During the home search process, first time home buyers and real estate investors should keep an observant eye out for the signs of potentially costly home repairs. In fact, one of the following
expensive home repairs can make the difference between a great deal and a loss. Oftentimes, prospective home buyers decide relatively quickly whether or not they want to buy a house. Whether it’s because of the great curb appeal or the huge closets, potential home buyers can hold on to the property’s great features while ignoring or downplaying the negatives. However, these snap or emotional decisions could cost the home buyer thousands upon thousands of dollars and hours of stress. In this article, the We Buy Houses NJ team gives New Jersey home buyers the information they need to avoid the most costly home repairs. Read on below to learn how to identify and avoid 5 costly home repairs.
Often found in older homes, potentially dangerous electrical system issues could be spread throughout the entire house. Additionally, major electrical issues can result in electrocution and even fire. Fire hazards occur when hot electric wiring is exposed to highly flammable materials like insulation. Yet older homes aren’t the only properties that are susceptible to electrical issues. Even in new constructions electricians can take shortcuts that could potentially put your home at risk. In some cases, these contractors are pressured to use cheap materials or work very fast in order to sell homes fast and cheap. This can lead to electrical systems that are not very safe. Watch out for flickering lights, poorly placed outlets and outlets that are hot to the touch. In cases where full home re-wiring is required, the cost could be upwards of $4,000. This cost could damage the profitability of your investment property – so make sure to check the house thoroughly.
HVAC problems can arise due to poor venting, outdated or broken equipment, and/or corrosion. These issues can spawn mold, cause fire, and lead to high energy bills. Due to the hefty cost of air conditioning and heating units, HVAC issues can become very costly. Replacing duct work can also be required which often leads to drywall demolition and subsequent replacement. Mold removal and cleanup is also costly and inconvenient – often leading to parts of your home being sectioned off during the extraction process. Look for signs of water leaks, outdated equipment, and inconsistent temperatures across different rooms in the house. Repairs and new HVAC units start at $2500.
Completely replacing a roof is one of the most expensive home repairs possible. However, most home buyers do not check for roofing issues. The issues that can result from a faulty or degraded roof include water damage, mold, mildew, electrical issues, insulation problems and more. If you notice water stains or leaks, broken or missing shingles, mold growth or roof dips, beware of roofing issues. Completely replacing a roof can cost more than $5000 but smaller repairs may only cost $150.
The house’s foundation is one of its most important structural elements. Foundation shifts or cracks can lead to a whole home separating. Often, walls in homes with foundation issues will crack or different rooms of the house will be out of level. All these issues pose safety risks for all the occupants. Although foundation issues can be daunting, they are definitely fixable. Additionally, reputable companies can guarantee lasting repairs. However, it will cost you; be prepared to spend $10,000 to $30,000 on a major foundation repair job. Look for cracks in the house’s concrete slab, watch out for rooms not in level and check the exterior foundation for crumbling.
Another potential costly home repair is plumbing repair. Plumbing issues include leaks, corrosion and clogs. These issues can increase your water bills and lead to more serious foundation and/or mold issues. Fixing these issues is often best left to professionals because one mistake can lead to other hidden leaks or flooding problems. Look for leaky pipes, dripping faucets, running toilets and water stains. If you detect plumbing issues, be prepared to pay $2000 and up for the most serious plumbing issues.
Be on the lookout for all of these issues when you are qualifying houses for your next purchase or NJ investment property. Also, consider soliciting a professional home inspection to uncover additional issues that you may have not spotted in your short time viewing the property. Even though some of these issues may seem alarming, they can all be fixed. In some cases a home with some of these issues could still be a good deal. The We Buy Houses NJ team has first-hand experience with all of these issues and has successfully found ways to fix and flip them.
We Buy Houses NJ has bought ugly houses and houses in disrepair and repaired them to safety and functionality. However, you definitely need to consider all the costs and the time it will take you to bring the home back to a functional condition before purchasing a home with any of these issues. We Buy Houses NJ offers investors a list of pre-qualified investment properties with great potential. Learn more about our approach to identifying great values and contact us for more information about these wholesale real estate investing opportunities!