This change is designed to level the playing field in competitive markets, but it will also affect negotiation strategies and closing timelines. Here’s what both sides should know.

For Buyers: Expanded Rights and Protections

• Guaranteed Inspection Option
  Every buyer now has the right to hire a licensed home inspector and a reasonable time to complete the inspection. Waivers can no longer be required or even suggested.
• Negotiating After Inspection
  If the inspection reveals defects, buyers maintain the right to renegotiate, request repairs or credits, or walk away according to the terms of their purchase and sale agreement.
• Reduced Pressure in Hot Markets
  In past years, many buyers waived inspections just to compete with cash-heavy or fast-moving offers. This law ensures buyers won’t have to sacrifice due diligence for speed.

For Sellers: New Disclosure Obligations

Some buyers may still try to waive inspections voluntarily to appear competitive. Sellers and their agents need to know:

• Such provisions should be flagged and removed to comply with the law.
• Attorneys should review offers carefully and strike any prohibited terms.
• Accepting an offer that includes a waiver could expose the seller and agent to claims under Chapter 93A, Massachusetts’ consumer protection law.

While the regulation was designed to protect buyers, it also creates new risks for agents, attorneys, and lenders if disclosures aren’t handled correctly. A missing form or inconsistent provision in the purchase and sale agreement could delay — or even derail — a closing.

How Inspection Rules Affect the Closing Table

At closing, attorneys and lenders must ensure that all statutory disclosures are present and consistent with the contract. If the required inspection notice is missing, it may raise red flags:

• Title attorneys may delay disbursement until the compliance issue is fixed.
• Lenders could halt the transaction over concerns that state consumer protection laws were violated.
• Buyers may have leverage to walk away or renegotiate, citing failure to provide inspection rights.

Even a small oversight can snowball into days or weeks of delay, costing clients money and trust.

Tips for Agents and Attorneys

1. Update Your Templates Now
   Make sure every purchase and sale agreement, addendum, and disclosure packet includes the new inspection rights notice. Outdated templates are a recipe for problems later.
2. Communicate Early With Clients
   Prepare sellers to understand that inspection waivers are no longer permitted. Set buyer expectations about the timeline and scope of inspections to avoid disputes when deadlines arrive.
3. Double-Check Consistency
   Attorneys should cross-reference the purchase agreement and inspection disclosure to confirm the language matches. Conflicting terms — such as an old clause suggesting waiver — can create legal ambiguity.
4. Audit Before Closing Day
   Just as you would verify payoff statements and commission splits, add “inspection disclosure provided” to your pre-closing checklist. Catching errors early keeps the transaction moving.

The Risk Under Chapter 93A

Failure to comply with the new rules can be treated as an unfair or deceptive act under Massachusetts General Laws Chapter 93A. That means exposure not just to delays but to potential multiple damages and attorney’s fees in litigation. For professionals, ensuring compliance isn’t just about efficiency — it’s about risk management.

This new rule — part of the Affordable Homes Act and published under 760 CMR 74.00: Residential Home Inspection Waivers — is designed to protect buyers in a competitive market. In recent years, many buyers felt forced to waive inspections to make their offers more attractive, sometimes only to discover major defects after the closing. The new regulation aims to end that practice.

What’s Changing

Here’s the heart of the regulation:

• No More Required Waivers: Sellers, listing agents, and brokers cannot condition the acceptance of an offer on the buyer giving up their inspection rights. Even hinting that a waiver is expected is off-limits.
• Mandatory Disclosure: Sellers (or their agents) must give buyers a written notice confirming that the purchase is not contingent on waiving an inspection. The notice must also inform buyers of their right to hire a licensed home inspector and to have a reasonable period to complete the inspection.
• Limited Exceptions: Certain transactions are exempt, including new home sales by builders, transfers between family members, and foreclosures or auctions.

What Real Estate Professionals Need to Update

These changes mean agents, lenders, and attorneys will need to revisit their standard forms and practices:

• Listing Agreements and Purchase & Sale Contracts: Remove any language that suggests waiving inspections as a competitive tactic.
• Disclosure Checklists: Add the new required notice and make sure it is provided in writing to every buyer.
• Training and Client Conversations: Agents should prepare to explain to sellers that inspection waivers are no longer an option. Attorneys should counsel clients on compliance and be alert for outdated contract language.
• Closing Procedures: Lenders and closing attorneys should confirm that inspection rights and notices have been properly documented before disbursement.

Why It Matters: Chapter 93A Liability

Violating the new inspection rules may expose sellers, brokers, or even attorneys to claims under Massachusetts General Laws Chapter 93A (Consumer Protection Act). That means:

• Unfair or Deceptive Practices: If a buyer is pressured into waiving inspection rights or isn’t provided the proper notice, it could be considered an unfair or deceptive act.
• Damages and Fees: Chapter 93A allows for multiple damages and recovery of attorney’s fees — a costly risk for professionals and clients alike.
• Delayed or Voided Closings: Non-compliance could trigger disputes that stall or cancel transactions, undermining client trust and professional reputations.