1. Tennessee State HOME INSPECTION Standards

2. References ■ Tennessee Department of Commerce & Insurance  http://tn.gov/sos/rules/0780/0780- 05/0780-05-12.pdf ■ Chapter 0780-05-12 Home Inspectors ■.10 Standards of Practice ■.11 Code of Ethics

3. Learning Objectives ■ Home Inspection Process  The Definition and Scope  Home Inspectors Shall ■ Provide Written Contract ■ Required Inspection Items  Top Ten Defects ■ Provide written Report  Minimum Reporting Requirements  Required Items to be Reported or Described  Methods or Types of Reports ■ Code of Ethics ■ Summary

4. Presented by Larry Fowler Guardian Home Inspection Specialist The Home Inspection Standards of Practice

5. The Inspection Process ■ Home Inspection Standards of Practice  Set by the State of Tennessee  Chapter 0780-05-12 Home Inspectors  Rules of the Department of Commence and Insurance Division of Regulatory Boards ■ These rules set forth the minimum standards of practice required of the tate of Tennessee licensed home inspectors

6. Definition and Scope ■ Home inspections performed according to the state standards shall provide the client with an understanding of the property conditions at the time of the inspection ■ Applies to structures that are used as residences of from one to four (1-4) family dwelling units and their attached garages and carports ■ Shall not offer or act contrary to law ■ Shall not offer or perform a job function (i.e. engineering, architectural, plumbing, electrical) that requires a state license for the same client unless they are advised thereof and consent

7. Definition and Scope ■ Home Inspectors are not required to:  Offer warranties or guarantees  Calculate strength, adequacy or efficiency  Enter or perform any procedure that may be dangerous or damage anything  Operate anything shut down  Operate any system that does not respond to normal controls  Move personal items or equipment  Determine the effectiveness of any system to control hazardous substances  Predict future conditions or failures  Project operating costs  Inspect equipment outside those listed components to be inspected

8. Home Inspectors Shall: ■ Provide a written contract ■ Inspect readily visible and readily accessible systems and components listed to be inspected in the State of Tennessee Standards of Practice ■ Submit a written report

9. The Written Contract

10. Written Contract Shall ■ State that the inspection shall be performed in accordance with the State Standards of Practice ■ Describe what services shall be provided and their cost ■ State that the home inspection will not address:  Lead Based Paint; Radon; Asbestos; Cockroaches; Rodents; Pesticides; Treated lumber; Fungus; Mercury; Carbon Monoxide or other environmental issues

11. Written Contract Shall ■ State that the home inspection will not address:  Sewage Disposal  Water Supply  Fuel storage or delivery ■ State, when the inspection is only for one or a limited number of systems and components, that the inspection is limited to such

12. Questions?

13. 3. HOT LINE: Who Can Perform Inspection? QUESTION: For the buyer to terminate the contract, does the home inspection have to be performed by a licensed home inspector? Can the buyer terminate the contract on the opinion of a third party inspector? ANSWER: If an individual is performing a “home inspection”, i.e., an inspection of the entire house, then they are required by law to be a licensed home inspector. However, if an individual component is being inspected, then an individual who meets all of the applicable state requirements for that field may inspect that particular item. For example, if you only wanted the electrical system inspected, then you could have a licensed electrician inspect it and provide a report. However, a general contractor cannot provide a home inspection of the entire house unless he is also a licensed home inspector. There is nothing in the home inspector law which would prohibit a buyer from performing their own inspection. Additionally, it is our opinion that the seller would be bound by the list provided by the buyer regardless of whether it was the result of an inspection done by himself or by a licensed home inspector. However, the seller IS NOT obligated to respond to a list that was made as a result of a third party (i.e., Uncle Bob who builds houses) who “inspected” the house. If the seller does not want to honor a list provided by a buyer, then he/she should negotiate that on the front end. [SOURCE: TAR's Legal & Ethics Hot Line Attorneys]

14. What’s Required to be Inspected (and what is not required)?

15. Definitions ■ Automatic safety controls – means devices designed and installed to protect systems and components from excessively high or low pressures or temperatures, excessive electrical current, loss of water, loss of ignition, fuel leaks, fire, freezing or other unsafe conditions ■ Central Air Conditioning – means a system that uses ducts to distribute cooled or dehumidified air to more than one room or uses pipes to distribute chilled water to heat exchangers in more than one room, and that is not plugged into an electrical convenience outlet

16. Definitions ■ Component – means a readily accessible and observable aspect of a system, such as a floor or wall, but not an individual piece such as boards or nails where many similar pieces make up the component ■ Cosmetic Damage – means superficial blemishes or defects that do not interfere with the functionality of the system or component

17. Definitions ■ Cross Connection – means any physical connection or arrangement between potable water and any source of contamination ■ Dangerous or adverse situations – means situations that pose a threat of injury to the home inspector, or those situations that require the use of special protective clothing or safety equipment

18. Definitions ■ Describe – means report in writing a system or component, by its type, or other inspected characteristics, to distinguish it from other systems or components used for the same purpose ■ Dismantle – means to take apart or remove any component, device or piece of equipment that is bolted, screwed or fastened by other means and that would not be dismantled by a homeowner in the course of normal household maintenance

