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Property Inspection Report LOCATED AT: 123 Address DFW, TX PREPARED EXCLUSIVELY FOR: Sample Report INSPECTED ON: Saturday, July 18, 2015 Inspector, Zach Faris - TREC #21548 INSPECT TX

PROPERTY INSPECTION REPORT Prepared For: Sample Report Concerning: 123 Address DFW, TX By: Zach Faris - TREC #21548 Saturday, July 18, 2015 PURPOSE, LIMITATIONS AND INSPECTOR / CLIENT RESPONSIBILITIES This property inspection report may include an inspection agreement (contract), addenda, and other information related to property conditions. If any item or comment is unclear, you should ask the inspector to clarify the findings. It is important that you carefully read ALL of this information. This inspection is subject to the rules ( Rules ) of the Texas Real Estate Commission ( TREC ), which can be found at www.trec.texas.gov. The TREC Standards of Practice (Sections 535.227-535.233 of the Rules) are the minimum standards for inspections by TREClicensed inspectors. An inspection addresses only those components and conditions that are present, visible, and accessible at the time of the inspection. While there may be other parts, components or systems present, only those items specifically noted as being inspected were inspected. The inspector is NOT required to turn on decommissioned equipment, systems, utility services or apply an open flame or light a pilot to operate any appliance. The inspector is NOT required to climb over obstacles, move furnishings or stored items. The inspection report may address issues that are code-based or may refer to a particular code; however, this is NOT a code compliance inspection and does NOT verify compliance with manufacturer s installation instructions. The inspection does NOT imply insurability or warrantability of the structure or its components. Although some safety issues may be addressed in this report, this inspection is NOT a safety/code inspection, and the inspector is NOT required to identify all potential hazards. In this report, the inspector shall indicate, by checking the appropriate boxes on the form, whether each item was inspected, not inspected, not present or deficient and explain the findings in the corresponding section in the body of the report form. The inspector must check the Deficient (D) box if a condition exists that adversely and materially affects the performance of a system or component or constitutes a hazard to life, limb or property as specified by the TREC Standards of Practice. General deficiencies include inoperability, material distress, water penetration, damage, deterioration, missing components, and unsuitable installation. Comments may be provided by the inspector whether or not an item is deemed deficient. The inspector is not required to prioritize or emphasize the importance of one deficiency over another. Some items reported may be considered life-safety upgrades to the property. For more information, refer to Texas Real Estate Consumer Notice Concerning Recognized Hazards or Deficiencies below. THIS PROPERTY INSPECTION IS NOT A TECHNICALLY EXHAUSTIVE INSPECTION OF THE STRUCTURE, SYSTEMS OR COMPONENTS. The inspection may not reveal all deficiencies. A real estate inspection helps to reduce some of the risk involved in purchasing a home, but it cannot eliminate these risks, nor can the inspection anticipate future events or changes in performance due to changes in use or occupancy. It is recommended that you obtain as much information as is available about this property, including any seller s disclosures, previous inspection reports, engineering reports, building/remodeling permits, and reports performed for or by relocation companies, municipal inspection departments, lenders, insurers, and appraisers. You should also attempt to determine whether repairs, renovation, remodeling, additions, or other such activities have taken place at this property. It is not the inspector s responsibility to confirm that information obtained from these sources is complete or accurate or that this inspection is consistent with the opinions expressed in previous or future reports. ITEMS IDENTIFIED IN THE REPORT DO NOT OBLIGATE ANY PARTY TO MAKE REPAIRS OR TAKE OTHER ACTIONS, NOR IS THE PURCHASER REQUIRED TO REQUEST THAT THE SELLER TAKE ANY ACTION. When a deficiency is reported, it is the client s responsibility to obtain further evaluations and/or cost estimates from qualified service professionals. Any such follow-up should take place prior to the expiration of any time limitations such as option periods. Promulgated by the Texas Real Estate Commission (TREC) P.O. Box 12188, Austin, TX 78711-2188 (512) 936-3000 (http://www.trec.texas.gov). Page 1

