​A Homeowners Insurance Road Block: The Top 5 Areas Of Your New Home That Could Fail Inspection

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Many insurance companies today are mandating insurance inspections, as this is the best way for them to evaluate how much risk a home may be exposed to and accurately estimate the full replacement cost of a property.
 

An inspection may occur on the exterior or interior of a home exclusively. Interior inspections usually follow an appointment made by the inspector to enter the home, whereas exterior inspections can happen with no appointment needed.

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​Why Are Home Inspections Important?
To put it bluntly, home inspections are important because not having one can end up costing you a lot of money. Some homeowners have discovered that their policy has been cancelled as a result of deferred maintenance.

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Waiting until you are in your new home to get an inspection done can mean that you are put at great risk of higher costs and a much harder time finding a home insurance company who will cover you. And while you may love your potential new home, it's important to be realistic about the fact that your home may not pass inspection. Here are some of the most common areas in and around the home that can fail inspection.

Foundation
This is the failure which can cost you the most money in the short-term. This is because problems with your foundation can lead to structural problems. Put together, these can end up costing you tens of thousands of dollars above what you paid for your home. Some signs of foundation issues include cracks near windows and doors, and bowing walls. Should an inspector warn you about serious foundation issues and you don't heed them, be prepared to put every extra penny into fixing the numerous issues you'll encounter.

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Drainage
Poor drainage is a major culprit of foundation damage. If the land your would-be home sits on isn't properly graded and doesn't drain efficiently, you can end up with basement leaks, foundation cracks and everything that comes with it, including mold and rot. It may be that all that's needed to fix drainage issues is to redo the surface grading around the home or more efficiently redirect water away from the home. Be sure to explore the potential costs of doing what your inspector suggests.

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Pests
Unfortunately, most pests in a home won't move out when the former homeowner does. It's up to you to decide if you can live with these extra residents. A home inspection will include looking for signs of pests that can cause damage to the structure of your desired home, such as ants and termites, as well as those pests which no homeowner should live with, such as cockroaches and bedbugs. Be aware that some municipalities will impose penalties on former homeowners who don't disclose the latter, which can mean you don't have to pay to eradicate pests.

Plumbing
In order to ensure your new home is liveable, clean water and efficient waste disposal are absolutely crucial. Plumbing problems can number in the hundreds, but can result in you paying thousands for their repair if you don't heed the warnings of your inspector. Issues can occur in everything from fixtures to the water meter. And like any other issue discovered by an inspector, it could only be the tip of a much more expensive iceberg, something you will certainly be grateful for being warned about beforehand.

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Electrical
It's an unfortunate reality; most homes that are over forty years old will have some issues with their electrical systems. Most commonly, it's an upgrade to current codes that's needed. But just as common are older homes with outdated wiring, which can pose a fire threat. If your inspector has discovered burned wiring, too many panel circuits or a rusty panel, these will need your immediate attention so as not to cause a fire or complete loss of power in your new home.

 

In order to get the absolute best rates on your homeowners insurance policy, you will need to make sure that your home is in good shape in these five main areas.  Not only will you have less trouble with your insurance company, but you will also find life much more pleasant without having to deal with these obstacles.