For many people it is an important step in life – the first home. Often it was saved for years, searched and negotiated. The joy is even greater when it finally works and you hold the key to your own property in your hand. But this joy can quickly pass to a newly-baked homeowner when unplanned refurbishment costs occur. Deficiencies that were not visible during the visit, such as mold in the walls or a leaky roof, then become a cost trap.
But how can you protect yourself against late remediation costs ? We show you what to look out for when planning your home purchase.
Trust in experts when buying a home
It is important, first of all, that one leaves oneself with house inspections time and takes the property exactly under the magnifying glass. Do not be fooled by the picturesque descriptions of your broker, but always try to keep an objective view of the property. If you are interested in an object, it makes sense to contact an appraiser who takes a closer look at the house. This can check whether there are defects or damage. The house is being examined, for example, for substance damage or conduction defects. After a comprehensive analysis, the appraiser can tell you exactly which refurbishment costs you would receive when buying a house.
Advantages of an independent report:
You know exactly what kind of property you are buying and in what condition it is. So you can confidently move into their new home or initiate remedial measures, without having to expect nasty surprises.
• Better cost planning
An expert’s report not only identifies all existing damage and defects, but also associated remediation costs. This allows your house construction financially better plan.
• Manageable costs
A professional, independent report, according to the Association Private Builders eV for about 500 € to get, but can also quickly become more expensive. This money is well spent, as unpredictable damage can be much higher in retrospect.
• Negotiation basis
If your report shows that there are major flaws in the property as assumed or communicated by the seller, a professional analysis by an expert is also a good basis for negotiating to reduce the purchase price of the house.
Remedy deficiencies and prevent
If the appraiser has detected deficiencies, these should be resolved as soon as possible. The longer such damages exist, the more they can develop and the more expensive your renovation can become. Mold, broken water pipes and leaky roofs should therefore be tackled immediately.
Often, however, there is also the need for modernization in order to protect against later remediation costs. With a modernized home you save not only energy but also costs.
These modernization measures make sense in order to save money in the long term :
• renewal of heating systems
Especially with older properties, replacement of old heating systems may make sense. If you take care of your heating right from the start, this not only saves you from late trouble, but also potentially high costs. Modern heating systems are usually much more energy efficient, so you can save on your wallet in the long term.
The Kreditanstalt für Wiederaufbau offers various funding options for energy-efficient renovation or renewal of the heating system.
• Modern energy-saving windows
You can also save energy with the right windows. In old, leaky windows, warm indoor air can often escape uncontrollably – which increases heating costs. Triple glazed windows can prevent this.
• Replacement of ventilation systems
Even a modern ventilation system can improve the energy balance of the new house and thus sustainably reduce costs. In addition, this can greatly improve the air quality.
• Insulation of the roof and exterior walls
Another important factor is the insulation of the roof and the outer walls. These should be checked when buying a home and can be retrofitted if necessary. You should plan for the long term and go beyond the statutory requirements.
KfW has the right promotional packages for all of these measures, which can help you finance refurbishment and modernization.
Home buyers who want to modernize future-oriented, should also think about the use of photovoltaic systems . These protect the environment and increase the value of your property in the long run. KfW also offers financing options for this purpose – such as the loan for renewable energies.
Higher costs for old buildings
High ceilings and old floorboards – old buildings are becoming increasingly popular. But beware: For most old buildings high renovation costs may come to you. Construction defects must be eliminated and the energy balance adjusted to the standards. According to the Association of Private Builders eV can expect in old buildings from the post-war period with renovation costs of up to 40% of the purchase price.
But even here you are not left alone with the financing. KfW offers many cheap loans that make it easier for you to renovate an old building.
Professional advice and early remedial measures allow you to move into your new home with no worries. TGI Financial Partner will be pleased to advise you on your funding opportunities and find the ideal financing for you. So you can look forward to your home carefree!