Why Homebuyers Should Care About Septic Time of Transfer Inspections
If you’re buying a home with a septic system, there’s one inspection you can’t afford to skip—the Time of Transfer (TOT) inspection. In this episode of The Lofty Lender podcast, I sat down with Charlie Chedester to talk about why these inspections matter, what homebuyers need to know, and how to avoid a costly mistake. Oh, and we might have mentioned poo water a few too many times! 🚽💩
What Is a Time of Transfer (TOT) Inspection?
A Time of Transfer (TOT) inspection is a mandatory septic system evaluation required by Iowa law before a home can be sold. This inspection ensures that the system is working properly and meets environmental regulations—aka, it’s not dumping waste where it shouldn’t be.
Why Homebuyers Should Care
Buying a home is exciting, but a faulty septic system can quickly turn that dream into a financial nightmare. Here’s why a TOT inspection matters:
✅ Avoid Costly Repairs – A failing septic system can cost $10,000–$50,000+ to replace. The inspection helps identify potential issues before closing so you don’t get stuck with a massive bill.
✅ Prevents Hidden Surprises – Just like a used car inspection, a TOT inspection ensures you’re not buying a “lemon” with hidden septic problems.
✅ Ensures Compliance with the Law – The Iowa DNR requires that all septic systems meet current environmental standards. If a system fails the inspection, it has to be repaired or replaced before the home can be sold.
✅ Protects Health & Safety – A bad septic system can contaminate groundwater and cause sanitary issues—trust us, you don’t want poo water backing up into your yard or home. 😬
Charlie’s Real-Life Septic Horror Stories
Charlie shared some real-life homebuyer nightmares, including one buyer who thought they had one septic tank but actually had two—and both were completely blocked. The repair bill? A whopping $50,000! Another family’s system was so outdated, their wastewater literally just flowed down a hill. Imagine growing up and wondering why one part of your yard never had snow in the winter! 🤢❄️
Upcoming Changes: What Buyers & Sellers Need to Know
We’re hearing rumblings that some Iowa counties may stop enforcing septic system compliance before a home sale. If that happens, homebuyers could end up unknowingly purchasing a home with a failing system—and the DNR will still hold them responsible.
If these changes take effect, buyers will need to be extra vigilant to ensure septic inspections are done before closing, rather than relying on the county to enforce it.
3 Steps Every Homebuyer Should Take
🔹 Ask if the home has a septic system – If you're looking in town, you're likely on city sewer. But if you're in a rural area or an older neighborhood, ask upfront.
🔹 Request the TOT inspection early – If the seller hasn’t scheduled it yet, make it a priority before getting too attached to the home.
🔹 Review the results & plan for maintenance – If repairs are needed, negotiate with the seller. If the system is fine, set a plan for regular maintenance so it stays that way.
Final Thoughts: Don’t Let a Bad Septic System Flush Your Savings
While talking about septic systems isn’t glamorous, it’s essential knowledge for homebuyers. A TOT inspection ensures that you’re not stuck with a huge repair bill or an unsanitary situation. If you’re considering a home with a septic system, ask the right questions and protect your investment.
For more homebuyer insights, check out The Lofty Lender podcast with #TallMoneyMan wherever fine podcasts are downloaded! 🎙️💰
