What to Know About Buying an Older Home
At Cliffco Mortgage Bankers, we know that buying a home can be a complicated undertaking. There are many details to keep track of and often difficult decisions to make. One decision that’s clearly very important is deciding the type of house you want. That decision can be about style, such as choosing between a ranch home and a cape cod.
But the age of your home is an important consideration as well. There are pros and cons to owning a newer home. They can come equipped with a design and technology that’s compatible to a modern lifestyle, but, according to Forbes, the price of a brand new home is up to 20 percent higher than an existing home. But there are issues to consider before buying an older home as well. Cliffco is in the business of helping those who want a home to achieve their dreams, so we want to let you know what you should understand before buying an older home.
Pros of Buying an Older Home
There are certainly benefits of owning an older home. According to the website Money Crashers, older homes tend to be in more convenient locations, because they’re often closer to cities, which build outward. Neighborhoods with older homes tend to be more stable, as residents often live in the homes long term. You’re also more likely to find architectural features in older houses which add character to the home. This could influence its resale value. Very often you’ll find that older homes are made of sturdier materials than you see in newer, more mass-produced homes.
Cons of an Aging Home
But aging homes can have issues as well. Among them, according to US News and World Report, are outdated and costly heating systems which are often improperly maintained. Older homes are more likely to have termites and insects, which can cause damage to the property. In fact, the property may already be damaged by foundation and structural damage. Check to make sure the home is structurally sound.
Another problem that can often crop up when you’re dealing with an older home is energy inefficiency. Older windows often have single panes which can allow cold air to come into your home in the winter and warm air to flow in during the summer time, according to Freshome. Another problem area for older homes are roofs. If the roof in your new home is more than 10 to 15 years old, you should consider replacing it because older roofs can be leaky and lose their insulating properties.
There are costs involved in buying older homes that you won’t see in the purchasing price or in your mortgage. For homes built before 1979 you need to be wary of the possibility of lead paint or asbestos being present in the building, according to wisebread.com. If the older home has wood siding, you might want to upgrade to vinyl which can cost about $30,000.
Cliffco Mortgage Can Help You Understand Your Options
Older homes can be charming and even be a terrific investment. But you need to ask the right questions and look for problems that can cost you down the road. It’s important to have enough information as possible so you know if you can afford a home. One way to do that is to go to Cliffco Mortgage Bankers. We’ll consult with you and tell you about what mortgages and loans you may qualify for. You may qualify for a Construction Loan (203K or Homestyle programs) to build your dream home. Cliffco helps make home ownership possible. Contact us today.