Inspect it!
Now that the $20,000 grant has become available for 2,400 potential homebuyers of new construction under $450,000 has been released through the Utah Housing Corp., some of you lucky folks will be buying homes that might be almost finished inside. If you are so lucky to have found something in this age of low inventory, congrats and know that it’s really important to get a full inspection before signing the final paperwork to close escrow.
I have found over the years that buyers who purchase a home or condo to be built or under construction are not counseled to have an independent home inspection prior to closing. They generally have several meetings with the builder reps and trust that all the sub-contractors of the builder are all terrific and do a great job. Well, not always. Earlier this spring I was working with buyers who were working with one of the developers in Daybreak. The husband had some building experience and went to the new construction project every few days to watch the progress. As the concrete was poured and the framing started, problems began to surface. The concrete in some places cracked immediately and was very noticeable with the front stairs pulling away from the house. He noticed that several beams in the roofing trusses that had been delivered to the site had large cracks in them. More things about the construction process became noticeable and he called local officials/engineers to come inspect the work and lo and behold, they agreed with the problems and wrote up the builder to fix them. Sadly, the sub-contractors in several cases hid their shoddy work and continued to install broken trusses. The buyers wanted out because they had lost all faith in the builder and for a moment the company wasn’t going to allow them to bail and get their earnest money back. With a call from the buyers attorney the money was refunded immediately and they bought another home.
Just before closing escrow I suggest buyers hire a home inspector to check that the roof looks installed properly, the main electrical panel does not have a lot of ‘double tapping’, the HVAC and water heater appear to be working properly, etc. A ‘roof to foundation’ inspection. One time on a home in Cranberry in Draper, my buyers and I found out that the home they were about to purchase had never been connected to a gas line, nor had a gas line been stubbed into the lot! A home inspection can be $300-500 or so and you get a 30+ page report with photos. I suggest getting a radon test if there’s a basement and even a sewer line scope to make sure the pipe wasn’t cracked or is sagging upon installation.
Be careful and protect yourself before buying any home or condo, new or used. It will save you a ton of money in the long run!