Evaluations by qualified tradesmen may lead to the discovery of additional deficiencies which may involve additional repair costs. Failure to address deficiencies or comments noted in this report may lead to further damage of the structure or systems and add to the original repair costs. The inspector is not required to provide follow-up services to verify that proper repairs have been made. Property conditions change with time and use. For example, mechanical devices can fail at any time, plumbing gaskets and seals may crack if the appliance or plumbing fixture is not used often, roof leaks can occur at any time regardless of the apparent condition of the roof, and the performance of the structure and the systems may change due to changes in use or occupancy, effects of weather, etc. These changes or repairs made to the structure after the inspection may render information contained herein obsolete or invalid. This report is provided for the specific benefit of the client named above and is based on observations at the time of the inspection. If you did not hire the inspector yourself, reliance on this report may provide incomplete or outdated information. Repairs, professional opinions or additional inspection reports may affect the meaning of the information in this report. It is recommended that you hire a licensed inspector to perform an inspection to meet your specific needs and to provide you with current information concerning this property. TEXAS REAL ESTATE CONSUMER NOTICE CONCERNING HAZARDS OR DEFICIENCIES Each year, Texans sustain property damage and are injured by accidents in the home. While some accidents may not be avoidable, many other accidents, injuries, and deaths may be avoided through the identification and repair of certain hazardous conditions. Examples of such hazards include: malfunctioning, improperly installed, or missing ground fault circuit protection (GFCI) devices for electrical receptacles in garages, bathrooms, kitchens, and exterior areas; malfunctioning arc fault protection (AFCI) devices; ordinary glass in locations where modern construction techniques call for safety glass; malfunctioning or lack of fire safety features such as smoke alarms, fire-rated doors in certain locations, and functional emergency escape and rescue openings in bedrooms; malfunctioning carbon monoxide alarms; excessive spacing between balusters on stairways and porches; improperly installed appliances; improperly installed or defective safety devices; lack of electrical bonding and grounding; and lack of bonding on gas piping, including corrugated stainless steel tubing (CSST). To ensure that consumers are informed of hazards such as these, the Texas Real Estate Commission (TREC) has adopted Standards of Practice requiring licensed inspectors to report these conditions as Deficient when performing an inspection for a buyer or seller, if they can be reasonably determined. These conditions may not have violated building codes or common practices at the time of the construction of the home, or they may have been grandfathered because they were present prior to the adoption of codes prohibiting such conditions. While the TREC Standards of Practice do not require inspectors to perform a code compliance inspection, TREC considers the potential for injury or property loss from the hazards addressed in the Standards of Practice to be significant enough to warrant this notice. Contract forms developed by TREC for use by its real estate licensees also inform the buyer of the right to have the home inspected and can provide an option clause permitting the buyer to terminate the contract within a specified time. Neither the Standards of Practice nor the TREC contract forms require a seller to remedy conditions revealed by an inspection. The decision to correct a hazard or any deficiency identified in an inspection report is left to the parties to the contract for the sale or purchase of the home. INFORMATION INCLUDED UNDER ADDITIONAL INFORMATION PROVIDED BY INSPECTOR, OR PROVIDED AS AN ATTACHMENT WITH THE STANDARD FORM, IS NOT REQUIRED BY THE COMMISSION AND MAY CONTAIN CONTRACTUAL TERMS BETWEEN THE INSPECTOR AND YOU, AS THE CLIENT. THE COMMISSION DOES NOT REGULATE CONTRACTUAL TERMS BETWEEN PARTIES. IF YOU DO NOT UNDERSTAND THE EFFECT OF ANY CONTRACTUAL TERM CONTAINED IN THIS SECTION OR ANY ATTACHMENTS, CONSULT AN ATTORNEY. ADDITIONAL INFORMATION PROVIDED BY INSPECTOR Page 2

Date: 7/18/2015 Time: 03:00 PM Report ID: ZF501 Property: Sample Report Customer: Zach Faris Agent: Best Agent DFW, TX Best Agency Building Faces: Age Of Property: Building Status: East Over 30 Years Occupied Client Is Present: Agent Is Present: Owner Is Present: Yes No No Temperature: Rain in last 3 days: Weather: Over 70 No Sunny Radon Test: No Water Test: No Page 3

I. STRUCTURAL SYSTEMS A. Foundations Type of Foundation(s): Slab-on-Grade Comments: The structure shows signs of foundation movement. The conditions observed and noted below are considered significant and we recommend an engineer be retained to evaluate the building and determine what corrective measures are necessary. Common minor cracks were observed in the foundation of the house. This implies that some structural movement of the building has occurred, as is typical of most houses. Cracks were observed on the interior walls of the house. This implies that some structural movement of the building has occurred. These will be documented later in the report. Wood/soil contact should be eliminated. This condition is conducive to rot and wood boring insect activity. This wood to soil contact was found at the supports for the carport. There is exposed rebar on the southwest portion of the slab on grade. Exposed rebar can rust and expand causing further damage. Recommend repair by a qualified contractor. Page 4

