Many homebuyers and sellers aren’t sure of the purpose of a final walk-through. After all, most buyers have visited the property many times throughout the buying process and are eager to close on their new home.
The final walk-through is an important step in a real estate closing and one of the last chances for the buyer to inspect the home and ensure there aren’t any last-minute issues.
Hopefully, your final walk-through will be smooth sailing. However, problems do arise now and again. Some issues are even big enough to derail the home sale entirely.
To help you reduce the chance of surprises in the last few moments before closing, here are some of the most common final walk-through discoveries and ways to address the issues expediently.
[READ: How Long Does It Take to Close on a House?]
What Is the Purpose of a Final Walk-Through?
“A final walk-through is a time to make sure the home is in its as-in condition — that the items intended to be left at the property were left and there were no new surprises,” says Scott Shuffield, real estate agent and vice president of Berkshire Hathaway HomeServices EWM Realty in Coral Gables, Florida.
For example, if the A/C is broken during the walk-through, but was working when the offer was made, it would need to be fixed before closing.
Typically, the buyer and their agent attend the final walkthrough, though the listing agent can be present, too. “It is normally done three to five days before the closing of escrow,” says Marlena Maidhof, a real estate agent with ACME Real Estate in San Diego.
It’s important that the sellers leave on the electric, water and gas so the buyer can complete a final check of the home’s systems. “You’ll want to turn on the appliances and make sure they fire up. Check the burners, water heater, microwave and laundry,” says Shuffield.
Without power or running water during the walk-through, you can’t confirm everything is working, and after closing, any repairs become the buyer’s responsibility. Make sure to test the heating and cooling systems as well.
Maidhof and Shuffield recommend doing the final walk-through at least two to three days before closing so if issues are discovered, there is time to address them before the sale and funds transfer are executed.
[Related:A Home Inspection Checklist for Sellers]
What Are Some Common Final Walk-Through Issues?
Lot of issues can arise through a final walk-through, but some of the most common are:
— The home isn’t empty.
— The house is a mess.
— The negotiated repairs haven’t been completed.
— Included personal property is missing.
— The lawn hasn’t been cared for.
— The appliances aren’t working.
— There’s major damage to the walls.
— The HVAC systems aren’t working.
— The home was damaged during the moving process.
Personal property and nonworking appliances are some of the most common issues. There may include a broken window, flooring piece or fan that was working previously.
Sometimes, the sellers mistakenly take an appliance or personal property that was supposed to be conveyed with the home. It’s not always on purpose, Shuffield says.
“For example, the sellers had a beautiful chandelier that was a family heirloom and assumed they could take it with them,” he says. Other times, the home is still full of the seller’s belongings and will unlikely be empty by closing.
Whatever the problem, if the home isn’t in the agreed-upon condition as outlined in the signed contract, the buyer has the right to request that the issue be resolved.
Related:[Your Home, Year 1: What You Need to Know]
What to Do if There Is a Problem During a Final-Walk Through
As stressful as the situation may be, avoid sending the listing agent or seller a nasty note. Instead, simply bring the problem to their attention and ask how they would like to remedy it.
Typically, sellers are accommodating. Sometimes they aren’t even aware the problem exists. Maybe the handyman didn’t finish a repair as they thought, or they believed a personal item was free to take from the property.
Generally, they want the sale to close just as much as the buyer does and will find a way to fix the problem before closing.
The buyer can decide if they will accept the remediation recommendation, which can include making the repair, replacing an appliance or other personal property, or ensuring all of the seller’s belongings are removed before closing. A common solution is to offer a credit at closing to compensate the buyer for the future cost of repairs after the sale.
Depending on how the provisions are stated, you may be able to delay closing if the property is not in its as-is condition. “However, always check the contract and make sure you aren’t forfeiting your deposit by holding the closing up,” says Shuffield.
[Related:What to Do When You Bought a Home With Problems Not Disclosed]
How to Reduce Your Chances of Final Walk-Through Problems
The biggest way to avoid any issues during this final stage is to be explicit in your sales contract about the as-is condition. “The responsibility is on both the buyer and seller to specifically state what they are going to include or exclude,” says Shuffield.
During negotiations, make sure you are clear about what you want the home to look like upon sale and what property you’d like to have included. Alarm systems and alarm cameras are often leased from the company, so you’ll need clarification on what will be left. Put this in writing in the purchase offer.
“The contract should have a section where you can tick off all of the personal property to be included and other items, including repairing holes from pictures hung or fresh paint. If you don’t include that in the contract, there’s not much you can do about it,” says Maidhof.
Also, schedule an inspection on any agreed-upon repairs before the final walk-through so you aren’t down to the wire before closing if the repair needs more attention.
Most walk-throughs have no issues, but it’s helpful to know what to look out for and ways to address the problem quickly. Just remember, if a problem does arise, stay calm and work with the seller to find the best resolution.
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Final Walk-Through Red Flags: What to Look For Before Closing originally appeared on usnews.com
Update 02/10/25: This story was published at an earlier date and has been updated with new information.
