‘Walk-Through’ Is Buyer’s Last, but Vital, Step

Richard Gimigliano bought his first home--a new two-bedroom condominium in Canyon Country--in 1987. The last step before he completed the purchase was a walk-through inspection with the builder’s customer service representative.

Gimigliano spent fewer than 45 minutes in the condo. “I didn’t know anything about ‘walk-throughs,’ ” he said. “I came from eight years of apartment living.”

Two years later, Gimigliano sold his condo and bought a new three-bedroom house in Canyon Country. This time his “walk-through” took two hours.

“This was much more thorough . . . ,” he said. “There was more to look at; we (he and the builder’s representative) looked into every nook and cranny. The rep showed me a lot of things, such as correct operation of the furnace. He didn’t just point to the thermostat.”

Most of the items noted in his walk-through were minor--paint overspray and tar drips--and repairs were made promptly.

For most people, the purchase of a home represents the single biggest financial investment of a lifetime, and a walk-through is the final step in the process.

“The importance of this walk-through cannot be overemphasized,” said William Marchiony, the author of “The New Home Buyer’s Guide.”

“It is your best, and perhaps last, opportunity to examine the house in minute detail and point out defects in materials or workmanship to the builder’s representative.

“At this point, you still have a considerable amount of financial clout on your side to get these things corrected. The builder wants his money and, before he gets it, you need to accept this house,” Marchiony said.

“Look, look, and then look again,” he added.

Perhaps one of the smartest things you can do as a new home buyer to prepare for the walk-through is to investigate the builder before you buy the house and put your money down.

“Your home is a major purchase,” said Steve Kolb, an information officer with the Contractors State License Board. “I would like to see people spend as much time investigating before they purchase a house as they do when they purchase a microwave or video camera.

“Check out the developer,” he said. “Be sure that the questions you ask are as thorough and deep as you can make them. Talk to people who live in an earlier phase. Ask them if they got what they ordered. Did the builder respond to their problems in an expedient fashion? Were the repairs satisfactory? Did they treat (the homeowners) in a pleasant manner?”

After you have purchased the home, but before you do the walk-through, do your homework. Know which features are in the house you are buying.

“Find out which items are standard and which items are decorative in the model,” said Eric Brown of the Meyers Group, a real estate consulting firm. Brown did more than 500 walk-throughs in his previous job as sales manager for a home builder.

“Ask a lot of questions beforehand,” he said. “How many towel racks should you have? Which lighting fixtures are standard equipment?”

Marchiony advises the new home buyer to schedule the walk-through during daylight hours, and to allow at least 1 1/2 hours for the inspection.

“Don’t allow yourself to be rushed by the builder’s rep, whoever he may be--customer service rep, building superintendent,” he said. “They’ve been working with the house for at least three months. It’s like a piece of sticky tape they want to get off their hands.”

Eric Elder, the director of marketing for Kaufman & Broad Home Corp., added that a number of factors influence the length of the walk-through.

“Some inspections take 40 minutes, others take four hours,” Elder said. “The size of the home, the level of detail in the home and the level of education needed for operational items in the home all influence the length of time needed.

“I’ve had some buyers who will just look to see that everything is in place and others who bring ladders and tools,” he said. “I’ve even had buyers who disassembled the forced-air unit to check on filter placement.”

Said Les Thomas, a vice president at Brock homes: “A first-time buyer, or a foreign buyer, may take longer for the inspection because they are not familiar with how things work in the home. If there are fewer amenities, it takes less time.”

Bring a small electrical item such as a night light or electrical tester on your walk-through. Some experts advise bringing a pair of binoculars to examine the roof. Others recommend bringing a golf ball or marble to check the evenness of flat surfaces and uncarpeted floors. Some even suggest bringing toilet paper to toss in when you flush the toilets.

Eric Brown said he used to bring a small dental mirror to inspect the tops of doors and the moldings.

But, warned Marchiony, “Don’t bring the kids and don’t bring Aunt Susie. They tend to be distractions from the task at hand.”

As you conduct the walk-through, the builder’s rep will compile a checklist of everything discovered during the walk-through that requires attention. This written checklist is of vital importance to you and the builder.

“If any condition was not spelled out during the walk-through, (the builder) may take the position that it is something that you caused during or after you moved in,” said Marchiony. “Then they will classify it as a ‘maintenance item’ for which they would not be responsible.”

