A Helpful Punch List for New Home Buyers

Your newly constructed dream house is almost ready and it's time for the all-important walk-through with your builder. Do you know what you should be looking for?

Some problems may not be readily visible, even if you hire a professional inspector. Fortunately, most builders offer a warranty to cover problems in the workmanship of a home -- they do not, however, cover problems resulting from owner neglect or faulty maintenance. Still, knowing what to look for in your pre-settlement walk-through is a good way to catch potential problems. Here's a helpful "punch list" to use from the National Association of Homebuilders:

Outside

• Grading: Does the ground around the foundation slope away from the house? Make sure the water does not pond or pool in large puddles, especially near the foundation. To check, water the areas with a hose, if possible. Are there signs of erosion? Is the shrubbery placed at least 2-3 feet from the foundation
• Roof and Gutters: Are the shingles flat and tight? Is the flashing securely in place? Do the gutters, downspouts and splash blocks drain away from the house?
• Exterior Appearance: Are the windows and doors sealed and protected by weather stripping? Are the trim and fittings tight? Are there any cracks? Does the paint cover the surface and trim smoothly? Has landscaping been installed according to the terms of your contract?

Inside

• Doors and Windows: Are all doors and windows sealed? Do they open and close easily? Is the glass properly in place? Are any windows loose or cracked?
• Finishes: Is the painting satisfactory in all rooms, closets and stairways? Did the painters miss any spots? Are the trims and molding in place?
• Floors: Is the carpet tight? Do the seams match? Are there any ridges or seam gaps in vinyl tile or linoleum? Are wooden floors properly finished?
• Appliances, Fixtures, Surfaces, Etc.: Do all of the appliances operate properly? Are all of the appliances the model and color you ordered? Check all faucets and plumbing fixtures, including toilets and showers, to make sure they operate properly. Are there any nicks, scratches, cracks or burns on any surfaces, including cabinets and countertops? If you have tile counters or floors, was the tile and grout sealed by the builder or will you need to handle?
• Electrical, Heating and Air: Check all electrical fixtures and outlets. Bring a hair dryer to test the outlets. Do the heating, cooling and water-heating units operate properly? Test them to make sure. If the home has a fireplace, do the draft and damper work? Test the doorbell. Also test the intercom system, garage door opener and any other electrical items.
• Basement and Attic: Are there indications of dampness or leaks? Is there significant cracking in the floors or foundation walls? Are there any obvious defects in exposed components, such as floor joists, I-beams, support columns, insulation, heating ducts, plumbing, electrical, etc.?

Certificate of Occupancy: Has your local municipality signed off on your house?

As your real estate agent, I will be available to assist during all phases of your home purchase, including your walk-through. Please call me for more information on what you should look for and how I can help.

New or resale: hiring a professional inspector is a smart approach

Buying a home, whether a new or resale property, is one of the biggest investments you're likely to make. That's why hiring a professional inspector to check out your home's basic systems and structural integrity is so important. An inspector looks for and recommends changes that can make the difference in how much money you will spend for future repairs and maintenance. Even if you have a good eye for detail or are buying a brand new home, a thorough inspection by an experienced professional is a wise choice that can save you a lot of time, money and frustration in the future. Please call me for more information on how a professional inspector can make a difference in your home's purchase

Beacon Hill Highlights:

• HOA Annual Dues: $665
• Total Tax Rate: 3.06%
• Waller School District
• Highly Ranked for Quality Builder by J.D. Power & Associates in 2010
• Minutes from shopping and restaurants
• Easy access to Hwy 290, Grand Parkway

MORTGAGE CENTER

How Much Income do I Need in Order to Qualify?

Do you need to know how much money you must earn to purchase the house of your dreams? This calculator will help you figure it out.

Savings: When you finance through our Preferred Lenders, Long Lakes Homes will pay your 1st year Home Owner Insurance, your owner’s title policy, and $500 in closing costs –

(these incentive valued from $3000 to $5000 determined by your loan amount)

Preferred Lenders:

1 . Texas Capital Lending

      Gerald Boudreaux. 

     NMLS # 1130687

       Cell:     832-693-0991

       Efax:    281-754-4699

       gboudreaux@txcapital.net

       Apply Now

2 .BenchMark

    WILL NEVOTTI 

    214-733-9620 Cell

    will.nevotti@benchmark.us 

       APPLY NOW  

      Mark Prague

     832-205-1595

    (Spanish Speaking)

       mark.sprague@benchmark.us

        APPLY NOW! 