19. Definitions ■ Enter – means to go into an area to inspect all visible components ■ Functional Drainage – means a drain is functional when it empties in a reasonable amount of time and does not overflow when another fixture is drained simultaneously

20. Definitions ■ Functional flow – means a reasonable flow at the highest fixture in the dwelling when another fixture is operated simultaneously ■ Inspect - means the act of making a visual examination ■ Installed – means attached or connected such that an item requires tools for removal

21. Definitions ■ Normal Operating Controls – means homeowner operated devices such as a wall switch or safety switch ■ On-site Water Supply Quality – means water quality is based on the bacterial, chemical, mineral or solids contents of the water

22. Definitions ■ Onsite water supply quantity – means the rate of flow of onsite well water ■ Operate - means to cause systems or equipment to function ■ Readily accessible – means approachable or enterable for visual inspection without the risk of damage to any property or alteration of the accessible space, equipment or opening

23. Definitions ■ Readily openable access panel – means a panel provided for homeowner inspection and maintenance that has removable or operable fasteners or latch devices in order to be lifted off, swung open or otherwise removed by one person; and its edges and fasteners are not painted in place. This definition is limited to those panels within normal reach or from a four foot step ladder, and that are not blocked by stored items, furniture or building components

24. Definitions ■ Readily visible – means seen by using natural or artificial light without the use of equipment or tools other than a flash light ■ Representative number – means, for multiple identical components such as windows or electrical outlets, one such component per room; and for multiple identical exterior components, one such component on each side of the building

25. Definitions ■ Roof drainage systems – means gutters, downspouts, leaders, splash blocks, and similar components used to carry water off a roof and away from a building

26. Definitions ■ Shutdown – means a piece of equipment or a system which cannot be operated by the device or control that a homeowner should normally use to operate it. If its safety switch or circuit breaker is in the “off” position, or its fuse is missing or blown, the home inspector is not required to re-establish the circuit for the purpose of operating the equipment or system

27. Definitions ■ Significantly deficient – means unsafe or not functioning ■ Solid fuel heating device – means wood, coal or other similar organic fuel burning device, including but not limited to fireplaces whether masonry or factory built, fireplace inserts or stoves, wood stoves (room heaters), central furnaces or combinations of these devices

28. Definitions ■ Structural component – means a component that supports non- variable forces or weights (dead loads) and variable forces or weights (live loads) ■ System – means a combination of interacting or interdependent components, assembled to carry out one or more functions

29. Definitions ■ Technically Exhaustive – means an inspection involving the use of measurement, instruments, testing, calculations, and other means to develop scientific or engineering findings, conclusions or recommendations

30. Definitions ■ Under floor crawlspace – means the area within the confines of the foundation and between the ground and the underside of the lowest floor structural component

31. The Inspection – Exterior ■ Wall cladding, flashings, and trim; ■ Operate all entryway doors and a representative number of windows; ■ Decks, balconies, stoops, steps, areaways, porches and applicable railings; ■ Eaves, soffits, and fascias; ■ Vegetation, grading, drainage, driveways, patios, walkways, and retaining walls with respect to their affect on the condition of the building ■ Operate garage doors manually or by using properly installed controls for any garage door operator; ■ Probe the exterior wood components where deterioration is suspected

32. The Inspection – Exterior The home inspector is not required to inspect: ■ Storm windows, storm doors, screening, shutters, awnings, and similar seasonal accessories; ■ Fences; ■ For the presence of safety glazing in doors and windows; ■ Garage door operator remote control transmitters; ■ Geological conditions; ■ Soil conditions; ■ Recreational facilities (including spas, saunas, steam baths, swimming pools, tennis courts, playground equipment, and other exercise, entertainment, or athletic facilities), except as otherwise provided in this rule; ■ Detached buildings or structures; ■ For the presence or condition of buried fuel storage tanks.

33. The Inspection – Structural and Foundation  Foundation  Floors  Walls  Columns or Piers The home inspector shall:  Probe structural components where deterioration is suspected;  Enter under floor crawl spaces, basements, and attic spaces except when access is obstructed, when entry could damage the property, or when dangerous or adverse situations are suspected;

34. The Inspection – Roof Systems Required to Inspect  Roof coverings;  Roof drainage systems;  Flashings;  Skylights, chimneys, and roof penetrations;  Signs of leaks or abnormal condensation on building components The home inspector is not required to:  Walk on the roofing;  Inspect attached accessories including solar systems, antenna, and lightning arrestors.