Make sure you obtain a legible copy of the checklist completed by the builder’s rep during your walk-through.

Most walk-throughs begin with the home’s exterior. (Please see story in adjacent column for areas to inspect.) When you move to the interior, a good starting place is the kitchen.

“One of the first things we do is to immediately go to the kitchen and turn on the dishwasher and oven,” Elder said. “You want the dishwasher to run through an entire cycle while you are inspecting the rest of the house. You want to be sure the oven heats up, maybe even check the broiler unit. You’ll also want to turn on the forced-air unit and let it run through heating and cooling cycles while you’re in the house.”

Marchiony added: “I’d say that people tend to miss checking kitchen cabinet doors and drawers. Open and close every door and drawer. Check if they’re warped. Don’t think you’re being too picky!

“I advise buyers to actually go into their closets and look out. Look at the frame and check if the drywall has been installed.”

“Make sure the doors don’t bind at the tops or bottoms,” he added. “Check the exterior doors closely because they’re exposed to the elements. Carefully inspect the weatherstripping.”

Home buyers and home builders don’t always agree on the quality of the workmanship, the materials used in construction or the repairs made.

“I would say the most misunderstood areas in home inspections fall in the area of surface finishes and the use of natural materials--ceramic tile, marble, granite, wall finishes,” Elder said. “Each tile is not going to be the exact same color. All the swirls in marble are not going to be exact--nature doesn’t make things that way. Color blends are going to be different, especially in a product such as a Mexican paver tile.

“A home is built by hand, by people, it’s not a robotic procedure,” he said.

During the walk-through, the builder’s rep should provide you with operating instructions, manuals and warranties on all appliances and major components of the home. He should show you the location of the electric panel, gas meter, water meter and main water shut-off valve.

“At the conclusion of the walk-through, you will be asked to sign the walk-through inspection sheet (checklist),” Marchiony said. “This form will essentially state that you are accepting the house from the builder, as is, subject to the defects thereon being corrected, repaired or replaced by the builder within a reasonable period of time.”

Most builders define a reasonable period of time as 30 days or less. There are some circumstances where a repair could take longer.

“Some items may be on back order, and some repairs require scheduling with subcontractors,” Brown said. “If a subcontractor is coming back to fix drywall mistakes, or a painter for touch-ups, he doesn’t want to make 50 separate trips to 50 different homes. I think the buyers need to have some patience.”

After you have moved into your home and while your home is under warranty, if you find a defect, you should contact your builder’s customer service department.

“Don’t, and this is the No. 1 thing--don’t just knock on the customer service door or construction door and say--’Hey, I’ve got a problem, can you come over and fix it?,’ ” said Brown. “That guy could be gone the next day, and you’ll have no written request (about) your problem. Always send everything in writing, for your protection and the builder’s, especially as you near the end of your warranty period.”

If, after numerous attempts to have a defect corrected, you and the builder are deadlocked, you do have several options to resolve the conflict.

Arbitration clauses are standard in some home purchase contracts. If your contract has an arbitration clause, you must complete arbitration before taking further action.

If you seek monetary restitution, you should see a small claims counselor or an attorney.

You also have the right to file a complaint with the Contractors State License Board.

“Call or write the nearest district office to obtain a consumer complaint form,” Kolb said. “The board will investigate after the written complaint is received and try to mediate the disagreement between the buyer and contractor.”

A walk-through on a resale home is different from a new home walk-through, but many of the items covered in the walk-through guidelines are applicable to resale home purchases.

“In a new home walk-through, you are looking for fit-and-finish details,” said Bob Leiffring, a realtor with Valencia Realty in Santa Clarita.

“I tell my clients first thing that the purpose of the walk-through is to determine that all systems are in working order and that the property is in the same condition as when they made the purchase offer,” he said. “They are buying a used home.”

“There will be nail holes where pictures were hung, there will be little things wrong with the house,” he added. “They (the buyers) are to determine that everything still works, but that doesn’t mean that it has to work like it was brand-new.”

Whenever his clients are purchasing a home that is more than 3 years old, Leiffring insists that they hire a professional inspector.

“Typically, the home inspection will cost between $125 and $175,” he said.

Leiffring added: “That’s not to say that the seller has to repair everything. Some of the defects can become points of negotiation if the purchase contract is written correctly. Since we always do a physical inspection first, the walk-through then becomes a perfunctory follow-up and inspection.”

