MarketWatch staffer Daniel Goldstein dissects the housing market's chronic pain points, here focusing on an area that can have a material impact on the scarcity of for-sale inventory and listings on the market.
We've seen the impact of homeowner fears when it comes to putting their existing homes up for sale, a fear that thwarts demand for new homes. Goldstein writes that pre-sale home inspections can de-rail sales and potentially lead to new home order cancellations:
A less helpful inspector might dwell on things like surface mold, chipped paint or other superficial problems, or present buyers with a long litany of issues, with no context about their relative importance and no estimate of the cost of fixing them.
How much business is being tied up in such matters? Who knows? Who wants to find out?