Commercial vs Residential Inspections

Are commercial property inspections the same as home inspections in the area of property inspections?

The simple answer to this question is no! Commercial property inspections are unambiguously different. Commercial property inspections require more technical knowledge and training than residential inspections.

A commercial property inspector should have a good knowledge of the different types:

• Construction structures
• Roofs
• Heating, air conditioning, and ventilation systems
• Components and systems for electrical power
• Parts and systems for plumbing
• Concerns about environmental causes
• Criteria for insurance
• Building codes
• Fire codes

Examples of Commercial Buildings

Apartment buildings- Office Spaces

– Manufacturing plants

– Medical offices

Hotels and Motels

Restaurants

– Retail stores

– Shopping centers- Complexes and high rises

– Strip plazas

Warehouses

– Farm buildings

– Worship sites

– Institutional buildings

A commercial building inspector’s knowledge and expertise are used to guide and protect the buyer from costly repairs or surprises. The inspector also has access to a wide range of contacts that can offer specialty inspection services (e.g., environmental, fire safety, elevators, etc.) Should the need arise.

Commercial inspections are more dangerous and present unique challenges. These buildings are more significant and have many more components. A home inspection might reveal a defective HVAC system that needed to be properly inspected. This could cost the buyer between $7K and $10K to replace. Commercial properties are more affordable at $10K than the thousands or hundreds of thousands required to replace an entire system. There’s no room for error.

Depending on the property, a commercial building inspector may be required to assess environmental concerns. A commercial building inspector is well-versed and can alert the buyer to potential problems, provide cost estimates, and put you in touch with professionals to resolve them. You can take out buried oil tanks and remove them.

Commercial building inspections must adhere to ASTM Standard E2018-15 protocol. Commercial buildings have higher inspection fees because they are more expensive and require more work. The review may take up to a day, depending on the size and complexity of the building. It can also take several days to complete the final report, including cost estimates and photographs.

The critical difference between a residential and commercial building inspection is

Many residential home inspectors are emotionally attached to their property. They fell in love with the backyard, garage, and kitchen. They see themselves living there and creating new memories. Appraisals and market comparables are used to determine the value of a real estate transaction.

Because they are involved in a business transaction, commercial inspection clients don’t tend to be emotionally or personally involved. Buyers evaluate the property’s past and potential revenue-generating potential. They are most concerned about the return on their investment, the durability of the roof, and the cost of replacing it.

A commercial inspection focuses primarily on effective systems and not interior cosmetics. Inspectors are mainly looking for problems that could be immediate or future issues. While the buyer is less concerned about the condition of the carpeting inside the building, he will be apprehensive about the roof heating system, which could run into excess of $10K.

Words of Caution

One common misconception in the real estate industry is that home and commercial inspectors are the samethings. They are two different breeds, and the differences are significant.

The home inspector in okotoks AB inspects all areas visible and accessible to the house and takes a close look at the plumbing and electrical systems. The inspection takes between two and three hours. A report is provided to the client after completion or the next day.

Commercial building inspectors are more skilled, have more knowledge, and are better equipped to inspect commercial buildings. The building’s components are more complex and can differ significantly from a home’s system, so it is essential to hire the right person. Commercial inspections can take up to 6 hours and can be completed daily. The report is compiled and sent to the client within a few days.

A plumber won’t rewire your home. So why would you ask one to inspect a commercial property?

An experienced commercial building inspector can be a lifesaver and a cost-saving investment. Hiring only the best to protect your investment is an intelligent decision.