A significant change is coming to the Massachusetts residential real estate market. A new law, effective October 15, 2025, will prohibit sellers and their agents from requiring home buyers to waive their right to a home inspection in order to have their offer accepted.
This legislation, part of the Affordable Homes Act, directly targets a common tactic used in competitive bidding wars, fundamentally altering the power dynamic between buyers and sellers and introducing new protections for consumers.
Key Takeaways
- Effective October 15, 2025, sellers cannot make accepting an offer conditional on a buyer waiving a home inspection.
- A new mandatory disclosure form must be signed with the first written offer, confirming the buyer's right to an inspection.
- Buyers still have the choice to waive an inspection, but it must be their own decision, free from seller influence.
- The law applies to most residential properties, including one-to-four-unit buildings and condos.
- Real estate agents face significant penalties for non-compliance, including potential violations of consumer protection laws.
A New Era for Home Buyers
For years, prospective home buyers in Massachusetts' heated real estate market faced a difficult choice: waive a home inspection to make their offer more attractive or risk losing out to a competing bid. This practice often left buyers vulnerable, potentially forcing them to accept a property with hidden, costly defects.
The new legislation effectively ends this high-stakes gamble. Under the law, a seller or their agent is explicitly forbidden from conditioning the acceptance of an offer on a buyer's agreement to limit or waive their right to a professional home inspection. This protection extends to situations where a buyer merely communicates an intent to waive an inspection before their offer is accepted.
The goal is to ensure that the decision to proceed without an inspection is made solely by the buyer, without pressure or influence from the selling side. While buyers retain the right to forgo an inspection, it can no longer be used as a bargaining chip by sellers.
What Properties Are Covered?
The new rules apply broadly to transactions involving "residential property." This definition includes:
- One-to-four-unit residential buildings
- Condominium units
- Residential cooperative shares
Mandatory Disclosures and Contract Protections
A central component of the new law is the introduction of a new, required document: the Massachusetts Mandatory Residential Home Inspection Disclosure. This form is not optional and must be provided to the buyer and signed no later than the submission of their first written offer.
The disclosure serves several key purposes. It formally affirms that the deal is not contingent on the buyer surrendering their inspection rights. It also acknowledges the buyer's right to select their own licensed inspector and ensures they have a reasonable time frame to complete the inspection and review the findings before making a final decision.
Furthermore, the law goes a step beyond simply banning waived inspections. It also bars any contract provision that would “render a home inspection meaningless.” This prevents sellers from using loopholes, such as providing an unreasonably short window for the inspection to be scheduled or removing the buyer's ability to withdraw from the deal based on the inspection report.
"This change will undoubtedly alter negotiation dynamics and standard offer strategies in competitive markets," one legal analysis of the act noted, highlighting the significant shift in standard real estate practices.
What Can Still Be Negotiated
While the law creates robust protections for buyers, it does not completely remove the ability to negotiate terms related to the home inspection. The legislation specifically allows for good-faith negotiations on two key points:
- Repair-Cost Thresholds: A buyer and seller can agree on a monetary threshold for repair costs. Under this arrangement, the buyer could only terminate the contract if the estimated cost of necessary repairs discovered during the inspection exceeds the pre-agreed amount.
- Deposit Refunds: The parties can also negotiate reasonable limits on the refund of a buyer's deposit if they choose to back out of the sale after the inspection is completed.
These provisions allow for some flexibility in deal-making while still preserving the core right of the buyer to conduct a thorough inspection and understand the condition of the property before finalizing the purchase.
Exceptions to the Rule
The new home inspection law does not apply to all residential transactions. Key exceptions include sales between family members, transfers for estate planning purposes, and foreclosure sales. These specific circumstances are exempt from the mandatory disclosure and waiver prohibition requirements.
Implications for Real Estate Professionals
The new law places a significant compliance burden on real estate brokers and agents. They are now responsible for ensuring the mandatory disclosure is provided correctly and that no offer is accepted based on a coerced inspection waiver.
Failure to adhere to these new regulations carries serious consequences. Violations may be considered unfair or deceptive acts under Massachusetts General Law Chapter 93A, a powerful consumer protection statute. A broker's failure to simply provide the disclosure form is, in itself, deemed an unfair act under the law.
Beyond potential litigation, non-compliant agents could face disciplinary action from the Board of Registration of Real Estate Brokers and Salespersons. Real estate firms are being urged to update their internal policies, train their agents on the new rules, and revise their standard checklists to ensure full compliance before the October 15, 2025 deadline.
For home buyers, this law represents a major victory, restoring a critical piece of due diligence that had been eroded by years of competitive market conditions. For sellers and agents, it marks a necessary adjustment to a more transparent and equitable process.
