The recent British Columbia Supreme Court decision regarding the underestimation of a home inspector's report on structural issues in a home has just reinforced the importance of making an informed decision in choosing who you hire to do a home inspection on a house you are considering purchasing.

The case involved a couple in Vancouver who had an accepted Offer of Purchase and Sale on a house for $1,095,000 which was conditional upon home inspection and financing.  After the home inspection was complete the inspector gave the buyers a written and verbal report of the home.  The inspector noted a number of structural deficiencies that he told his clients would be in the area of $15,000 - $20,000 to repair.  Based on this information the buyers firmed up the deal and proceeded to buy the home.  After closing the new owners discovered that there were in fact serious structural problems with the home with a repair bill of $212,920.

Prior to the inspection of the property, the home inspector had the buyers sign a contract which contained an exclusion of liability clause. An exclusion clause states that the inspector is only liable for damages up to the cost of the home inspection for any errors or omissions, $450.00 in this case. After a five day trial, the judge found that the new owners would never have bought the house had they known the full extent of the structural problems. In spite of having signed the contract, which the judge felt that the new owners didn't understand, they were awarded the actual costs of the repairs less the original estimate of $20,000 the home inspector quoted for a total damages of $192,920 to be paid by the home inspector.
.

This could be a ground breaking case for home inspectors in Canada.  

Did you know that B.C. is the only province requiring home inspectors to be licensed?  Did you know it is possible to get home inspection training over the internet?  Scary considering you are placing your trust in a home inspector to tell you if the home you are about to purchase is sound and safe.

When choosing a home inspector do your homework.  Do they have accreditations with reputable organizations such as CAHPI (Canadian Association of Home and Property Inspectors)?  Do they have full errors and omission insurance?  If you want to find out more about how to choose a home inspector go to CMHC's web site or CAHPI's web site.