If you have your eyes set on purchasing a home in your area that has been vacant for a while now, you may want to prepare yourself for some of the challenges you may face if you go through with the purchase. A real estate agent can help you obtain a viewing of the home and write a purchase agreement, but here are a couple challenges you may encounter as you prepare to go through with this deal.
Your home inspection might be limited
One of the best ways to make sure you are getting a good deal on a house is to pay for a home inspection. In most cases, home inspections will reveal major issues with a home; however, the inspection you get on this house might be limited. The reason for this is the power in the house may be shut off. If the house is vacant, there is a good chance that there is no power running to the house. When an inspector tries to complete an inspection, he or she might only be able to perform some of the steps instead of all of them.
For example, the inspector will not be able to check and test the electrical components of the house. In addition, he or she may experience trouble trying to test the plumbing. Without electricity, the water pump and water heater might not work. Because of this, you will have no idea what the condition is of certain parts of this particular house.
Your insurance costs might be higher
If the home you are looking at needs some work, there is a good chance it will remain vacant for several weeks or months after you buy the house. Because of this, the insurance company you purchase home insurance from may charge you higher rates for your policy. In fact, it might be difficult to find an affordable insurance policy for the house, especially if the inspection was limited.
Insuring a home that has been vacant for months or years is a risk for insurance companies, yet you will have to purchase insurance before you can close on the home loan.
Buying a vacant house can be a great way to find an affordable home, but you should always inspect the house as much as possible before you make an offer. If you would like to learn more about the home-buying process, contact a full service real estate agent today.