Buying a new home can be an overwhelming experience. Add in rising house prices, grueling competition and fisticuffs-inducing bidding wars, and the already-rough terrain gets that much rockier.
Before you set pen to paper (or finger to cell phone) know what's involved with these tips from home-inspection guru Mike Holmes.
What should you make sure a home you're interested in buying has before you make a bid?
If you're looking at the real estate agent's papers and it says "all new floors, all new electrical, all new plumbing!" I would really encourage the potential buyer to check for permits. No one other than you — not even your real estate lawyer — is going to check for permits. You pick up the phone, call the government in your area and ask if there were plumbing permits and electrical permits pulled on it. They'll tell you.
Is there a secret to successful home buying?
You need to get educated before you buy. You need to do your homework. You need to research where you want to live. Are there termites in the area? Are there in-ground oil tanks? Let's do our homework and then find a home inspector — and then check him out. If you do all these things, the chances are you're going to be very successful. And if you don't, you're playing the slot machine just like anyone else on the market.
What should you be looking for when you're hiring a home inspector?
Really simple: How long has he been in the business? What did he do before this? Did he lay carpet? Was he a contractor? You can't ask enough questions. And if he doesn't answer them, get him the hell out of your view.
What do you think of bidding wars?
I'm against bidding wars. I will not play that game. I think it's the most ridiculous thing on the market right now. Don't spend more money than what you should be spending. In any bidding war, you're buying a lemon. How many times have I seen a bidding war house that I've got to fix later that costs a huge amount of money. Don't play that game.
Is there any safety in buying a brand new house rather than an older house?
In truth, there's probably more safety in buying a new house than an older home. An older home has a 50 per cent chance of having asbestos (never, ever renovate without having your house checked). Odds are, the electrical, the plumbing, the weeping tile is old. I don't want to dissuade you from buying an old house, but you have to pay attention.
Let's go to the new house. A new house is built with minimum code. Minimum love, but also minimum code. There are a few things I don't like about minimum code. One of which is that it's more likely to mold. You're probably safer to buy the new house, but I would still recommend getting an inspector in.
Catch Mike Holmes' new show Holmes Inspection on HGTV Canada at 10 pm EST.
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