost of updating them after the purchase. Ask how often the template has been revised and who decided on the changes.
Key takeaways
- Read reports from several inspectors and years.
- Confirm who owns the templates and the stored files.
- Ask about complaints and claims connected to reports.
Related reading
12 pages on the same subject, grouped by topic.
Buying
- Expert answerHow do I check a snow business’s equipment breakdowns during past storms?
- Expert answerAm I liable for past malpractice claims if I buy a professional practice?
- Expert answerAm I liable for past security breaches when buying a tech company?
- Expert answerWho handles callbacks on past installs after you buy an HVAC company?
- Expert answerWho honours past repair warranties when a transmission shop is sold?
Selling
Due diligence
Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentAfter buying a business, what is the next step?
- 02Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 03Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
Deavo is an advertising and listings platform, not a brokerage, law firm or valuation firm. This page is general information, not legal, tax, accounting or valuation advice, and rules differ by province. Confirm anything you rely on with a qualified professional before you act on it.