Home buying problems can be avoided when buying a home

Many problems can be expensive - here’s what to look for

For most of us, buying a house is a tremendously expensive proposition. It’s not something to take lightly, especially if the purchase involves an existing home. Most new houses are in tiptop shape and many even come with a warranty. With existing homes, it’s often a “buyer beware” situation and the problems can cost tens of thousands of dollars if you aren’t adequately prepared.

Here are some things to watch out for when buying an existing home:

• Foundation problems- A cracked foundation can cause all manner of problems and can cost tens of thousands of dollars to repair. Foundation problems are quite prevalent in the South, where water tables are high and the ground is soft. Ask anyone who lives in Houston about foundation problems. They’re common and they’re expensive.
• Electrical problems - Bad wiring, old wiring or vintage aluminum wiring all present hazards that could be lethal or could cause a fire that could burn the house down. Aluminum wire has a habit of oxidizing and working loose from outlets, creating a fire hazard. Older homes also often have inadequate power for modern needs as modern appliances have more power needs.

• Roof damage - A bad roof means water in your house. You don’t want that. And getting a new roof can cost a few thousand dollars, at best. Make sure to check not only the shingles, but the structure of the rafters. Replacing the shingles won’t help you if the structure that holds the shingles in place is rotted out.
• Improper drainage - A real problem with houses that have basements. A poorly draining yard may lead rainwater to your basement. You don’t want that. And while you’re checking, does the basement have a sump pump?
• Plumbing problems - Lead pipe is a problem in vintage homes. In newer homes, you just have to worry about broken or leaky pipes. The last thing you want to deal with in your recently purchased house is water in places where you don’t want it.
• Heating and ventilation problems - Many homes, especially older ones, may have hazardous ventilation problems. Vents become clogged, furnaces may no longer meet code or be efficient enough in today’s era of expensive heating. Carbon monoxide can be a lethal problem that is difficult to detect without sensors. 

It’s worth remembering that any of these problems that may involve water, such as a bad roof, or a leaky basement are probably not covered under your homeowner’s policy. These will probably qualify as a flood problem and unless you have Federal flood insurance, you will not be covered for any damage to your property that results from water damage. This ought to be reason enough to check these problems out ahead of time. There’s nothing more frustrating than having an insurance company tell you that your $10,000 repair isn’t covered under your policy. Check out the property before you buy it.

And finally, get the home inspected. Many buyers are waiving their right to an inspection in hot markets. This can be a huge mistake, as the house could have numerous problems, some of which may not even be repairable. Get the inspection.