You are finding your dream home, accepting your offer and heading for an examination – Congratulations! You’re on the way. But even homes that appear to be ready for move-in can either hide the issue or need repairs. Also, some issues are more serious (and more expensive) than others.
A good home inspector will look around the home system and facilities to ensure that everything works properly, is safe and livable. However, the biggest red flag found during a home inspection is something that can be very expensive to correct or reveal more than you negotiate.
Whether you’re ramping up foundation issues in San Antonio, Texas, or looking at a home in Charleston, South Carolina where past flooding could occur, there’s the biggest red flag to watch out for once your home inspection report comes back.
1. Structural issues
One of the main things to keep in mind when purchasing a home is the foundation’s issue, especially if there are horizontal cracks, says David Palmer, a real estate agent at Redfin. “If I see them, it stops immediately. At least you need to see a foundation expert.”
If the crack is vertical, that’s not too worrying. “Unless it’s big enough to paste the coins on. Then it’s time to call the experts. The foundations are very expensive,” says Palmer.
What is a structural red flag? Old wooden foundations, tilting houses, or drooping cracks in the walls can be signs of complex (and in use) structural problems after purchase.
2. Floods and past floods
Water stains on the ceiling or a bad smell in the basement can mean leaks, roof issues, or poor sewer lines drainage. The water in your home can distort, peel, and weaken the structure of your home.
Past floods can be the cause of excess water in your home, but at that point it’s not just about dealing with flood damage. Floods can leave hidden mold, damage to the electrical system, and damage the integrity of the foundation.
If your home gets flooded, it can be difficult to get full affordable homeowner insurance, or certain types of coverage. So, not only does it cost to solve the problem, but it could also cause more headaches during the closure.
3. Pests and rodents
Another red flag that can pop up during your home inspection is a sign of mice, termites, or other pests known to your location, like carpenter ants in heavy forest areas.
“When I walk around the house, I’ll look at the vents in the crawl space to see if the holes are bitten,” advises Palmer.
Pests and rodents may seem annoying at first, but they can cause structural damage, deterioration, and health risks, and may be ongoing problems or unaware of them behind the scenes.
4. Roof and chimney problems
The roof has an expiration date and we recommend that you make sure it is in decent condition and not damaged or improperly installed, even if it has recently been replaced.
If the house you are looking at has a chimney, it is also important to add fireplace and chimney inspections to your regular home inspections.
“We’re looking for waves on the roofline. It gives us the idea of how old the roof is, whether it’s deteriorated or fall apart in the chimney,” says Palmer.
5. Obsolete or unsafe electrical systems
Older homes are especially susceptible to wiring and electrical systems that no longer function as modern appliances. Fire is a real risk if you put a strain on a tired circuit or if knobs and tubes or aluminum wiring are present.
A home with poor wiring or unsafe electricity may need to be replaced completely even before moving. Homeowner insurance wants to check this box before issuing a policy, and many lenders require proof of insurance before approving a mortgage.
>>More: Most common home inspection issues
Conclusion
The red flag that pops up on your home inspection report is not cosmetics or simple modifications. They are usually complicated and expensive. When structural issues, floods, pests, electricity, or roof problems appear, more can happen beneath the surface.
“It’s like the strings of a sweater. You start going down that rabbit hole and things can start to get more and more expensive,” says Palmer. “One of these could be just the first sign of further damage.”
With inspections in place, if the issue appears overwhelming or expensive, then the buyer has the option to leave. Otherwise, negotiating credits and negotiating price cuts with sellers is a way to stick to the deal, even if you don’t lose much, or as a last resort.
Red flag in FAQ regarding home inspection
What do you think of a structural red flag?
The structural red flag looks like a large foundation crack, a hanging or uneven floor, a bow, a chimney movement, or a door or window that is not sitting well on the frame. Looking at these means there is fundamental movement or damage that needs to be professionally repaired.
What causes a house to fail to inspect the house?
Technically, the house does not pass or fail the inspection. The home inspection report lists the issues. However, major expensive items such as foundation issues, unsafe wiring, roof failures, serious flooding, or unauthorized work can be so serious that the buyer can decide not to proceed with the home.
When should I leave after the house inspection?
If major structural damage, chronic water issues, extensive mold, or other costs or unsafe issues the seller doesn’t cover, an inspection would result in expensive or dangerous repairs that could be fixed, then you should consider walking. If the cost or stress exceeds the value, it’s better to move on.
