Buying a Home? These 3 Things Should Be Deal Breakers
Are you in the market for a new home? Congrats! Homes are a great investment as you decide to put down roots in a certain neighborhood. Whenever we help clients find a new home, we always tell them to keep an open mind, because so many cons can quickly turn into pros! However, there are a few things that make us run for hills when we see them in a house.
Here are the biggest dealbreakers we see. If you look at a home with one of these issues, we advise you to run.
Bad Location
Pretty much anything in a home can be replaced: furnaces, foundations, siding, pools. But the one thing you can’t replace or renovate is your home’s location. If you buy it, you’re stuck there.
We bring this up because of Denver’s ever-increasing real estate market. First time home buyers might be tempted to buy a home in a less desirable neighborhood. And while there’s nothing wrong with sacrificing a “top” neighborhood for a nearby one, you should seriously consider how much location you’re willing to compromise. Here are two examples to think about.
Too Far From Work
There is nothing wrong with moving outside of Denver to purchase a larger home. However, keep in mind that commutes longer than 25 minutes are linked to a whole slew of stress and negative health risks. In my humble opinion, an extra 100 square feet aren’t worth it.
Unideal Location
Similarly, moving underneath a busy highway or right next to an abandoned parking lot isn’t going to do much to your property value, especially as Denver rush hour continues to worsen.
Any Type of Infestation
While home infestations are incredibly rare, you don’t want to mess with a home that has a bug or rodent history. Besides the gross-out factor, these infestations could damage your health and physical home, costing you more than just money. If a major infestation appears from your home inspection, we think it’s best to run the other way.
Lack of Permits
If you’re considering a home that was renovated without a valid permit, move on. It’s likely that the renovation was completed by the homeowner--not a professional--which makes it potentially shoddy renovation or addition.
To make matters worse, your homeowner’s insurance probably won’t cover this unpermitted work, making it a financial liability.
Non-Deal Breakers (But things you should look for)
Here is an additional list of red flags to be aware of. Luckily, some of these red flags can be used as leverage to score a better deal on your purchase. With any of these things, be sure to consult a reputable real estate agent. They can help you navigate whether any of these red flags are “worth it.”
Foundational Issues: If the foundation is horribly cracked, it might be worth walking. However, if it needs repair, you might be able to bundle a repair into your offer or get a hefty discount to allow you to fix it. Either way, it’s worth learning more and weighing your options.
Appliances/Systems: Understanding which appliances or systems are due for an upgrade is essential before buying a home. Replacing a water heater, oven/range, and bathroom faucets can quickly add up. It’s worth doing a simple cost-benefit analysis and pricing out new appliances and systems. If the home is slightly under your budget, it might be worth it to buy and then upgrade with brand new utilities!
Old Roof: New roofs can run upwards of $30,000 so adding that cost to a new home purchase might be difficult for some. Just like foundational issues, sometimes you can negotiate with the seller so it’s always worth asking.
General Outdatedness: If you want a turn-key home, you might run away from general outdatedness. But if you like to customize things, and older design gives ou room to make it your own! It’s best if your real estate agent hooks you up with reputable home builders to do projects after closing. Frontgate partners with AJ Kirkegaard to make buying-renovating easy.
Are you in the beginning stages of buying a home? Contact Frontgate!