Difference Between Commercial and Residential Property Inspection

While making a purchase of a new house or investing in a commercial building, a thorough inspection beforehand is very important. One should also know not only the difference between commercial and residential property inspection, but also what to expect in the process. It is important to mention that although these two forms of inspection are similar in many ways, there are also some essential distinctions that should be remembered.

Through this blog post, we are going to talk about the differences between residential home and commercial building inspection, and what they usually involve. 

Different Forms of Inspection for Various Properties

There are two categories of inspections, namely residential home inspections and commercial building inspections. The residential inspections are commonly carried out prior to the purchase of a home or prior to the sale of a home. Commercial inspections are employed to make the potential investors know the condition and value of a commercial property.

Scope and Purpose of Residential Home Inspection vs Commercial Building Inspection

A property inspection is usually in accordance with the type of property that will be inspected. The distinction between the commercial and residential inspections is mainly in the size and the complexity of the inspection itself. Inspections of residential homes are done on individually owned houses and other smaller residential units. They are also not usually as elaborate in terms of systems and infrastructure since the issues will usually revolve around the fact that as long as the property is safe and habitable to a family or individual, then everything is okay.

Commercial inspections, on the contrary, are significantly bigger since they involve bigger buildings or complexes that are of business. A commercial inspection is not aimed at just making sure the building is safe, but also making judgment on the general functionality of the property, and also on other more complex systems such as HVAC, plumbing, electrical, and structural integrity. Since commercial buildings contain larger systems and are bound to more regulations, the inspection encompasses more specialized factors.

Type of Systems Inspected

The major systems that will be examined in the case of residential inspection are the building structure, the roof system, plumbing, electrical system, HVAC, and home appliances. Considering that these inspections are aimed at making sure that the property is maintained to the minimum requirements in terms of health and safety, the inspector will examine the premises in question to look whether there are any electrical failures, leaks, molds, or poor structural conditions, as all of those can be hazardous to the residents of the specific household.

The systems under review are much more complicated and large-scale in commercial inspections. This is one aspect of how commercial inspections differ from residential inspections. A business inspection can entail a thorough examination of the status of the electrical grid of the building that might accommodate several floors, companies, and tenants. There are also regularly checked mechanical systems such as elevators, escalators, fire suppression systems, and security infrastructure, which are usually lacking in residential buildings. Commercial building plumbing system also needs to be inspected in a wider scope, as they are usually created to accommodate a much greater amount of water usage, and any malfunction may impact a huge number of individuals simultaneously.

Legal and Regulatory Issues

The other significant distinction between commercial and residential inspections is the scope of legal and regulatory issues. The residential property usually has to meet the local building codes and zoning regulations, although the rules they have to follow are fairly simple. The inspections of residential properties will be frequent, whereby the property will be checked to ensure that it has the capacity to meet the necessary conditions required in the property as stipulated by the local ordinances. This may involve checking such items as fire safety, checking that the electrical wiring is in good shape, and verifying that plumbing fixtures are in compliance.

Commercial properties are much stricter. Not only must they be compliant with the local building standards, but they must also be subject to the federal standards that may incorporate the Americans with Disabilities Act (ADA), Environmental Protection Agency (EPA) standards, and Occupational Safety and Health Administration (OSHA) standards. The inspection regulation of commercial facilities is far more complicated because of the size of the premises and the influence on the population. Commercial inspections will frequently be required to ascertain that the laws of zoning are upheld to define how the property will be used, its accessibility to persons living with disabilities, and that the property meets environmental standards.

Time and Cost Differences

Home inspections are also likely to be faster and cheaper since they have a shorter area of inspection. The average home inspection of a single-family house or condo can be done in a matter of two or three hours. The price is normally between 300 and 500 dollars, depending on the size of the property and the location. This is a general valuation of the structural integrity and systems of the property, as well as any observable damage or age in the property.

The buildings and the magnitude of commercial inspections make the task very time-consuming. Depending on the size of the property, a commercial inspection can take one whole day or a number of days. The price of a business inspection may be between 1,000 and 5,000 or more. The bigger the building or the more systems to be considered, the more expensive and time-consuming it will be. These are some of the major differences between home inspections and commercial inspections.

Outcome and Impact on Buyers

The inspection of residential real estate property is commonly a bargaining chip or a breaker of deals. A buyer can take advantage of this situation by having the inspector point out significant problems, including old wiring or leaks, to renegotiate the price or even withdraw the transaction.

In the case of commercial properties, though, the inspection process is usually a subset of a bigger due diligence process. The inspection is also more comprehensive as it encompasses the factors that can affect the terms of insurance or leasing.

Conclusion

The commercial inspection is much more complicated and takes so much more into consideration, whereas the residential inspection is more concerned with the fact that a house is safe and can be occupied. The knowledge of the differences between home inspections and commercial inspections will enable buyers and sellers to navigate their respective real estate markets much better and make better decisions on property investments.

Sabreez Home Inspection is one of the few organizations with a team of specialist inspectors for both of these fields. Get in touch with a representative now to schedule your inspection.

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