More and more investors are loving the idea of purchasing fixer-uppers and taking on the tasks to make major repairs to increase the homes overall value. Before purchasing a fixer-upper, buyers must do their due diligence to help avoid unplanned expenses and problems that may cause their investment property to become a real nightmare. Ryntal Property Management has gathered a list of warning signs that buyers should be aware of while shopping for their fixer-upper.
Musty Smell
A musty odor could indicate moisture, which typically suggests a leak of some sort. Whether the leak is active or inactive buyers will want to get a home inspection to ensure that leak has been addressed and there is no sign of mold in the home. Moisture in a home can lead to warping which will effect the structure of the home, and potentially put the homeowner or tenant’s health at risk, if the leak has created mold. It is always best to ask when the roof was last replaced and check the windows and doors to see if they are stuck, as this could be a sign of moisture in the home.
Uneven Floors
Drooping floors are often a sign that the home has a structural problem. It is important for the buyer to know if the uneven floors are due to support joist being placed too far apart, excessive moisture damage to the framing, or an issue with the foundation. It is easier to tell if the damaged flooring is due to an issue with the foundation, as when a house settles not only does it affect the floors but buyers should notice squeaky floors, and cracks throughout the exterior and interior of the home.
Energy Bills
Asking the seller what their average electric bill is could potentially save the buyer a lot of headache in the future. High energy bills could be caused by several things including an inefficient HVAC system, old appliances, poor insulation, or faulty doors and windows. While sealing or replacing some of the doors and windows may be a rather inexpensive repair, replacing the HVAC system or appliances can become very costly.
Outdated Electrical and Plumbing
Fixer-uppers are more than likely going to be older homes, making it very important for the buyer to check the wiring, fuses, and plumbing throughout the home. Outdated electrical is to be taken very serious as old wiring could pose a major fire hazard at the property. Buyers will also want to pay close attention to the plumbing throughout the home as a lot of water leaks are caused by old faulty pipes.
These warning signs could save a buyer a substantial amount of money and headaches in the long run. The team at Ryntal Property Management consists of professionals with many years of experience in property ownership, property management, property maintenance, and real estate and are ready to answer any questions you may have about purchasing a fixer-upper.