Top 5 Home Inspection Issues That Can Kill a Deal (and How to Handle Them)
Every real estate agent knows the drill: the offer is accepted, the excitement builds and then the home inspection happens. Suddenly, what looked like a smooth closing can turn into a renegotiation, delay, or even a canceled deal.
While no house is perfect, certain issues are more likely to spook buyers (and lenders). Knowing what they are, and how to handle them, can keep your deal alive and your clients happy.
Here are the top 5 home inspection issues that can kill a deal and how savvy agents can stay one step ahead.
Roof Problems
A failing roof is one of the most common deal-breakers in a home inspection.
Why it matters:
- Roof replacements are expensive, often $10,000–$30,000.
- Buyers fear hidden leaks and future costs.
- Lenders may not approve financing on a home with a failing roof.
Red flags inspectors look for:
- Missing, curling, or cracked shingles.
- Water stains in the attic or ceilings.
- Sagging rooflines.
- Roofs near or past their expected lifespan.
How to handle it as an agent:
- Recommend a pre-listing roof inspection so sellers aren’t blindsided.
- If issues are found, advise sellers to repair or be prepared to credit buyers.
- Work with a trusted roofing contractor (like Bonded Roofing) to provide fast estimates to keep the deal from stalling.
Foundation Issues
Nothing sends buyers running faster than the word foundation.
Why it matters:
- Foundation repairs can range from a few thousand to over $50,000.
- Cracks, settling, or water intrusion raise fears about structural safety.
Red flags inspectors look for:
- Large cracks in walls or floors.
- Doors and windows that don’t close properly.
- Sloping or uneven floors.
How to handle it:
- Don’t panic buyers with hairline cracks, many are cosmetic.
- If serious issues are suspected, bring in a structural engineer for a second opinion.
- Be upfront with buyers and frame solutions (credits, repairs) instead of surprises.
Electrical System Deficiencies
Older homes often come with outdated wiring that can be unsafe or out of code.
Why it matters:
- Safety concerns (fire hazards).
- Lenders may require upgrades before closing.
- Insurance companies can deny coverage on certain systems.
Red flags inspectors look for:
- Knob-and-tube wiring or aluminum wiring.
- Overloaded panels or fuses instead of breakers.
- Exposed wires or missing junction box covers.
How to handle it:
- Have an electrician provide a clear estimate.
- Reassure buyers that most upgrades are manageable compared to structural issues.
- Position it as an investment in safety and resale value.
Plumbing and Water Damage
Water is one of a home’s biggest enemies. Buyers fear the words leak, mold, or water damage for good reason.
Why it matters:
- Hidden leaks can cause rot, mold, and expensive repairs.
- Older pipes (galvanized steel or polybutylene) may need full replacement.
- Mold concerns can derail deals instantly.
Red flags inspectors look for:
- Water stains on ceilings or walls.
- Signs of mold or musty odors.
- Low water pressure.
- Old or corroded pipes.
How to handle it:
- If the roof is the source (common in SoCal), get a roofer to confirm and price the repair.
- Highlight quick fixes when possible (replacing fixtures, repairing small leaks).
- Provide transparency so buyers don’t assume the worst.
HVAC System Issues
A broken or aging heating and cooling system is another common sticking point.
Why it matters:
- Replacement costs can reach $5,000–$12,000+.
- Buyers don’t want to move in and face immediate comfort issues.
Red flags inspectors look for:
- Units more than 15–20 years old.
- Inconsistent heating/cooling.
- Poor maintenance or dirty filters.
How to handle it:
- If the system works but is old, consider a home warranty as a negotiation tool.
- If it’s truly failing, get estimates quickly and be prepared to negotiate credits.
How Agents Can Stay Ahead of Inspection Issues
The best agents aren’t just salespeople, they’re problem-solvers. Here’s how to stay ahead:
- Encourage pre-listing inspections to avoid surprises.
- Build a network of trusted contractors (roofers, electricians, plumbers).
- Be transparent with buyers and sellers. Bad news handled early is better than a deal falling apart later.
- Use issues as negotiation tools, not deal-breakers.
About Bonded Roofing
For over 40 years, Bonded Roofing has proudly supported homeowners, buyers, and real estate professionals across Southern California. We specialize in roof inspections, repairs, and replacements helping agents keep deals on track by resolving roofing issues quickly and transparently.
Contact us today to schedule a free roof inspection or estimate and keep your next transaction moving forward.
