There’s one thing almost any real estate agent can agree on: Home inspection can put up some major hurdles when it comes to closing a deal.
While there have been a lot of innovations in the real estate industry over the years, surprisingly, it is an area that has not seen much progress. While new technology has sped up almost every other part of the deal, home inspections always seem to delay the show.
This lack of progress inspired Hippo, a home insurance group, to shake up home inspections and bring attention back to the homeowner. What they realized was that everyone involved in the transaction was looking for more than just a home inspection – they were looking for peace of mind and a clear path to the closing table.
In August 2020, Hippopotamus* connected with Inspect, a marketplace for home inspections that streamlines the process and helps agents speed up transactions. With a common goal of creating a better home inspection experience through innovation, Hippo and Inspectify were the perfect partners to launch Hippo’s unique new product: Inspection protection.
Inspection Protection offers a one-of-a-kind protection plan, covering eligible structural system repairs for issues missed by an inspector during a home inspection. Unlike a standard residential warranty, this extra layer of protection covers certain structural systems including foundations, roofs, walls, ceilings, fireplaces, garages and more for one year and up to $ 100,000 *.
During a pilot program, the results were overwhelmingly positive. On the listing side, homes that included inspection protection spent less time on the market, and buyers were 4 times more likely to forgo their inspection. This saved three or more weeks on the overall transaction. Additionally, the inspection report is available online for potential buyers, which helps generate leads and inspires confidence that no one will hold their breath while waiting for the inspection shoe to drop off when due diligence. reasonable.
It’s not just about helping on the registration side either. Hippo and Inspectify see buyers benefiting from inspection protection for their own peace of mind. Home prices are high and buyers are stretching their budget to competitive bid on their dream home. When you’re strapped for cash, doing post-shutdown repairs can be stressful, and structural issues are some of the most expensive repairs to do. Knowing that there is an extra layer of protection if something goes wrong can help new buyers feel comfortable with their investment.
As the real estate industry continues to evolve, the pain points of the process become more and more glaring. The world we live in today expects convenient service and quick, hassle-free resolutions. And when making a large investment like buying a home, people look for certainty and peace of mind. Innovative products like Inspection Protection prove that an extra layer of assurance can go a long way in reducing the gap between offer and close.
* Hippo Warranty Solutions Inc. is Hippo’s service contract provider for inspection protection. Inspection Protection is currently available in Arizona, Colorado, Delaware, Georgia, Illinois, Kansas, Kentucky, Maryland, Massachusetts, Minnesota, Nebraska, New Hampshire, New Jersey, Ohio, Pennsylvania, South Carolina, Tennessee, Texas and Vermont with other states to come soon. Hippo Warranty Solutions Inc. is licensed or authorized to provide service contracts in the above states. Service contracts are subject to the terms and conditions, exclusions, deductibles and limitations, including, but not limited to, an aggregate claim limit of $ 100,000. The cost of the contract is based on the age and size of the house.