Final answer:
It is true that the home inspector works for the home buyer, who also pays for their services to ensure the property is in good condition. Escrow is a financial arrangement that can help manage and pay for ongoing property-related expenses, such as home insurance and property taxes, as part of the monthly mortgage payment.
Step-by-step explanation:
The statement that the home inspector works for (and is paid for) by the home buyer is generally true. In a real estate transaction, the buyer typically hires and pays for a home inspector to perform a detailed inspection of the property they are considering purchasing. The purpose is to uncover any potential issues that may affect the purchase decision or require future repairs.
Additionally, when discussing the process of buying a home, it's important to understand the concept of Escrow. When you are in the process of purchasing a home and getting a mortgage, the lender may set up an escrow account to cover certain ongoing expenses related to the property, such as home insurance and property taxes. Instead of managing these bills separately, the escrow service ensures that they are paid on time, typically through a monthly payment that includes these expenses along with the mortgage payment.