The tree at the southwest corner of the house is too close to the structure. Trees can damage structure in several ways in regards to foundations. Tree roots can cause uplift in the foundation, and leech the water from the soil causing the structure to settle or sink. We recommend the advice and services of qualified foundation specialist. B. Grading and Drainage Comments: The grading of the lot appears to properly and adequately drain excess surface water and roof runoff away from the structure with minor exceptions noted below. The ground should slope away from the house at a rate of one inch per foot for at least the first ten feet. Ideally, at least eight (8) inches of clearance should be maintained between soil level and the top of the foundation walls. The siding on the southeast portion of the house is too close to the ground. The gutters require cleaning to avoid spilling roof runoff around the building a potential source of water entry or water damage. Page 5

The downspout(s) should discharge water at least five (5) feet from the house. Storm water should be encouraged to flow away from the building at the point of discharge. This downspout is located at the northwest corner of the structure. C. Roof Covering Materials Types of Roof Covering: Asphalt composition shingle Viewed From: Walked on roof. 100% Comments: Trees are overhanging the roof which have caused shingle damage. We recommend they be trimmed or removed to prevent damage by abrasion. Page 6

The shingles on the west portion of the roof show minor damage and previous repair work. The patching itself needs maintenance. We recommend repair and/or resealing to prevent leakage. Spalling was noted at the upper portion of the chimney. Spalling occurs during the winter when soft bricks absorb moisture and then freeze. The water in the surface of the brick expands, causing the surface to flake off. Spalling can be prevented by applying a sealer to the surface of the brick. For maximum protection, the sealer should be applied every 2-3 years. We recommend the advice and services of a qualified contractor. There is moss growth on the chimney above the roof. Moss growth represents moisture. A properly installed chimney should not retain moisture. Page 7

There is debris on the roof, requiring removal to prevent accelerated deterioration of the shingles. We recommend that the roof be monitored and periodically cleared of debris in the course of routine property maintenance. Some of the flashings around the chimney are loose and are not fit tight. We recommend they be secured and made watertight. D. Roof Structures and Attics Viewed From: Walked 60% of Attic. Approximate Average Depth of Insulation: 4-6 inches Comments: There is a significant sag in the main ridge. We recommend evaluation by a qualified specialist. Page 8

There are several depressions and cracks in the roof framing members including rafters. These areas need additional support. We recommend they be repaired or replaced by a qualified contractor. Purlins are insufficiently supported. Sagging and/or failure of portions of the roof structure could result if the purlins should break. We recommend additional support be provided. Page 9

Ventilation of the attic is insufficient. Today's standards require a minimum of one (1) square foot of vent area should be provided for every one hundred and fifty (300) square feet. Half of the ventilation can come from the soffits, while the other half needs to be near the ridge line. Proper ventilation will help to control humidity. E. Walls (Interior and Exterior) Comments: Significant wall cracks were observed. We recommend repair of the surfaces and the underlying material as well, if necessary for a permanent repair. Sections throughout the exterior siding are deteriorated and have been painted over. We recommend these sections be repaired or replaced by a qualified contractor. Page 10

J. Fireplaces and Chimneys Comments: A visual observation of the flue, within the scope of a standard home inspection, may not detect defects beyond our limited view (12 to 18 inches) or where soot has accumulated. A more thorough inspection can be performed by a specialist. The chimney cap is damaged. We recommend it be repaired or replaced. There is moss growth on the chimney above the roof. Moss growth represents moisture. A properly installed chimney should not retain moisture. Page 11

The chimney is deteriorating (spalling) above the roof. Recommend correction by a qualified specialist. Page 12

