Inspection Negotiation

Inspection is the second negotiation, and it is the one more deals die at. The first negotiation was about price under assumed condition. The second is about actual condition. Most agents treat the inspection response as a laundry list; experienced ones treat it as a structured settlement with evidence, prioritization, and a strong BATNA.

Phase 1: Intake — What You Need Before Drafting the Response

1.1 Deal Context

• [ ] Property: [ADDRESS]
• [ ] Purchase price: $[AMT]
• [ ] Contract type (as-is, standard, new construction): [TYPE]
• [ ] Inspection period expiration date/time: [DATE / TIME]
• [ ] Days remaining in DD period: [DAYS]
• [ ] Financing type (matters for repair type limits — FHA/VA have constraints): [TYPE]
• [ ] Seller motivation signals: [DETAIL]
• [ ] Buyer motivation level and walk-tolerance: [DETAIL]

1.2 Report Inventory

• [ ] General home inspection report received: [DATE]
• [ ] Termite/WDO report received: [DATE / N/A]
• [ ] Radon test results: [DATE / N/A]
• [ ] Sewer scope report: [DATE / N/A]
• [ ] Specialist reports (structural, chimney, pool, mold): [LIST]
• [ ] Contractor bids collected for major items: [LIST]

1.3 Finding Triage (Do This Before Anything Else)

• [ ] Tier 1 (safety/structural): [LIST]
• [ ] Tier 2 (material systems): [LIST]
• [ ] Tier 3 (deferred maintenance): [LIST]
• [ ] Tier 4 (informational/cosmetic): [LIST]
• [ ] Items flagged in seller disclosure already: [LIST]
• [ ] Items known pre-offer (priced in): [LIST]
• [ ] Items that exceed insurance-carrier tolerance (roof, 4-point in FL, wind mitigation): [LIST]

1.4 Buyer Strategic Position

• [ ] Buyer's walk threshold: "I will walk if [CONDITION]"
• [ ] Total acceptable out-of-pocket post-close: $[AMT]
• [ ] Contractor access post-close for timely repairs: [Y/N]
• [ ] Timeline to move in (affects repair vs credit preference): [DAYS]
• [ ] Insurance carrier requirements: [LIST]