3. Network Funding

    Robert Tinh  

      C: : 713-992-7100 

     robert.tinh@nflp.com 

     Apply Now

4. CORNERSTONE

    BRANDON POLKA  

     NMLS# 200915

      Direct: 281-296-1892

      BPOLKA@houseloan.com

      Apply Now

Not sure exactly what you need to be asking about? These 10 questions to ask when buying a new construction home will help get you started.

1. Is the lot cost included?

   When you’re exploring new construction options, you’ll see that each plan comes with a base cost. This is the cost of the structure itself, as well as base interior and exterior features (we’ll get into those in a little bit). What may not be included is the cost of the land, so be sure to ask if the lot cost is figured into the base.

   If the lot cost is included, ask if there are premium costs for certain lots. It’s possible that the base cost does include the lot, but the remaining lots in the development all have added costs for certain features that you can’t opt out of, such as look-out windows in the basement or wider yards. If the lot cost is not included, ask what it is (and whether there are additional premium costs) and factor those into the base price for the house.

2. How long will building take?

   It’s important to know what you’re getting into timing-wise with a new construction build, particularly if you have a house to sell first or you’re going to be renting. While the building process is prone to delays and you won’t be able to get a finite schedule for how long the build will take, you’ll be able to get a general idea of what you can expect. Be sure to also ask if the build time includes the time it takes to get the permits, since those will typically take about 30-45 days to obtain.

3. What warranties are provided with the house?

   Just because a home is brand new doesn’t mean that no problems will arise. Fortunately, most new construction homes come with one or more warranties that protect you in the event of a mishap early on, including a short term whole-house warranty and a longer structural warranty. Ask what the warranties include and how long they last. While you can always buy your own home warranty, you should expect that the builder will cover you in some way for at least the first several years.

4. What are the standard finishes?

   Does a base cost look too good to be true? That might be because the builder is expecting you to spend big when it comes to finishes like flooring and countertops. Ask what types of finishes are included, and better yet, go through the model unit with the sales representative and have them point out what’s standard and what is an upgrade. You likely won’t meet with the design center until after you’ve gone under contract, so it’s important to figure out early what sorts of finishes and appliances you can expect to be included in the home’s base price.

5. Is landscaping included?

   Depending on the size of your yard, landscaping, including sodding and putting in trees and plants, can set you back several thousand dollars or more. Is that a cost you’ll have to factor in on top of the home purchase? Some builders include your basic yard work, while others leave you with unfinished land that becomes your responsibility to landscape (and generally must be completed in a set amount of time, per the contract). Ask whether landscaping is included, and if so, what that entails and if there is any sort of warranty on the materials so that if your newly sodded grass dies right away or some other mishap occurs you’re not responsible for fixing it.

6. Does the contract include a cost escalation clause?

   New builds are notorious for last minute surprises, but you don’t want to be on the hook financially if it happens. A cost escalation clause allows the builder to charge you for any unanticipated costs that arise as a result of necessary labor or materials. So if lumber prices go up before the builder has purchased the materials for your flooring, or an unexpected delay adds a few weeks onto the build, you’re on the line for those costs. If you’d rather not deal with the stress of unanticipated costs, find a builder that doesn’t include a cost escalation clause in the contract.

7. Are there any homeowners rules or regulations?

   Even if there is no homeowners association for the development, the builder may still set some guidelines as far as what’s allowed and what’s not on your property. For example, you may not be able to use a particular type of fencing or install a shed in your backyard. It’s better to ask this question early and know what to expect than to move in and find out that you can’t bring into fruition certain plans you had for the space.

8. Are there any financial incentives for using the builder’s preferred lender?

   Some builders offer discounts on closing costs if you obtain your mortgage through a company that they have a relationship with. Ask if these sorts of financial incentives are offered, but don’t make your final decision about where to get your mortgage based on the discounts alone – you may still be able to find a better deal through other lenders. It’s still good to know however if there are benefits to working with the builder’s preferred mortgage company.

If it’s your dream to build a new construction house, go in to the process with an open mind and a clear idea of what you can expect. The more questions you can ask in the beginning, the less surprises you’ll potentially face in the future.

And as with any home purchase, be sure to have an attorney read over your contract so that you can be sure everything is fair and equitable. Some buyers of new construction prefer to go in to sales meetings with a real estate agent as well, though in my own experience, I didn’t find that to be necessary. Be smart, ask the right questions, and at the end of the day (or fine, year) you’ll end up with a beautiful home built just for you.