Home inspection can be difficult for homebuyers, sellers, and real estate agents. Every house has either minor or major issues, or sometimes both.
Hence, there are times when both parties can negotiate over the repairs and address the issues. And there are also times when buyers back out of the deal.
If you are wondering, “How often do buyers back out after inspection?” The answer entirely depends on the severity of the issues found during the home inspection process. If the issues are minor, the buyer chooses to negotiate. When the issues are severe, the buyers choose to back out. However, in this blog, we will discuss such deal-breaking issues found during home inspections in Denver CO.
Roofing Issues
When you decide to buy a house, your utmost priority is to have a strong roof over your head. But what if that roof needs replacing?
According to Home Advisor, the average cost of installing a new roof ranges from $5,600 to $11,830. The price varies and depends on several factors, such as materials and the project’s scope. These prices can also get a bit higher in different locations based on the size of the home and the type of roof.
So, if your home inspector points out roofing issues, then know that a huge expense is waiting for you after handing over your closing costs and down payment. If you don’t have that money, it will be wise to back off from the deal.
Foundation Issues
A home’s foundation is vital. It is the basic structure of your house, and if an inspector finds issues with the foundation, there is a high chance of several other issues looming in your home.
Some major indicators of foundation issues are:
- Dampness in lower levels
- Uneven floors
- Sticking windows and doors
If you see cracks in the foundation, don’t take it as a surprise, as every property takes some time to settle.
Then, what makes it a deal breaker and how often the buyer back out after inspection depends on how severe the issue is and how much it will cost. Major foundation repairs can be an expense of tens of thousands of dollars.
Discussing the solutions with the seller is important if you or your home inspector find any red flags during the foundation inspection. Ensure that your contract includes contingencies that will offer you some protections in cases like these.
If you plan to renegotiate the sales prices, then there is a high chance that you still have problems with your lender accepting the property with the unaddressed issues. If the seller refuses, then it is better to walk away.
Electrical Issues
Electrical issues are not only eye-opening for homebuyers but also home sellers. An inspector will be looking for the wiring issues indicators like:
- Overburden circuit breakers
- Ungrounded outlets
- Double-tapping
- Poor quality of work
- Lack of GFCI protection
- Dimming lights
- Outdated electrical panels
- Old or defective wiring
These issues serve as the biggest expenses and potential hazards. If these issues are left unaddressed, such a system might fail to support your major appliances and damage those. The repair costs of electrical systems can range from $3000 to $20,000. Such an expense is huge, especially when you have just given a down payment.
It is better to serve these issues as deal-breaking and walk away from the deal itself.
Past or Present Pests
Pests are unwelcome guests in several homes that can be a major threat to homeowners. Besides making you uncomfortable, they can cause damage to your home and impose major safety concerns.
You must be alert if you find any past or present pest activity in the house you intend to buy. Rodents can be a serious threat to a house’s HVAC systems, ductwork, electrical wires, as well as insulation. Carpenter ants and termites, on the other hand, can leave the structure of your house unsteady as they feed on wood.
The early identification of pests in houses can be an issue that won’t pose much harm if addressed. But, if a pest condition has been ignored for too long, this is a major reason for you to walk away from the deal, as severe pest damage will be highly costly.
Plumbing Issues
These are the issues that are often hidden or go unnoticed. But, once they strike out, you cannot do much about it. Home inspectors often uncover minor issues that can further develop into major plumbing issues; hence, it is wise to be proactive about such minor issues beforehand.
Hence, home inspections in Denver CO become essential to be safe and save yourself from costly repairs in the future. Following are some red flags that you should be aware of, and if you find these within your home, then know that these are major deal breakers:
- Weak water pressure
- Outdated pipes
- Slow drainage
- Leakage
The expense of replacing or repairing bad plumbing or piping can range from $5,000 to $50,000, a high price. It is better to walk away from the deal if you find any of the abovementioned deal breakers in your house.
Environmental Hazards
Environmental hazards become deal-breaking concerns, especially when buying an old home. In older homes, they come in the form of outdated building materials, including pipes or laid paint.
One of the most common issues in such homes is black mold. Older homes or homes in coastal areas are often affected by leakage or flooding, making black mold a threat to the home’s value and residents’ safety.
If you smell a musty smell, you must know this is alarming. Usually, mold removal can cost between $500 to $10,000 or even more. So, buying an older home might be aesthetically pleasing, but make sure you know how to deal with such issues later or beforehand when finalizing the deal.
Furthermore, another environmental issue found in some homes is radon. This hazardous gas can make its way through cracks in floors and basement walls, which is a major threat to people inhaling it.
Environmental Protection Agency, therefore, recommends radon mitigation in homes. This can cost around $800-$2000. It is better to address the issue before buying the house, and if it is left unaddressed, you may walk away from the deal to save yourself from this hassle in the long run or, at times, regularly.
Take the first step towards securing peace of mind during your real estate journey. Contact Axium Inspections today to schedule our certified home inspection services in Denver. Let us assist you in making well-informed decisions about your property investment. Don’t wait; get started now!