It is certainly true that mortgage interest rates continue to be at an all time low. And yes, the prices of houses are still low enough to be very interesting. However, don’t let this lead you into believing that any home purchase is a good one. The buyers currently hold all the cards. However, don’t buy without exerting due diligence. The potential issues you may uncover when researching a property could be serious. These problems are not always significant enough to tell you not to buy, but sometimes they are. Two things are of particular importance in terms of red flags.
The first is the neighborhood. Very few things are more important than this. Look into whether the community is growing and thriving, or whether it is declining. If you notice many homes are being foreclosed and local businesses are closing, then the community is declining. Experts say that it is best to visit the same neighborhood at different times and on different days. In doing so, you will also become aware of traffic. Purposely visit the neighborhood once at night, just to get a feel for what the streets are like at that particular time. Additionally, make sure the police provide you with a crime report on the area.
Then, you need to look into things that may have caused damage to the property that are very hard to fix. Make sure you check for signs of the presence of water damage, pest damage, asbestos, mold and faulty wiring. But it often takes a professional eye to actually spot these problems. It is possible that the present owners do not even know that these issues are there. If they do know any of these problems are present, they may do all they can to keep them hidden. In order to hide these types of issues, all that needs to be done is a bit of cleaning and reducing how much power is being used. To find out whether these issues are there, you can organize a professional home inspection, but you can also speak to community members. They can tell you about the history of various properties in the area. Generally speaking, major problems like pests, water damage and mold will occur in more than one property.
When it comes down to it, you are the only person who is able to decide whether or not to buy that property. However, make sure you exert due diligence at all times. You should never purchase a property that you didn’t have reviewed by a professional inspector. If you do find a property has significant issues, you have the option to simply walk away, or you can try to have the price decreased to compensate for this. However, you do have to make sure that you don’t purchase a true money pit.