Thinking about buying a new home this spring? Do your homework now because home buying is likely to be the single biggest purchase you’ll ever make.
If you’re in the market for a new home, you’ll probably work with a professional realtor and a mortgage lender. You should also add a private home inspector to your advisory team – we make the case with some rather alarming “what can go wrong” video clips below. And here’s another professional that you might not think to add to your team but that you should: your independent insurance agent.
The Hanover offers a great post on five ways your insurance agent can help in the home-buying process. Insurance agents are local experts who know the neighborhoods, school systems and community safety. As you narrow down choices, they can give you insurance cost estimates. Hanover notes that “the neighborhood, the size of the home, the presence of a pool or trampoline, and the distance from a fire hydrant and fire station are just a few of the things that can impact your home insurance premium.” We’d add checking to see if your home is in a flood zone.
Once you pick out the home you want, The Hanover says there is another important role your agent can play:
Insurance claims filed by previous owners can impact your home insurance premiums. Your independent insurance agent should be able to access this information using the Comprehensive Loss Underwriting Exchange (CLUE). If several claims have been made on the property, insurance carriers may be concerned that the house may have long-term problems, resulting in higher premiums. It is particularly important to pay attention to water damage claims that have been filed.
Whether you’re contemplating new home construction or buying an older home, hiring a private inspector can help you avoid winding up with a lemon. Make sure the inspector you hire is licensed and credentialed.
An inspection usually occurs after you’ve made an offer on a home but prior to the close. An inspector will provide a report that will allow you to identify any problems and make remedial requests of the seller. You can also share the report with your agent to highlight any red flags.
Hiring an inspector isn’t a step you should skip. Sometimes, buyers who are looking at newly constructed homes have the misconception that because the home is new, they don’t need to hire an inspector before buying. That can be a big mistake learned the hard way.
The clips below make this case. They were compiled by Reuben Saltzman, who has a blog called The Home Inspector in the (Minnesota) Star Tribune. Saltzman has an annual tradition of compiling his top 20 funny/scary inspection photos, along with video compilations. We’ve included clips for this year and last, but you can find more of his annual top 20 inspection pics at this company website and also on his Facebook page. His pics and videos are amusing – but they are also an insurance agent’s nightmare, graphically illustrating problems that run the gamut: roofs, cellars, decks, plumbing, attic leaks, deck issues, water management and more. Chances are your own home walk through would spot many of these blatant problems – it’s what you don’t see but that a trained inspector would that could trip you up!