Is there a legal definition of “final walk-through inspection”?

QUESTION: I listed a property that went under contract. The buyer hired a licensed home inspector who inspected the property during the due diligence period. Closing is  scheduled for next week. The buyer’s agent has contacted me about conducting a final walk-through inspection. I know that paragraph 8 of the Offer to Purchase and  Contract (Standard Form 2-T) obligates sellers to provide reasonable access to the property including “allowing Buyer an opportunity to conduct a final walk-through  inspection of the Property”. My client has asked me about his obligations, and whether there is a “legal” definition of “final walk-through inspection”. What should I tell him?

ANSWER: We are not aware of any “legal” definition of the term “final walk-through inspection”. However, it is safe to assume that there are no limits on what the buyer is  permitted to inspect at the final walk-through.

Paragraph 11 of the Offer to Purchase and Contract states that a buyer’s obligation to complete a transaction is contingent upon the property being in substantially the same  or better condition at Closing as on the date of the offer, reasonable wear and tear excepted. The final walk-through is the buyer’s final opportunity to verify that there have  been no material changes in the condition of the property. While it may not be common for a buyer to request a re-inspection by their home inspector, such a re-inspection is  certainly within the buyer’s rights

Paragraph 8 of the Offer to Purchase and Contract obligates sellers to remove all personal property which is not part of the purchase, along with all garbage and debris. The  final walk-through is also the buyer’s opportunity to verify that the seller has complied with these obligations.

What if the buyer discovers new defects, or inadequate repairs, or things that are missing? The buyer’s agent should immediately bring any issues to the listing agent’s  attention and demand that they be corrected prior to Settlement. The Contract expressly provides that Closing constitutes acceptance of the property in its then-existing  condition, unless provision is otherwise made in writing. While most sellers will be anxious to close, and therefore to resolve any issues disclosed during the final walk-through, the buyer will face a difficult decision if the seller refuses to take corrective action. The buyer is legally permitted to terminate the contract, but only if the seller fails to materially comply with its obligations under the Contract. If the buyer has a question about whether a seller’s breach is material, the buyer should seek immediate legal advice.