The Preamble of the Inspection Report Form is written by the Texas Real Estate Commission (TREC) and sets expectations as to the purpose, limitations, and inspector/client responsibilities of the inspection report. In this post, we are going to share and discuss the paragraph of the Preamble which deals with the inspection report form and the responsibilities of the home inspector. The paragraph states:
“In this report, the inspector shall indicate, by checking the appropriate boxes on the form, whether each item was inspected, not inspected, not present or deficient and explain the findings in the corresponding section in the body of the report form. The inspector must check the Deficient (D) box if a condition exists that adversely and materially affects the performance of a system or component or constitutes a hazard to life, limb or property as specified by the TREC Standards of Practice. General deficiencies include inoperability, material distress, water penetration, damage, deterioration, missing components, and unsuitable installation. Comments may be provided by the inspector whether or not an item is deemed deficient. The inspector is not required to prioritize or emphasize the importance of one deficiency over another.”
In the example below, you can see how the check boxes are laid out and labeled as well as the Comments section where the findings can be explained. In addition, depending on the inspection company and/or their reporting software, you may also see disclaimers, the relevant Standard or other helpful information in this section.
The TREC Standards of Practice require that for each inspection performed for a prospective buyer or prospective seller of a substantially complete one-to-four family residential property the inspector must prepare a written inspection report on Form REI 7-5 with the following requirements:
The report rules do not apply to the following:
While the inspector is not required to prioritize or emphasize the importance of one deficiency over another, some inspectors will include a Summary Report which might list every single deficiency in a bullet point format or it may just contain those deficiencies which are deemed health, safety or major expense items.
Real estate agents and clients often like to use these Summary Reports in preparing their repair amendments but it is important to note that these might only be a portion of the inspection findings themselves and other significant improvements may also be necessary. We highly recommend knowing what is included in the Summary and reviewing the actual Inspection Report in its entirety prior to preparing repair amendments and before the expiration of the Option Period.