Inspections & due diligence

← The Arizona Buyer's Guide

The inspection period is where you find out what you're really buying. Arizona homes have their own list of things worth scrutinizing — a hardworking air conditioner, a flat or tile roof under relentless sun, a pool, termites, and the paperwork behind an HOA. This chapter is your checklist for using the due-diligence window well.

The general home inspection

Once you're under contract, hire a licensed home inspector to examine the property top to bottom — structure, electrical, plumbing, systems, and safety. You're not obligated to, but I strongly recommend it. The inspector produces a written report; that report becomes the basis for what you ask the seller to address. Below are the Arizona-specific systems I want you paying extra attention to.

HVAC and the heat load

In the Valley, the air-conditioning system is arguably the most important mechanical component in the house. It runs hard for months, and replacing a system is a significant expense. Have the inspector — or a dedicated HVAC technician — assess the unit's age, condition, and whether it's adequately sized for the home's heat load. An undersized or failing unit that seems fine in spring can struggle badly in July. Ask when it was last serviced and what its realistic remaining life is.

Roof

Arizona sun and the occasional monsoon storm are hard on roofs. Tile roofs are common and long-lived, but the underlayment beneath the tiles wears out and is what actually keeps water out; flat/foam roofs need periodic recoating. A roof-specific inspection is often worth the extra cost, especially on an older home, because roof repairs are expensive and easy to underestimate from the ground.

Pool and spa

If the home has a pool or spa, inspect it separately from the general inspection. A pool inspector checks the pump, filter, heater, plaster/surface, and equipment, and estimates what's near end of life. Pools are wonderful here but they're a system with real maintenance and replacement costs — go in knowing the condition, not assuming it.

Termites and wood-destroying organisms

Subterranean termites are common across the desert Southwest, so a termite (wood-destroying insect) inspection is standard, and lenders often require one. The report is called a WDIIR (Wood-Destroying Insect Inspection Report), sometimes referred to locally as a wood-infestation report. It documents any active infestation, past treatment, or conducive conditions. Termite issues are usually treatable and not a deal-breaker, but you want them identified and addressed before closing.

The BINSR process and timeline

All of that feeds into the Buyer's Inspection Notice and Seller's Response (BINSR) — the mechanism in the AAR contract for acting on what you found. Here's how the sequence typically runs:

1. Inspection period begins at contract acceptance — commonly ten days.
2. You inspect — general inspection plus any specialists (roof, pool, HVAC, termite) within that window. Move quickly; good inspectors book up.
3. You deliver the BINSR before the deadline, choosing to accept the home as-is, request corrections, or cancel and recover your earnest money if something is disqualifying.
4. The seller responds — agreeing to some or all of your items, or declining. From there you can accept their response, negotiate further within the contract's framework, or exercise your right to cancel.

The deadlines are firm. Miss the window and you can waive your right to object to what the inspection revealed. I track every date so that never happens on my watch — but it's why the inspection stretch moves fast.

Reviewing HOA documents and CC&Rs

If the home is in an HOA, due diligence includes the paperwork, not just the house. Arizona buyers receive HOA disclosure documents, and you should actually read them. Look for:

• The CC&Rs (Covenants, Conditions & Restrictions) — the rules on landscaping, paint, parking, rentals, pets, and more.
• Monthly or annual dues, and what they cover.
• The association's financial statements and reserves — a healthy reserve fund matters.
• Any pending or recent special assessments, which can mean a large one-time bill.
• Rules that affect your plans — short-term-rental limits, RV/boat parking, home-business restrictions.

If the CC&Rs conflict with how you intend to live in the home, it's far better to learn that now than after closing.

The appraisal

If you're financing, your lender orders an appraisal — an independent professional's opinion of the home's market value. It protects the lender (and you) from over-paying relative to the market. If it comes in at or above your price, great. If it comes in low, your appraisal contingency (see Chapter 3) gives you room to renegotiate, cover the gap in cash, or cancel depending on your terms. The appraisal is not a substitute for a home inspection — it's about value, not condition — so you want both.

Common questions