3 Potential Issues to Anticipate When Buying a Property

Buying a house as an investment is always exciting, but that doesn’t mean it is not challenging in some way. Aside from choosing the right location and making sure the property is at the right price, you also need to think about the potential return and how you can flip the property to earn that return.

On top of that, you have to be extra certain that flipping the house will not cost more than you expect. A way to do that is by knowing the kind of issues to anticipate and doing a thorough inspection to make sure they are not present.

If you are in the process of buying a property as an investment, anticipating potential issues can make or break your investment. Here are the three potential issues you need to spot (and solve) early on.

Electrical Problems

Wiring and electrical problems are among the first to check for. For starters, you can avoid a costly and catastrophic disaster with a thorough wiring check. The inspection itself is often easier to conduct thanks to clear symptoms of electrical problems and accessible wiring.

One more thing to check is whether the electrical system follows the correct codes. This means working with Chicago engineers – or engineers near you – who really know the city’s electrical power connection requirements and other regulations.

The Chicago Department of Buildings Electrical Power Connection Requirementsare exactly the kind of regulations you need to understand. Violating the building codes isn’t just going to result in fines and penalties, but also an increased risk of harm.

Harmful Materials

Next, you want to check the property for use of harmful materials. You could potentially buy a commercial building that still has its original lead paint. Without a thorough inspection, the building can appear as if it doesn’t have any issues.

Unfortunately, harmful materials like lead and asbestos are still found in some properties, especially older structures that haven’t been maintained properly. These materials, through prolonged exposure, can harm you and others using the property every day.

Presence of harmful materials is the kind of issue you want to solve immediately. In the case of lead paint in one of my commercial buildings, the old paint needs to be removed completely before a new coat of paint can be applied.

Structural Issues

You still have plumbing and air ventilation to check for issues, but they are fairly easy to review. What you don’t want to miss is checking the structural integrity of the building thoroughly. There are problems like foundation issues that are best avoided entirely.

Some residential homes have broken sill plates. This means water and other substances can penetrate the base of the building and affect the foundation. You can expect to see bigger problems when the broken sill plate isn’t fixed immediately; it is best to avoid the property entirely if it is an issue that has been around for years.

The sooner you can spot potential problems with a property, the sooner you can calculate the cost of fixing that issue, and the easier it will be to decide if buying the property is the right move to make. Since we are talking about investment in real estate, going the extra mile to protect your investment is a must.