What should I do with my home inspection report after closing?

In Texas, the state's inspection form describes an inspection as “a visual survey of a structure and a basic performance evaluation” that “provides information regarding the general condition of a residence at the time the inspection was conducted.” It is not “a technically exhaustive inspection” and “may not reveal all deficiencies.”

The American Society of Home Inspectors' standard works the same way: inspectors look at systems and components that are “visually observable, readily accessible, and installed.” So treat the report as the best snapshot you will get of the house as you bought it, and as a to-do list. It is not a warranty.

1. 1

   Keep the whole PDF

   Save it where you will find it in five years. It shows the condition of the house when you bought it, and inspectors often photograph equipment labels, which carry the brand, the model and usually a manufacture date.

2. 2

   Pull out the hazards first

   Texas reports mark an item Deficient when a condition “adversely and materially affects the performance of a system or component” or “constitutes a hazard to life, limb or property.” Those are very different things, so read each one and start with anything that is a safety hazard.

3. 3

   Get estimates for the big items

   The Texas form puts it plainly: it is the client's responsibility “to obtain further evaluations and/or cost estimates from qualified service professionals regarding any items reported as Deficient,” ideally before deadlines such as the option period run out. After closing the same advice holds for anything still unfixed. A licensed professional can confirm what the inspector could only see from the outside.

4. 4

   List your systems and appliances

   Heating and cooling, the water heater, the roof and each appliance, with the brand, model and age wherever the report shows them. That list tells you which filters to buy, which manuals to keep and what is close to needing replacement.

5. 5

   Turn the routine items into dates

   Filters, smoke alarms, the dryer vent, the water heater and GFCI outlets all have intervals. Put them on the calendar you already use. A list in a drawer reminds nobody.

6. 6

   Keep the receipts for what you fix

   The IRS says to keep records relating to property until the period of limitations expires for the year you dispose of it, because you need them to figure your gain or loss when you sell. Improvements add to your basis; ordinary repairs do not.