Broker DeAnne Tippetts of Century 21 Realtors in Val Verde said she also encourages her clients to obtain professional inspections on resale home purchases.

“We have some homes in the area that are 25 to 40 years old,” she said. “We can’t see inside the walls. If you’re not a plumber, you have no way of knowing how good the plumbing system is.”

Tippets said she places a big emphasis on home buyer protection plans for resale purchase.

“It’s amazing how soon after a buyer moves in that something goes wrong in the house--a leak will spring up that never happened before. If there’s a home protection plan, the seller won’t have any additional headaches.”

HOME BUYER WALK-THROUGH GUIDELINES EXTERIOR:

1--The house: Inspect the exterior for color match and uniformity of surface. Are there cracks or gaps? Inspect the caulking.

2--Fences and walls: Are they sturdy? Do the gates function.

3--The roof: Is the shingle installation uniform? Are pieces missing?

4--Gutters and downspouts: Are they installed as per contract? Is roof water deflected away from the foundation?

5--Grading: Does it slope away from the foundation or footing to allow proper water drainage?

6--Driveways and sidewalks: Are the surfaces flat or are there broken corners and raised areas? Are there any cracks?

7--Electrical fixtures: Are all standard fixtures, including globes, installed? Do exterior outlets work and have waterproof covers?

8--Property lines: What is your exact property line? If there aren’t any fences or walls included, this is a very important area to establish.

9--Landscaping: If it is part of your purchase contract, has everything ordered been planted? Does the sprinkler system work? Do the outdoor faucets work?

10--Pool and/or spa: If there is one, check the concrete and tile for cracks or chips. Are the filters operational?

11--Miscellaneous: Has your mailbox been installed? Does the doorbell work? Have the house numbers been installed?

INTERIOR:

1--Walls and ceilings: Are there any dents, gouges, nail pops or bad joints? Are the texture and color even? Are there any major cracks? Are trim pieces installed?

2--Floors: Are they flat and even? Has the carpet been evenly installed? Do you feel high and low areas as you walk on the carpet? If you have vinyl flooring, does the pattern match? Are the seams visible? Is the floor securely cemented? Has the base shoe molding been installed? If you have ceramic tile, are there cracked or chipped tiles? Are the joints even and symmetrical? Is the grout even and the same color? Are all the tiles the same height? With wood floors, look for scratches or gouges. Is the finish evenly applied?

3--Electrical system: Bring an electrical tester or a small electrical appliance such as a night light to test every outlet. Bring a light bulb to test the operation of light fixtures. Have the standard fixtures been installed, including the globes? Do all switches and outlets have a cover plate installed? Do the three-way switches work? Test the GFI (ground fault interrupter) outlet, usually located in one of the bathrooms.

4--Windows and doors: Check the ease of operation. Do they stick? Are they hard to open and close? Do they latch securely? Do the locks work? Are they weather tight or do you see spaces and gaps when they are closed? Has the weatherstripping been installed? Is any glass scratched? Are screens installed? Are doorstops installed on all doors?

5--Closets: Have the clothes poles and standard shelves been installed?

6--Cabinets: Are there scratches in the doors? Are there any warped doors? Is the hardware (knobs and handles) installed?

7--Kitchen: Test all appliances. Run the dishwasher through a complete cycle. Test the garbage disposal and trash compactor operation. Turn on all hot and cold water taps and make sure they are connected properly. Fill the sink and tub with water to be sure they hold water. Watch drainage when you release the plug. Check under the sinks for leaks.

9--Fireplace: Check the damper operation. Is the flue clear?

10--Laundry room: Check the dryer connection. Is it gas or electric? Has the vent been installed?

11--Garage: Check the ease of operation of the door. Does it have a proper fit? Are there ventilation holes? If the garage is attached to the house, the surface of the floor should be at least 4 inches below the first floor of the house.

12--Attic: Where is the access? If it is a ceiling hole, check for proper fit. Is it properly ventilated? Are the vents screened?

Sources:

“The New Home Buyer’s Guide” by William Marchiony (1986--Carefree Living Co.; Thousand Oaks, Calif.)

“The New Home Inspection Handbook” by Howard Hugh of the Home Renovation Associates (1987--Doubleday & Co., Inc.; Garden City, N.Y.)

Builder’s New Home Inspection Forms form: Kaufman & Broad and Valencia Co.