What if the pre-sale inspection fails?

If a pre-sale inspection fails there are two options.  The owner can make the repairs and the inspection can be repeated or the potential buyer can sign a 'transfer of responsibility' were they assume responsibility for the failed items and will make repairs in 6-months.

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1. I am selling my home, what inspections are needed?
2. What is the procedure for a pre-sale inspection?
3. What if the pre-sale inspection fails?