Why Home Inspection Reports Can Derail Sales
It’s one of the most frustrating truths in real estate: deals fall apart after the inspection.
According to Redfin, nearly 15% of pending home sales fell through in May 2025—the highest cancellation rate ever recorded for that month. A Business Insider analysis found the same pattern in July: over 15% of purchase agreements collapsed, the highest level since 2017.
Yes, mortgage rates and affordability pressures are part of the story. But in many cases, the real deal-breaker is the home inspection report.
Here’s the problem: buyers make offers in the dark. Then the inspection reveals costly repairs, outdated systems, or hidden risks. Excitement quickly turns into hesitation, often ending in withdrawal. The result? Weeks of wasted time, broken contracts, and lost trust.
The Limits of Traditional Pre-Listing Inspections
Some sellers and builders try to get ahead by ordering pre-listing inspections. But these come with built-in flaws:
- The seller sees the report, which makes buyers doubt its neutrality.
- Most buyers still order their own inspection, adding redundancy, delays, and extra cost.
- Sellers resent paying inspection fees upfront, with no guarantee of recovery.
Instead of creating clarity, the old model creates more questions than answers.
How the Good Faith Inspection Program Builds Buyer Trust
The Good Faith Inspection Program (GFIP) reimagines how inspection data is delivered. Instead of hiding behind fine print or pushing costs forward, GFIP puts truth first:
- Inspection First, No Upfront Cost: Homes are inspected before they hit the market. Builders and sellers pay nothing upfront.
- Buyer Access via QR Code: A sign at the property lets buyers scan and instantly purchase the discounted inspection report.
- Refund Option for Sellers: If three or more buyers buy the report, the seller is refunded in full.
- No Report Sharing with Seller or Builder: The inspector’s findings go directly to buyers—ensuring objectivity and transparency.
This approach transforms the home inspection report from a deal-breaker into a deal-builder.
Who Benefits from Transparent Inspections?
For Buyers
- Review the inspection report before making an offer
- Avoid costly surprises after signing
- Negotiate with confidence.
For Sellers & Builders
- Protect reputation with full transparency
- Reduce deal fallout and lowball offers.
- Pay nothing upfront—and possibly nothing at all.
For Agents
- Spend less time rescuing contracts.
- Present cleaner, stronger offers.
- Position yourself as a consumer-first advisor.
The Future of Real Estate Transactions: Truth Over Trust
In today’s market, promises aren’t enough. Buyers don’t want fine print—they want proof.
A home inspection report shouldn’t arrive as a shock weeks into the process. It should be the foundation of informed, confident negotiations. The Good Faith Inspection Program makes that shift possible by delivering unbiased data to buyers first.
Truth builds stronger deals. GFIP makes it possible.