What condition allows a buyer to back out of a purchase after an inspection?

A buyer is typically allowed to back out of a property purchase after an inspection if major defects are discovered during the inspection process. This is often outlined in the contingency clauses of the purchase agreement, which allow buyers to terminate the contract if significant issues arise that were not previously disclosed or known. Major defects may include structural problems, plumbing issues, or electrical hazards—any significant concern that could impact the safety and livability of the property.

The rationale behind this condition is to protect buyers from investing in a property that may require extensive and expensive repairs or pose safety risks. The inspection phase serves as a critical evaluation point for buyers, allowing them to make informed decisions based on the current state of the home. If the inspection reveals significant concerns, the buyer is not obliged to proceed with the purchase, as this could lead to financial strain or dissatisfaction with their investment.

In contrast, factors such as the price being too high, preferring a different property, or needing more time for decision-making do not typically provide a formal ground for backing out post-inspection, as these are considerations that relate more to personal preference and market conditions rather than the tangible characteristics of the property itself.