In today's troubled real estate environment, buyers really need to be on their toes as they look for a home to purchase. Many homeowners today are faced with having to sell their property or face losing their home and equity to a foreclosure proceeding. With homeowners desperate to sell their homes it is highly possible that they would withhold critical elements about their home when known might be a sale stopper. Albeit this kind of behavior can get the homeowner and perhaps even the listing real estate agent into trouble it might be dismissed as a concern when overridden by seller desperation.
As such, if you are out to buy a home, have already been pre-qualified, and are looking at homes, then you'll want to pay attention to this short list of items where a seller might be less than honest as you consider making an offer to buy the home.
Issues Concerning The Home's Physical Condition
- If the home has a basement does the basement ever flood during rain storms? Make sure that you get the home checked thoroughly in the basement if you are considering buying it. If you put an offer in on the home, make sure the inspector takes a close look at the basement. For your eyes too, take a look around for mold and mildew. You'll also want to look on the walls for any possible water marks. These could be an indication of trouble. Do not be afraid to ask your real estate agent questions.
- Do you know the status of pest control for the home? If not, make sure you ask. You will want to get a termite inspection once your contract is written. You will also want to make sure that you have a contingency clause to be able to get out of the contract if the termite inspection turns up any bugs.
- Instead of taking the word of the homeowner, ask to see any maintenance records for the home like AC - Heating maintenance contracts etc. You may also ask to see any replacement documentation for a new AC - Heating unit. This is especially true if it is disclosed that the unit(s) were replaced recently.
- Can you tell if there has been any additions put on the home? If you have any suspicion of changes to the home from how it was originally built you want to make sure that the additions were made legally; were there building permits issued for the work. Ask your real estate agent to find out.
Issue Concerning The Home's Deed and Title
Another big problem in some areas of the country are orphan lots. These lots are little pieces of land that can run through and/or across the property that you are looking to purchase. It is highly important that you make sure with the title company that the deed checks out. You may even request to see any plot map and have the homeowner show you where the property lines are so you can compare them to any map of the property you may have or get during the home buying process. Orphan properties can cause some major problems for you if you end up having one associated with your property.
Issues Concerning The Surrounding Area
- Who are your neighbors? Take a look around the neighborhood. Are the homes kept up or are they in need of repair. The upkeep of a home can say a lot about the quality of your neighbors to be. If you are up for it, knock on a few doors and introduce yourself. See who your neighbors are going to be if you are serious about buying a particular home.
- Do some of your own research if you have kids and they will be going to school at the local school. Check the school out on the internet. Have there been any problems at the school that you need to know about. For that matter, stop in and visit with the office staff. Let them know that you are considering moving into the neighborhood. Does the school have after school day care or other after school programs for your kids to attend.
- Is the house located near an airport? If you do not know, then you might want to find out. Why? Overhead noise is your biggest concern here. Plane flying overhead can be noisy if you have young children in the home. If you notice planes overhead, ask the homeowner when are the busy times of the day for plane noise. Pay attention to how they respond. They might try to gloss over it in an effort to head off your concern about it. The plane noise might not bother you, but if the homeowner gets a little weird when you ask about this topic or any topic for that matter you may consider a graceful departure from buying the home. Who knows if they are telling you the truth.
Issues Concering Past Owners
Has anyone died in the home? You may want to ask if this is a concern for you. I personally bought a home where one of the previous owners committed suicide in the basement. I was not told this information by the real estate agent nor the home seller. A neighbor came over one day about a month after I bought the home and asked me if they had told me about the previous owner. When I found out, I was okay with it as it didn't bother me. But you may not like that kind of situation so make sure you ask about it.
In summary, while this list is not exhaustive, it should give you some good things to think about and to look for as you shop around for the perfect home. Chances are you'll find something out about the home that wasn't disclosed just by asking a few questions, listening and doing some of your own research. Good luck in your home search.
Article by Dale Stouffer, Mortgage Broker. Dale has been a mortgage broker since 1996 and has a master's degree in Urban Planning. This Article is designed to be of general interest and should not be considered legal advice. The specific information discussed may not apply to you. Before acting on any matter contained herein, you should consult with your personal legal adviser.
