These inspections are usually done if the home sells by a home inspector(I know,I know,what are their qualification?}.But no matter what they see in violation,it usually just becomes a bargaining point for the buyer.Should the seller or the buyer be forced to correct this?I as a buyer would want the seller to and vice versa.
Maybe due to limited qualified inspectors,the home inspectors should be required to report any violations to the local inspector for further inspection and risk losing their license( aren't they licensed?)if they dont report a violation.The owner should be required to repair it.
I dont know what to do about the millions that dont sell but at least this would be a starting point.