What to Expect During FSBO Inspections in Illinois

Selling your home without a real estate agent — also known as For Sale By Owner (FSBO) — can be a smart financial move, but it also requires more hands-on involvement. One of the most critical and sometimes stressful steps in the FSBO process in Illinois is the home inspection. Understanding what to expect, how to prepare, and what legal responsibilities you hold as a seller will help ensure a smoother experience and fewer surprises.

At The Real Estate Law Firm, we’ve guided countless Illinois FSBO sellers through successful home inspections, helping them stay compliant and confident throughout the process. Here's what you need to know.

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7 Things FSBO Sellers Must Know About the Home Inspection Process

1. Why Inspections Matter in FSBO Sales

In Illinois, a buyer almost always includes a home inspection contingency in the purchase agreement. This clause allows them to have a licensed inspector evaluate the property before finalizing the sale. If serious issues are found, the buyer may:

• Request repairs,

• Negotiate a price reduction,

• Or walk away from the deal altogether

  
  

Inspections protect buyers, but they’re just as important for sellers to understand. As a FSBO seller, you're not only responsible for allowing inspection access, but also for negotiating any outcomes that follow — without the aid of a real estate agent.

2. The Home Inspection Process: Step by Step

Step 1: Buyer Schedules the Inspection

After the offer is accepted and a contract is signed, the buyer typically has 5 to 10 business days to complete an inspection, depending on what’s stated in the contract. They will hire a licensed home inspector.

Step 2: Inspection Day

The inspector (often accompanied by the buyer and sometimes their agent) will spend 2–4 hours evaluating the:

• Roof and foundation

• Electrical systems

• Plumbing

• HVAC

• Windows and doors

• Attic, insulation, and ventilation

• Appliances (if included in the sale)

  
  

As the seller, you are not required to be present, and many buyers prefer you are not, to speak freely with the inspector. Be sure to provide full access to all areas of the home.

Step 3: Inspection Report

After the inspection, the buyer receives a detailed report, which they may share with you. This report outlines both minor and major issues. It’s not uncommon for even well-maintained homes to turn up a long list of minor concerns.

3. Common Issues Uncovered in Illinois Inspections

Illinois homes — especially those built before 1980 — often show the following issues:

• Electrical panel upgrades needed

• Radon gas presence (a common concern in Illinois)

• Foundation cracks due to freeze-thaw cycles

• Roof damage from hail or ice

• Old plumbing (especially galvanized steel)

• Code violations from unpermitted renovations

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Being prepared for these potential findings helps reduce stress and speeds up your negotiation process.

4. Negotiating After an Inspection

This is often the most delicate part of an FSBO transaction. If the buyer asks for repairs or credits, you’ll need to respond without the guidance of a listing agent.

At The Real Estate Law Firm, we advise FSBO sellers to consider the following:

• Is the issue a safety or code concern? These are harder to avoid fixing or negotiating.

• Can you offer a credit instead of doing the work yourself? Buyers often prefer this.

• Is the buyer being reasonable? Sometimes buyers will nitpick. Knowing your rights helps you stand firm.

  
  

You have three basic options:

1. Agree to the buyer’s requests.

2. Offer a compromise (partial credit or only addressing major concerns).

3. Refuse the requests and risk the buyer walking away.

   
   

5. Legal Obligations After an Inspection

Illinois law requires disclosure of known defects — even those discovered after an inspection if the deal falls through and you relist the property. That means:

• If a buyer’s inspection uncovers mold or foundation issues, and they walk away,

• You must disclose those issues to the next potential buyer.

  
  

The Real Estate Law Firm can help you update your Illinois Residential Real Property Disclosure Report accurately and avoid liability.

Contact us to update your seller disclosure form

6. How to Prepare Your FSBO Property for Inspection

Being proactive can make a major difference. Here's how to prepare:

• Fix visible issues (leaky faucets, cracked windows, exposed wiring).

• Clean and declutter — inspectors notice everything.

• Label access panels for the attic, crawl space, circuit breakers, etc.

• Replace filters and service HVAC systems.

• Leave the house during the inspection to avoid making buyers uncomfortable.

  
  

Even small touches like labeling circuit breakers or cleaning gutters can show buyers the home has been well cared for.

7. Working with a Real Estate Attorney During Inspection Negotiations

FSBO sellers often feel overwhelmed by the legal and negotiation complexities of inspection reports. That’s where a real estate attorney is essential.

At The Real Estate Law Firm, we:

• Review inspection requests and contracts,

• Help you respond in writing with appropriate legal language,

• Protect your rights while maintaining deal momentum,

• Draft addendums if repairs or credits are agreed upon.

  
  

This ensures your deal stays compliant with Illinois real estate law and reduces the risk of post-closing disputes.

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Conclusion

FSBO inspections in Illinois aren’t just a technical step — they’re a make-or-break moment in your home sale. Knowing what to expect, preparing ahead of time, and having legal support can help you handle this stage with confidence and professionalism.

With the guidance of The Real Estate Law Firm, you don’t have to navigate FSBO inspections alone. Our experienced attorneys are here to safeguard your interests, keep you compliant, and move your sale toward a successful closing.

FAQs:

1. Do I have to allow a buyer to inspect my home in a FSBO sale? 

   No, but most buyers will require it. Denying an inspection usually kills the deal.

   
   

2. Who pays for the home inspection in a FSBO transaction? 

   The buyer typically pays for the inspection, even in FSBO sales.

   
   

3. Can I be present during the inspection? 

   You can, but it’s generally advised to leave during the process to give the buyer space.

   
   

4. What happens if I refuse to make repairs after the inspection? 

   The buyer can cancel the deal if the contract allows it, or you may renegotiate.

   
   

5. Am I legally required to fix everything found in the inspection? 

   No, but you must disclose known material defects to future buyers if the deal falls through.

   
   

6. What is a typical timeline for inspections in Illinois? 

   Most contracts allow 5–10 business days after acceptance for inspections to be completed.

   
   

7. Can a deal fall through because of inspection findings? 

   Yes, especially if serious structural or safety issues are found and no agreement is reached.

8. Should I get a pre-inspection before listing my FSBO home? 

   It’s optional but can give you a chance to fix issues in advance and make negotiations smoother.

   
   

9. How do I handle a buyer’s inspection report as a FSBO seller? 

   Review it carefully, consider reasonable requests, and consult an attorney like The Real Estate Law Firm to respond appropriately.

   
   

10. Can The Real Estate Law Firm help me with inspection negotiations? 

    Absolutely. We provide legal guidance to FSBO sellers throughout the inspection and negotiation phase, ensuring compliance and protection.