Trying To Buy A “Diamond In The Rough” Part 1

January 10, 2007

The paper said "Diamond In The Rough."  Which means either it needs lots of work or perhaps just a little TLC.  But exactly how "rough" can a house be before a lender decides the collateral is not healthy enough to issue a mortgage?  And what will happen if you want the seller to fix something prior to you closing the transaction?  Upon contact, one of the first things you’ll want to do is have the home inspected for structural integrity, defects and potential problems.  Note that this is not the function of a licensed appraiser who determines the market value of the property or your real estate agent.  A home inspection helps to ascertain the overall "health" of the house you’re about to buy.  A leaky roof or plumbing, or wood rot can usually only be found when a house doctor crawls through the attic, under the house and on the roof - sometimes it may require specialty inspectors for particular items i.e. roof inspector, or pool inspector etc.  If there are major problems with the property, it could potentially stop the deal dead in its tracks.  There are solutions to the situation, a good real estate agent will know what to do to assit through the maze of options.  Also, there are lenders that won’t order appraisals on properties until an inspection has been performed.

Look for the next in the series of "Diamond In The Rough".  For assistance with your real estate needs please call or email me - you’ll be glad you did!

Posted in All Things San Diego, Helpful Hints, Real Estate