Avoid These Red Flags When Buying a Home

You’re excited to go house hunting and want to find the “perfect” home, right?! Don’t let your excitement or desire for a home spur you to make any rash decisions or overlook some serious red flags.You’re excited to go house hunting and want to find the “perfect” home, right?! Don’t let your excitement or desire for a home spur you to make any rash decisions or overlook some serious red flags. You don’t want a home you’ll regret buying, so carefully to weigh the pros and cons before making an offer.Some homes might seem good at first sight, but my list of hidden red flags could save you in the long run. At least consider them before you decide to make an offer on a home.WARNING: Remember to think twice about buying a home when you see these signs:Neighborhood You want to buy into a neighborhood that will retain its value. How do you know? Here are some tips:

• Many “For Sale” signs, rentals, and foreclosures could mean it’s not a stable neighborhood and owners want to get out if they can. Foreclosures and rentals could mean you’ll see less maintained and more unkempt property, which drag down values.
• If it’s a transitional-type neighborhood, make sure it’s an up and coming one and not declining. Sometimes it’s hard to tell by just looking so your real estate agent can go over current sales activity to give you a more complete picture. Are prices going down or up? How long are properties on the market? Are homes selling for more than the asking price?
• These days, everyone wants ease of transit options and restaurants and shops nearby—close enough not to have to more than a few streets. If there is major growth coming to the area you are looking for, even if it looks a little desolate now, this could be a great opportunity. Just make sure the plans that are proposed are actually funded and approved by the necessary government agencies, and not just a developer’s pipe dream.

Home Inspection You already know to hire a qualified home inspector to examine the home carefully to see if there are any structural and maintenance issues. Some are hidden and hard to see at first so that’s why you want an inspector before you buy. However, you’ll need to decide if it’s worth the time and money to fix, or if it’s time to say good-bye. Your inspector isn’t going to tell you whether you should buy the house or not, he or she is only going to observe what is noticeable to their trained eyes on the day of your inspection. So, be sure to carefully consider moving forward with a home that has any of these items noted in your inspection report:

• Lack of maintenance in general could be a red flag that the home hasn’t been properly taken care of for many years and that major issues — such as water damage — could be lurking.
• Some issues are typical for the age and location of your home and not the sign of poor construction. You may not mind a typical fixer-upper in a certain neighborhood that has “good bones,” but you do want to steer clear of a home that has too many issues but isn’t really that old. An example of something is if the construction just doesn’t seem solid like if things look unfinished or not finished by a master carpenter.
• Do-it-yourself additions or any DIY work that isn’t up to code. If the addition looks awkward and cheap, it probably is and could be detrimental to the home when you want to resell. Or, you’ll need to factor in the cost and time to tear down and rebuild properly. Make sure to ask for permits pulled and approvals given by the permit or building office.
• Termite infestation can wreak havoc on a home. Determine how bad and how much it will cost to fix and prevent in the future. You can do this for about $50 by calling a termite company. Better now than after you move in.
• Moisture in the basement can mean two things: the home’s grading has some seepage issues and you’ve got the potential for mold. Usually the basement will smell musty if this is the case. Or, you may see signs of past water damage — that brown moldy looking damage on wood. Mold is a serious issue and can cause health problems if pervasive so tread carefully!
• Water marks on the ceiling or walls could signal a leaking roof, gutters rusting, or faulty plumbing – all leading to wood rot and other possible destruction. All can be fixed but you’ll need to determine the extent of the damage.
• Cracks in the wall and sloping floors point to possible structural and foundation issues, which can be costly depending on the age of the home.
• Faulty and outdated wiring can be a serious fire hazard. Inspectors should check for overloaded circuits and proper grounding. If you are looking to do a lot of renovations to an older home, make sure it has enough electrical amperage coming into the home.

Hidden ProblemsSometimes you’ll walk into a room and feel like something is not right. Be a detective and examine the home carefully when looking for these signs:

• Just one freshly painted wall could be hiding mildew, mold or water damage.
• Too much air fresheners or scented candles could be masking a strong odor from pets, smoke or musty mold.
• An oddly place rug or piece of furniture could be hiding damaged floors or carpeting.
• Windows and doors not opening and shutting properly

All of these are warning signs to make you step back and thoroughly consider if you should proceed with the home no matter how much you love it. Although everything can be fixed, it depends on your budget, knowledge and time you can devote to what needs to be done.There is no right answer here, but go into buying a home with your eyes wide open so you know what you are getting into and you don’t have any huge surprises down the road.