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Top 10 Red Flags Every Homebuyer Should Watch For

During a home inspection, certain issues can indicate major problems that could cost you thousands in repairs. Here are the top 10 red flags every homebuyer should watch for before closing the deal.
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Inspector Shawn
Feb 15, 2025
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Top 10 Red Flags Every Homebuyer Should Watch For

As a Certified Master Inspector®, I've seen thousands of homes and learned to spot the warning signs that separate a good investment from a money pit. Here are the top 10 red flags you should never ignore when buying a home.

1. Foundation Cracks and Settlement Issues

Large cracks in the foundation, uneven floors, or doors that won't close properly can indicate serious structural problems. Not all cracks are created equal—horizontal cracks and stair-step patterns in brick are particularly concerning.

2. Water Stains and Moisture Issues

Water stains on ceilings, walls, or in the attic often indicate past or present leaks. Moisture problems can lead to mold growth, wood rot, and structural damage. Always investigate the source.

3. Roof Problems

Missing, curled, or damaged shingles, sagging rooflines, or signs of multiple roof layers can mean an expensive replacement is in your near future. A typical roof replacement can cost $10,000-$30,000 or more.

4. Electrical Hazards

Outdated electrical panels, aluminum wiring, open junction boxes, or DIY electrical work are serious safety concerns. Electrical issues are a leading cause of house fires.

5. HVAC System Age and Condition

A furnace or air conditioner nearing the end of its lifespan (15-20 years) can fail soon after purchase. Replacement costs can range from $5,000-$15,000.

6. Plumbing Red Flags

Low water pressure, rusty water, polybutylene pipes, or evidence of past leaks should raise concerns. Repiping a house can cost $4,000-$15,000 or more.

7. Pest Damage

Wood-destroying insects like termites, carpenter ants, or powder post beetles can compromise structural integrity. Look for mud tubes, wood damage, or insect wings.

8. Poor Drainage and Grading

Water should drain away from the foundation, not toward it. Poor drainage can lead to basement flooding, foundation damage, and moisture problems.

9. DIY Repairs and Unpermitted Work

Amateur repairs or unpermitted additions may not meet building codes and could affect resale value, insurance, or create safety hazards.

10. Mold and Indoor Air Quality Issues

Visible mold, musty odors, or excessive humidity indicate potential health hazards and underlying moisture problems that need immediate attention.

The Bottom Line

None of these red flags automatically mean you should walk away from a property, but they should inform your negotiating position and budget for future repairs. A thorough home inspection by a qualified inspector is your best defense against costly surprises.

Ready to schedule your inspection? Contact Mizell Home Inspections today for a comprehensive evaluation that gives you the full picture.

The average home has 25 defects.

We find them before you close.

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