Inspection Summary This is a summary review of the inspector's findings during this inspection. However, it does not contain every detailed observation. This is provided as an additional service to our client, and is presented in the form of a listing of the items which, in the opinion of your inspector, merit further attention, investigation, or improvement. Some of these conditions are of such a nature as to require repair or modification by a skilled craftsman, technician, or specialist. Others can be easily handled by a homeowner such as yourself. Often, following the inspector's advice will result in improved performance and/or extended life of the component(s) in question. In listing these items, your inspector is not offering any opinion as to who, among the parties to this transaction, should take responsibility for addressing any of these concerns. As with most of the facets of your transaction, we recommend consultation with your Real Estate Professional for further advice with regards to the following items: FOUNDATION DEFICIENCIES A. FOUNDATIONS I. STRUCTURAL SYSTEMS 1: - Wood/soil contact should be eliminated. This condition is conducive to rot and wood boring insect activity. This wood to soil contact was found at the supports for the carport. 2: - There is exposed rebar on the southwest portion of the slab on grade. Exposed rebar can rust and expand causing further damage. Recommend repair by a qualified contractor. 3: - The tree at the southwest corner of the house is too close to the structure. Trees can damage structure in several ways in regards to foundations. Tree roots can cause uplift in the foundation, and leech the water from the soil causing the structure to settle or sink. We recommend the advice and services of qualified foundation specialist. GRADING DEFICIENCIES B. GRADING AND DRAINAGE I. STRUCTURAL SYSTEMS 4: - The ground should slope away from the house at a rate of one inch per foot for at least the first ten feet. Ideally, at least eight (8) inches of clearance should be maintained between soil level and the top of the foundation walls. The siding on the southeast portion of the house is too close to the ground. GUTTER & DOWNSPOUT DEFICIENCIES B. GRADING AND DRAINAGE I. STRUCTURAL SYSTEMS 5: - The gutters require cleaning to avoid spilling roof runoff around the building a potential source of water entry or water damage. 6: - The downspout(s) should discharge water at least five (5) feet from the house. Storm water should be encouraged to flow away from the building at the point of discharge. This downspout is located at the northwest corner of the structure. DEFICIENCIES C. ROOF COVERING MATERIALS I. STRUCTURAL SYSTEMS 7: - Trees are overhanging the roof which have caused shingle damage. We recommend they be trimmed or removed to prevent damage by abrasion. PATCHING/REPAIRS C. ROOF COVERING MATERIALS I. STRUCTURAL SYSTEMS 8: - The shingles on the west portion of the roof show minor damage and previous repair work. The patching itself needs maintenance. We recommend repair and/or resealing to prevent leakage. Page 13

CHIMNEY AT ROOF C. ROOF COVERING MATERIALS I. STRUCTURAL SYSTEMS 9: - Spalling was noted at the upper portion of the chimney. Spalling occurs during the winter when soft bricks absorb moisture and then freeze. The water in the surface of the brick expands, causing the surface to flake off. Spalling can be prevented by applying a sealer to the surface of the brick. For maximum protection, the sealer should be applied every 2-3 years. We recommend the advice and services of a qualified contractor. 10: - There is moss growth on the chimney above the roof. Moss growth represents moisture. A properly installed chimney should not retain moisture. SURFACE C. ROOF COVERING MATERIALS I. STRUCTURAL SYSTEMS 11: - There is debris on the roof, requiring removal to prevent accelerated deterioration of the shingles. We recommend that the roof be monitored and periodically cleared of debris in the course of routine property maintenance. FLASHINGS: OVERALL C. ROOF COVERING MATERIALS I. STRUCTURAL SYSTEMS 12: - Some of the flashings around the chimney are loose and are not fit tight. We recommend they be secured and made watertight. RAFTERS D. ROOF STRUCTURES AND ATTICS I. STRUCTURAL SYSTEMS 13: - There is a significant sag in the main ridge. We recommend evaluation by a qualified specialist. 14: - There are several depressions and cracks in the roof framing members including rafters. These areas need additional support. We recommend they be repaired or replaced by a qualified contractor. PURLINS D. ROOF STRUCTURES AND ATTICS I. STRUCTURAL SYSTEMS 15: - Purlins are insufficiently supported. Sagging and/or failure of portions of the roof structure could result if the purlins should break. We recommend additional support be provided. VENTILATION D. ROOF STRUCTURES AND ATTICS I. STRUCTURAL SYSTEMS 16: - Ventilation of the attic is insufficient. Today's standards require a minimum of one (1) square foot of vent area should be provided for every one hundred and fifty (300) square feet. Half of the ventilation can come from the soffits, while the other half needs to be near the ridge line. Proper ventilation will help to control humidity. WOOD SIDING E. WALLS (INTERIOR AND EXTERIOR) I. STRUCTURAL SYSTEMS 17: - Sections throughout the exterior siding are deteriorated and have been painted over. We recommend these sections be repaired or replaced by a qualified contractor. CHIMNEY J. FIREPLACES AND CHIMNEYS I. STRUCTURAL SYSTEMS 18: - The chimney cap is damaged. We recommend it be repaired or replaced. Page 14

19: - There is moss growth on the chimney above the roof. Moss growth represents moisture. A properly installed chimney should not retain moisture. FIREPLACE J. FIREPLACES AND CHIMNEYS I. STRUCTURAL SYSTEMS 20: - The chimney is deteriorating (spalling) above the roof. Recommend correction by a qualified specialist. Page 15