admin-ajax.php

10 Signs a Property Has Problems – Part 3

In this series of articles we look at the 10 key problem areas to identify before you buy property.

Over the last 2 days we’ve looked at:

1. Water Damagedoctor health stethoscope house property market evaluate problem check
2. Uneven Floors, Walls and Ceilings
3. Foundation Problems
4. Plumbing Issues

This article looks at the next 3 areas:

5. Driveway and Paving Problems

6. Renovation Restrictions and Limitations

7. Problems with the Property’s History

5. Driveways and Paving Problems  
ad_build_wealth

Driveways can help enhance a property’s curb appeal (not to mention providing access to the garage and carport), as well as doubling up as a play area for the kids where they can have game of cricket, shoot some hoops or do whatever takes their fancy.

On the other hand, paved courtyards and backyards can enhance the look, appeal and enjoyment of outdoor living and entertaining.

However, driveways and outdoor paving can also be expensive to repair, especially if major work is involved.

This is why it is very important to inspect them thoroughly to make sure there are no immediate or potential problems.

The main causes of damage to driveways and outdoor paving includes:

  • Poor workmanship tree-824429_1920
  • Concrete shrinkage
  • Movement due to settlement – resulting from similar causes explored in my third point, Foundation Problems.
  • Damage caused by tree roots – this is something I’ve experienced firsthand when the roots of our gum trees headed towards the surface and lifted the pavers in our driveway.
    This problem is more than just aesthetic – it can pose dangers resulting from tripping on exposed paver edges, which is something to be particularly mindful of with young children and older adults around.
  • Excessive or heavy use – damage can occur through wear and tear if.
    For example, on a driveway has high usage such as a shared driveway for units/flats, or if the weight bearing limit is exceeded by a heavy vehicle causing concrete to crack or pavers to sink.

You should be able to identify many of these problems yourself.

If there are signs of damage it would be wise to get a quote from a builder or paver/landscape gardener to quantify the cost of repair.

6. Renovation Restrictions and Limitations

Identify any future renovation restrictions and limitations.

Many of us buy a property with a view that sometime down the track you are going to renovate or develop it so that it better meets your lifestyle and personal needs, or to add value so you get a better price when it comes time to sell. flat house construction build plans renovate repair develop

Or, in the case of an investment property, you want to make it more attractive to tenants thereby generating a higher rental income.

Whatever your reasons might be, it is important to check if there are any restrictions on what can and can’t be done to the property.

In most cases, it is unlikely that there will be major restrictions although it is important to verify this by liaising with the local council to find out what is and isn’t allowable.

This is particularly important if your plans include extending the footprint of the house or unit, and/or adding additional storeys.

A good starting point is to check out other properties in the street and neighbourhood to see what other owners have done/been allowed to do and whether this aligns with your plans.

However, this should only be used as an indicator – you must always check with the local council before starting any major structural renovation or incurring any builder or architect costs. property mortgage finance money

In addition, even if you can undertake the renovations you want, you need to make sure you don’t overcapitalise, spend money that might actually reduce a property’s attractiveness or discover the cost of the renovations you want are much higher than your expectations and budget (this might occur because of problems with the existing structures/foundation, land shape or property access issues).

In these cases, a visit and discussion with some local selling agents as well as initial no obligation discussions with local builders would be beneficial.

In any event, if the property doesn’t have the renovation potential you seek, either because of council restrictions, cost limitations or the likelihood you may overcapitalise for the area, then you could be better off walking away and finding a more suited property.

7. Problems with the Property’s History

The flip side to investigating whether you can renovate yourself is to look into what renovations and repairs the current owners have undertaken.

Checking out the property’s history is vital to protect yourself against illegal and dodgy work.

Some key questions to ask include:

  • Why were the renovations done? Property-Investment-Checklist
    Check whether there was a major problem that needed fixing or whether it was done to improve the property.
  • Who did the renovations?
    Make sure a licenced tradesperson undertook any major works and whether any guarantees or insurances would transfer to you on sale.
  • Did you get council approval?
    Make sure any major improvements were approved and are legal. If the renovation was done on a strata title property (like an apartment) you need to make sure it was carried out and approved in line with the strata’s rules and regulations.
  • Can you provide the necessary certificates/letters of authorisation?
    This links to points b and c above. Here you want to see building permits, electrical certificates, product warranties, copies of insurance certificates etc.
  • Have there been any problems with the renovations?
    This question relies heavily on the vendor’s honesty and is designed to help you avoid inheriting the vendor’s issues, such as existing or potential claims under Builders Warranty Insurance.

If it turns out that the vendor did most of the renovation work themselves, including structural changes, rewiring and plumbing, and he/she is not a licensed tradesperson, then you need to be cautious. calculator coin money save debt

For instance, structural changes whereby a load bearing wall was removed and the remaining structures are not reinforced could result in structural integrity problems, while DIY electrical work can be downright dangerous.

So, if you identify potential problems with the property’s history and you are serious about buying, prepare a list of these problems and hand it to a property inspector so he/she can cast a trained eye over them and provide you with an independent report and assessment.

In my final instalment of this series tomorrow, we will review the last three problem areas on my list:

8. Electrical Wiring Issues
9. Pest Damage
10. Problems Concealed by a New Paint Job

Related articles:



Want more of this type of information?


Peter Boehm

About

Peter Boehm is the Finance Editor for Onthehouse.com.au. & has more than 30 years' experience in banking and financial services - Visit www.onthehouse.com.au


'10 Signs a Property Has Problems – Part 3' have 1 comment

  1. November 19, 2015 @ 9:09 pm Cornell

    Good Article Useful for House Buyers and also for Brokers to Identify Problem Houses

    Reply


Would you like to share your thoughts?

Your email address will not be published.
CAPTCHA Image

*

0
0

Michael's Daily Insights

Join Michael Yardney's inner circle of daily subscribers.

NOTE: this daily service is a different subscription to our weekly newsletter so...

REGISTER NOW

Subscribe!