35. The Inspection – Roof Systems

36. The Inspection – Plumbing System Required to Inspect  The interior water supply and distribution system including; piping materials and supports; fixtures and faucets; functional flow, leaks and cross connects.  The drain, waste and vent systems including all fixtures; pipes and supports; traps.  The water heating systems including the equipment, vent systems, flues, and chimneys.  The fuel storage and fuel distribution systems.  Sump pumps and related piping. Required to Operate  all plumbing fixtures, including their faucets and all exterior faucets attached to the house, except where the flow end of the faucet is connected to an appliance

37. The Inspection – Plumbing System The home inspector is not required to:  State the effectiveness of anti-siphon and devices;  Determine whether water supply and waste disposal systems are public or private;  Operate automatic safety controls;  Operate any valve except water closet flush valves, fixture faucets, and hose faucets  Inspect: (i) Water conditioning systems; (ii) Fire and lawn sprinkler systems; (iii) On site water supply quantity and quality; (iv) On-site waste disposal systems; (v) Foundation irrigation systems; (vi) Bathroom spas, except as to functional flow and functional drainage; (vii) Swimming pools; (viii) Solar water heating equipment;  Inspect the system for proper sizing, design, or use of proper materials.

38. The Inspection – Electrical System Required to Inspect  The service entrance conductors  The service equipment, grounding, panels and main disconnects.  Amperage and voltage ratings.  Branch circuit conductors, their overcurrent devices and the compatibility of their ampacities and voltages.  A representative number of installed lighting fixtures, switches, and receptacles.  Polarity of wiring and grounding of receptacles within 6 feet of interior plumbing fixtures, in the garage and carport and at the exterior.  The ground fault circuit interrupters.  Smoke Detectors

39. The Inspection – Electrical System

40. The Inspection – Electrical System The home inspector is not required to: ▪ Insert any tool, probe, or testing device inside the panels; ▪ Test or operate any over current device except ground fault circuit interrupter's; ▪ Dismantle any electrical device or control other than to remove the cover of the main and auxiliary distribution panels; or ▪ Inspect: ❑ Low-voltage systems; ❑ Security system devices, heat detectors, or carbon monoxide detectors; ❑ Telephone, security, cable TV, intercoms, or other ancillary wiring that is not a part of the primary electrical distribution system; ❑ Built-in vacuum equipment.

41. The Inspection – Heating System ■ Inspect and Operate using normal controls:  The installed heat source equipment  The associated vent systems  The heat distribution systems and components  The presence of installed heat source in each room ■ Not required to:  Operate the heating systems when weather conditions or other circumstances may cause equipment damage;  Operate automatic safety controls;  Inspect: (i)The interior of flues; (ii) Humidifiers; (iii)Electronic air filters; (iv)The uniformity or adequacy of the heat supply to the various rooms.

42. Gas Heating – Simple Terms

43. The Inspection – Cooling Systems ■ Inspect and operate - the installed central and through-wall cooling equipment when conditions allow using normal operating controls. ■ Distribution systems including:  Fans and pumps  Ducts, registers and piping  Dampers  Insulation  Filters ■ Not Required to:  Operate cooling systems when weather conditions or other circumstances may cause equipment damage;  Inspect window air conditioners;  Inspect the uniformity or the adequacy of cool air supply to the various rooms

44. The Inspection – Interiors Inspect ■ The walls, ceilings, and floors. ■ The steps, stairways, balconies and railings. ■ The countertops and a representative number of built in cabinets. ■ Operate a representative number of doors and windows. Inspector is not required to inspect: ■ Paint, wallpaper, and other finish treatments on the interior walls, ceilings, and floors; ■ Carpeting; ■ Draperies, blinds, or other window treatments.

45. The Inspection – Insulation & Ventilation Insulation and Ventilation ■ Insulation and vapor retarder in unfinished spaces; ■ Ventilation of the attics and foundation areas; ■ Kitchen, bathroom, and laundry venting systems; ■ The operation of any readily accessible attic ventilation fan, and, when temperature permits, the operation of any readily accessible thermostatic control. Not required to report on: ■ Concealed insulation and vapor retarder; ■ Venting equipment that is integral with household appliances.

46. The Inspection – Built-in Kitchen Appliances ■ Inspect and operate basic functions of:  Permanently installed dishwasher through normal cycle  Range, cook top and permanently installed oven  Garbage disposal  Trash compactor  Range hood or ventilation equipment  Permanently installed microwave ■ The inspector is not required to inspect:  Clocks, timers, self-cleaning oven functions, or thermostats for calibration or automatic operation;  Non-built in appliances;  Refrigeration units. ■ The inspector is not required to operate:  Appliances in use;  Any appliance that is shut down or otherwise inoperable.

47. The Inspection – Fireplaces ■ Inspect  The system components  The vent systems, flues, and chimneys where readily visible ■ The Inspector is not required to inspect: □ The interior of flues □ Fireplace insert flue connections ■ The Inspector is not required to: □ Ignite or extinguish solid fuel fires

48. Questions?

49. The Top Ten Defects

50. 1. The House has Moisture Problems This is the biggest problem found by home inspectors. To improve water management you may have to repair the roof gutters and downspouts, have the lot re- graded to direct water away from the house or even install a drain system.

51. 2. The House Has Electrical Issues An insufficient or out-of-date electrical system is a common problem, especially in older homes. This is a potentially hazardous defect and not to be taken lightly. You may have to replace the entire electrical system, or at least part of it, to make it safe.

52. 2. The House Has Electrical Issues