Should I Buy A House That’s Been Flooded
It is always advisable to take certain precautionary measures before buying a house that has been flooded. Understanding the extent of the water damage can be a helpful exercise and a good starting point.
Have a water inspector to examine the flooded house. He will examine what kind of damage has been done. Moreover, he will also identity how long the water has been present inside the house. Likewise, it’s equally important to test for moisture and mold. Mold is very toxic and harmful for breathing. You have to keep in mind that mold is not easily detected. Having an inspector specifically check for it is always a good idea.
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On the other hand, there are also other considerations to take into account. You should conduct a research about the history of the house. There are “flood zones” which determines the extent of risk to a house due to a flood or natural disaster. The jacksonville Federal Emergency Management Agency (FEMA) places houses in different categories according to the risk level. Before purchasing a house, you should identify the zone in which the flooded house is located. Similarly, you should also take into account the costs of flood insurance. Flood risks can change over time due to new housing, commercial development and construction of new roads. These structures can absorb the water from heavy rainfall. Therefore, it’s also advisable to pay attention to recent developments in the area.
Flooded houses generally depreciate in value. When buying a flooded house, you should factor in the cost of water damage and repairs. Get more than one appraisal on the property and carefully review the home inspection reports and the contractor estimates. Once you receive all the figures, consult with your real estate agent about making a bid. Always remember to include the water repair costs in the bid.
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Furthermore, you should also obtain a few insurance quotes on the flooded property that you are going to buy. If the house is located in a high-risk zone then you might want to purchase additional flood insurance. The insurance premiums are proportionate to the risk involved. It’s always a safe bet to get a comprehensive coverage policy on a house with mold and water damage. Most insurance will cover the building but a few also secure the contents inside. Therefore, conduct an extensive research on the insurance options available in the area so that you effectively secure yourself.
Finally, when you have reviewed all the costs associated with buying the flooded house, you should submit your bid to the seller. Once a deal has been finalized, you should request a copy of the sales agreement. Carefully go over the terms and conditions associated with water damage. You can either choose to buy the house as-is. On the other hand, you can also have the seller to conduct some necessary repairs beforehand and include it in the total price. Be prepared to negotiate on a final price and know your threshold for compromise.
When considering to pay for the flooded house, you can apply for a mortgage if you do not have enough money. The type of mortgage will usually depend on many factors such as your income, savings etc. You should close the deal as soon as possible and sign all the necessary paperwork. Delaying can result in further damage to the house and will cost you extra and waste precious time.