ProFile Transaction Management

Inspection Clause Verbiage Examples

Looking for clauses to write up your inspection requests?

Here are some that we have used for our agents in the past. Hope you find them helpful.


General Inspection clauses

Seller agrees to have the following item(s) completed and provide paid receipt(s) and lien waivers for invoices exceeding $500, to the buyer prior to final walk-thru 3 days prior to closing. Seller will have proper permits pulled and closed out for items the city requires as part of their policies.


Radon mitigation system to be installed by a licensed radon- reduction contractor to reduce the radon levels to below 4.0 pCi/l. Radon to be retested by the seller after installation and results to be provided to the buyer. 


HVAC system to be cleaned and certified to be in good, safe and efficient working order by a licensed MN HVAC technician. If the technician finds the HVAC system not in good, efficient working order, seller to have all necessary repairs or replacement completed.  

All HVAC items to be completed by a MN licensed HVAC technician. Results and paid receipts to be provided to the buyer prior to final walk-through. If HVAC system is found to not be in safe working efficient order then seller to have it repaired or replaced at sellers expense prior to closing.

  1.       HVAC system to be cleaned
  2.       HVAC system to be certified to be in safe working efficient order
  3.       Thermostat shall be in working order
  4.       Replace motor and all filters in air exchanger

All windows to be fully functional by final walk-through. If windows need repaired or replacement is needs to become functional, seller will have work completed by a MN licensed contractor and provide copies of paid receipts prior to final walk-though.  Seller to pay for any re-inspection fee of appraiser if needed to finalize appraisal and financing for closing.

Open Permit

Seller agrees to provide proof from the city that the current outstanding permit has been closed ie. basement permit.

Electrical Examples

Seller to pay a maximum of $ _____ towards electrical repairs, ie. Ceiling fans, light fixtures, installation cost. Licensed electrician to perform all electrical work. Buyer will be responsible for any cost over $_________. Invoice to be paid out of seller’s proceeds at closing. All proper permits will be pulled and closed out prior to closing.

All electrical items to be completed by a MN licensed electrician.

  1. All breakers in panel box  to be properly sized in accordance with the wire size.
  2. Open breaker slots to be covered with snap in protective breaker covers.
  3. Relocate service panel box to a proper location out of bathroom per electrical code.
  4. Exposed romex wire in the garage to be installed inside rigid conduit, or inside the wall or ceiling.

All plumbing items to be completed by a MN licensed plumber.

  1. Repair leaking shower surround in the basement bathroom, to no longer leak.
  2. Washing machine drain in the wall if not being used to be capped.
  3. Replace inside shutoff value for exterior hose spigot. (located on the ceiling of mechanical room)
  4. Floor drain in the basement to be inspected and repaired to resolve the gurgling sound.
  5. Water leaking down the garage wall to be inspected and repaired to no longer leak, and any damage or mold to be mitigated. 

Escrow Examples

General outline 

Seller agrees to escrow 1.5 times the estimate/invoice received on _____ date for ____ repair.  All work shall be completed by the company issuing the estimate/invoice.  Seller and buyer agree to cooperate for property access to allow for swift completion of the work needed.  Proper permits and paid receipts will be provided to the buyer and buyers agent upon completion. 

1 – For Buyer (specific) 

Seller agrees to bring certified funds of $______ for unfinished garage repair to closing. Funds will be held in Keller Williams Premier Realty escrow account to cover the remaining invoice for the garage door replacement/repair and any additional cost that may come up during installation.

Keller Williams Premier Realty will pay Ole and Lena’s Garage Door Service directly for the invoice. Any remaining funds will be returned to the seller, Kelsey Okey. Payment to both the garage company and seller will be disbursed within 5 business days after work has been completed along with a copy of the paid invoice.  All work to be completed within 2 weeks of closing or all funds will be refunded to the seller.

Checks to be paid to the following…

Ole and Lena’s Garage Door Service, LLC
P.O. Box 20732
Bloomington, MN 55420952-888-1110

Kelsey Okey
5245 43rd Ave. So.
Minneapolis, MN 55417

2 – For Seller

Seller will be placing $5,839.00 out of the seller’s proceeds at closing into Keller Williams Premier Realty-Lake Minnetonka’s escrow account to cover the cost of the three remaining windows and installation that will be installed by PCS Residential in January 2014. Keller Williams Premier Realty- Lake Minnetonka will disburse the final payment of $5839.00 directly to PCS Residential upon completion of the final three windows being installed by PCS Residential providing Keller Williams Premier Realty- Lake Minnetonka with a copy of the final inspection approval of the closed out permit from the City of Plymouth.

PCS Residential final check will be mailed to 2005 Pin Oak Dr, Eagan, MN 55122 within 3 business days of receipt of the above described closed permit.

Home Warranty

Seller to pay for a home warranty of buyer’s choice up to $____   Buyers agent will order and provide title companies and listing agent with invoice for home warranty prior to closing for payment on Alta statement by the seller.  (make sure to check the costs for the specific property by contacting the warranty company – remember to check for well/septic/extra furnaces/ pools / hot tubs / any addition add ons that would be property specific so your buyer has proper coverage) 

MISC examples

Seller to hire professional insured title contractor to regrout the master shower title with same color grout as currently installed to prevent any further water intrusion.

Seller to hire professional insured appliance contractor or plumber to repair the dishwasher to no longer leak to prevent future water intrusion.  If it cannot be repaired, the seller agrees to install a new dishwasher of similar kind, color and quality. 

Seller agrees to have the following items completed at seller’s expense and provide paid receipts to the buyer by _______, 20__. This signed amendment removes the inspection contingency. 

I. The following to be repaired by a MN licensed Electrician

GCFI outlets to be installed in the following locations: Microwave; Stove/Oven on110 Volt in Kitchen; 110 Volt Laundry Outlet;Dishwasher/Garbage Disposal on same outlet – needs GCFI;

II. The following to be repaired by a MN licensed HVAC

Air conditioner and Furnace appear to be original and well over 20years old. Both to be serviced, tuned up and certified to be in proper working condition. Repair as necessary.

III. The following to be repaired by contractor/handyman

Upper level bathroom exhaust can loose from roof decking. Moisture in the attic will allow biological growth. Inspect and Reattach to roof decking. Ensure proper operation.

  • Seller will have subcontractor fix/replace the microwave fan, handle on gas valve and attach exhaust fan duct properly in attic
  • Seller will have licensed electrician repair/replace obstructed outlets and ungrounded 3 prong outlets. Electrician will also repair double all tapped breakers in the electrical panel.
  • Seller will have licensed contractor repair/seal friable asbestos on the basement boiler pipes

Please always check with your broker or attorney for approval to use any clauses. ProfileTM is NOT an attorney or licensed broker to provide legal or real estate advice.