Functional obsolescence factors whether they are within your boundaries or outside should always be considered when buying a home. Functional obsolescence means a material fact it is impossible to eliminate that has significant impact on market value. For example, a water tower within 1000 feet of your home, or those really large Hydro towers running through green space in the back of your property, and even as a matter of fact whether the backyard adjoins a school playground. Although obviously this would not pose a problem for buyers who have small children, this would pose a problem for any other type of buyer.
Even new homes can have defects. Buyers of new homes, should a) understand the terms of the warranty b) hire an inspector to check the house before the sale closes and c) Inspect house with the builder, so both parties are aware of problems needing corrections. The best builders will take care of any defects reported by the buyers.
Home sellers have a duty to disclose defects known to them. In Guelph, home sellers are usually asked to complete an SPIS or seller property information statement (disclosure form) by their listing agent. If this hasn't been done, you can make it part of your offer to purchase. Just remember that some sellers have selective memory. When a home buyer can prove the seller or knew or should have known about a home defect the buyers legal recourse is to either a) sue for monetary damages or b) attempt to have the sale of the home halted. The buyer's difficulty is proving the defect was known before the sale closed.
Home inspectors are not perfect. But the smart buyer will insist on having a home inspector through the house before closing anyway. Be sure to inquire about the inspector's experience. Home buyers should always accompany their professional inspector. If an unexpected serious defect is discovered, discuss it with your agent and have him or her make an amendment to the offer asking to have the effect professionally repaired. Use the inspectors report to get the seller to pay for repairs or reopen negotiations to get a repair credit.
Home inspectors will have these key factors in the checklists, but if a home buyer is aware and on the lookout for these potentially serious problems, they may choose not to purchase.
1. Mold and moisture. Even the best homes at one time or another have mold or mildew. The cause is trapped moisture - usually due to poor ventilation. Mold can be extremely difficult or impossible to remove in excessive amounts.
2. Asbestos. At one point in time, asbestos was routinely installed in thousands of Canadian homes for fire proofing, insulation, roof and garage shingles, and even floor tile. If it is in good condition there is nothing harmful about asbestos, but when it deteriorates and the particles become airborne it can cause fatal lung disease.
3. Radon. According to the Environmental Protection Agency, this radioactive gas is created in rock and soil beneath some homes. Your buyer's agent should be aware as to whether or not there is any radon near a home.
4. Lead based paint. Before 1978 lead based paint was used in many homes. It can cause brain damage to young children who ingest it... usually from flaking paint chips, but it is not dangerous when the paint is in good condition. Ask your home inspector.
5. Formaldehyde. Many manufactured homes contain this material, which causes eye nose, and throat irritation. It can also cause rashes, headaches and dizziness in some people.
6. Defective well water. If the home you are purchasing depends upon well water, be sure that your offer includes a condition for a test of the well water quality. Also have the wells pumped tested to be certain it's in good working condition.
7. Carbon monoxide. Malfunctioning furnaces, wood stoves, kerosene heaters or lamps, fireplaces, water heaters and gas stoves can produce invisible but deadly carbon monoxide in homes. The easy solution is to install a carbon monoxide detector which plugs in, and usually costs $25-$50.
8. Septic or sewer system. A home that is not connected to a public sewer system has a septic system which drains wastewater into the soil. Be certain the septic system is located a great distance from the well. If the seller reports a home is connected to the public sewer, be sure to verify this and that the sewer pipe is not broken.
9. High-voltage power lines. Tests have been inconclusive is nearby high-voltage power lines cause cancer and other diseases but it is certain that they don't benefit health. The presence of nearby high-voltage power lines won't enhance the home's market value and could be a negative factor at resale time.
10. Other negative influences. Other things it should be considered are high crime rate, heavy street traffic, poor location, lack of public schools nearby, lack of public transportation, new zero tracks, poor floor plan, inadequate or dangerous wiring, racquet knob and tube bracket galvanized pipes, a really old furnace, flood zone, easements and encroachments and high property taxes.
In conclusion, no house is perfect, and smart homebuyer should ask a lot of questions and insist on a professional home inspection condition in their offer.
TerriAnn Ford is a guelphhomesforsale.com Real Estate Agent. She specializes in guelphhomesforsale.com Guelph homes for sale. Ford is an Accredited Buyer Representative and also offers guelphhomesforsale.com/free-foreclosure-listings free foreclosure listings to people looking for a bargain in real estate.
No comments:
Post a Comment