Friday, May 3, 2019

Historic Homes: Four Dealbreakers To Look For When Buying An Old House


Finding an old home with "good bones"

My family loves old houses. And what's not to love? In addition to their charm, old homes are more often affordable, feature better quality construction, are situated on larger lots. We found all of this to be true in our most recent home search. After living in our 1949 Sacramento / Tahoe Park South house (named "Bertridge") for two years, we decided to move to nearby Woodland, California, as living there would cut our daily commute time to and from the University of California, Davis, in half. As Sacramento grew more popular among young professionals and Bay Area commuters, the highways became more and more congested, and our 17-mile commute would often take an hour or more each way.

Woodland boasts a ton of old houses in established neighborhoods, such as Beamer Park. However, the old house market in Woodland isn't as hot as it is in neighboring Sacramento. For some reason, young professionals and families seem to opt for the newly-constructed Lennar homes in the Spring Lake development. Wanting to explore all our options, we toured a few Spring Lake houses, but the prices were a bit high, the lots felt a bit crowded, and the open floor plans just didn't suit our personal tastes. And so, as we had in our first home search three years prior, we found ourselves drawn to the old neighborhoods closer to Main Street.

Here was our old home search preference checklist:
  • Built before 1960
  • Not located on a main thoroughfare
  • 3+ bedrooms
  • 2+ bathrooms 
  • Laundry room/area
  • Wood floors
  • None of our home purchase dealbreakers

Must-haves versus nice-to-haves

While we were flexible on some of our checklist items, we knew better than to concede on some of the more important elements. This required us to take a hard look at each and every single house we considered, to ask tough questions, and to be willing to walk away from an option even if it oozed charm. 

The first house that we considered definitely tested our fortitude. The 1950s-era two bedroom, two bathroom house was just as cute as a button and was tucked away in a neat, tidy neighborhood. Its layout was dreamy, and it featured the sweetest courtyard out back. However, when some serious issues came to light, such as the significant wiring issues and the lack of air conditioning, we quickly realized that we'd have to pay upward of $30,000 just to live in the space. The house also needed extensive kitchen and bathroom renovations. Though it was difficult, we passed on submitting an offer after just a few hours of discussion. 

While our experience with the first house left us feeling a little defeated, it did force us to assess what was most important in our old house purchase. We decided that it was important to prioritize function over aesthetics, which encouraged us to take a closer look at some homes we'd overlooked over the course of our search.

Enter the house that we ended up purchasing. Our realtor had mentioned the house before, but we brushed it off due to its lack of a second bathroom. Plus, the listing photos were taken with a phone, and didn't really capture the potential underneath the old carpet and the rust-colored exterior paint. On a whim, I dragged my co-worker to a walkthrough minutes before our office's holiday party, and by the next morning, my husband and I had submitted an offer and put our Sacramento home on the market.


So what made us quickly declare one house a no-go but scramble to submit an offer on another? As old house buying veterans, we'd accumulated a short list of features that were an absolute must-have. It's tough to find an old house in "original" condition that also meets all these important criteria, so when we found a home that checked all these critical boxes, we jumped!




Our home purchase dealbreakers

1. Start at the top and the bottom: Investigate the roof and the foundation.

Our first home (Bertridge) required a total roof replacement, and we weren't eager to shell out another $10,000 or more this time around. A new asphalt shingles roof for a typical 2,000 sq. ft. single-story can range in price from $8,500 to $16,500 fully installed. For homes with a tile roof, like the home we were considering, the cost is typically higher, with ceramic tile installation costing between $5 to $30 per square foot.

While we'd never dealt with foundation issues with our previous home, the mere whisper of foundation issues would have been enough to send us fleeing. Even the cracks in the plaster had us feeling nervous. Major foundation issues can cost $10,000 or more to repair, with most homeowners spending about $5,838. However, problems often don't end there. The process of repairing can also cause a number of problems. Leveling can cause damage to plaster wall and may also require adjustments to a house's plumbing, gas, water, and electrical systems.

Needless to say, we were relieved to discover the new house required only minimal roof repairs (covered by the seller) and that the foundation was in excellent shape. If the inspection had yielded a different result, we were prepared to walk (if not run) away, and we recommend you prepare to do the same.

2. Stay cool: Test the windows as well as the heating and air systems.


While Jason and I typically see eye to eye on real estate aesthetics, we almost always butt heads on one thing: windows. I love the look of the grand, old leaded windows that are often original to old houses, but they are admittedly drafty, causing monthly energy costs to jump. Over the course of our home search, we'd looked at several gorgeous homes from the 1920s to 1950s, but the original, inefficient windows made Jason nervous.

The house we settled on was a bit of an anomaly. For the most part, the original features of the home were intact. However, like Jason, the original owners appear to have had an aversion to old windows. Not only did they replace each and every one of the original windows, but they also removed some windows altogether. Remember this piece of information, because it comes into play later...


Check out the gorgeous original windows on this home in Woodland. Like our home, this home was built by contractor Joseph Motroni in the 1930s, so our home's windows probably looked something like this before they were replaced with more efficient dual-paned vinyl windows.

With our first home, we were forced to replace the old and inefficient furnace and air conditioning units, which cost a pretty penny. When we caught sight of the old heat registers and vents in our new home, we were concerned that the heating and air system might not be up to snuff. However, we were pleasantly surprised to discover that the furnace had been replaced within the past five years and that it was an absolute beast! It continues to keep us incredibly toasty in the cold months of winter.

After purchasing the house, we discovered that the air conditioning unit, while functional, was not the best size for our 1,500 square foot home. The home has a two-ton system when it would really benefit from a three-ton system based on our climate and square footage. Remember when we said some windows had been removed? We suspect that this was, in part, an attempt to keep the house cooler in the summer by limiting the amount of light flowing into the house.

Since we live in Northern California where summer temperatures often exceed 100°F, an HVAC system upgrade is on our project list. Until then, we'll try to keep the house dark and cool in the sweltering period between June and October.

3. Down to the wire: Confirm the electricity is functional and up to code. 

Old homes sometimes come with old electrical systems, which in turn come with big problems. The oldest type of wiring system found in homes is called knob-and-tube, named for the insulating knobs and tubes are used to run the wiring along and through the house framing.

Home inspectors often uncover other problems, including exposed wiring, ungrounded outlets, poorly-modified electrical panels, and aluminum wiring. And fixing the problems isn't always cheap. Completely rewiring a house can cost from $3,000 to $30,000, depending on the size of the home and the extent of the issue.

After our home inspection, we received some unexpectedly positive news. Our electrical system had been upgraded within the past several decades. While there were a couple of necessary fixes, such as adding GFCI protection to the bathroom outlets, all the required projects were relatively budget-friendly.

4. Don't make a stink: Ensure that that sewer line is in tip-top shape.

One thing we didn't immediately think about was the sewer line. Luckily, our realtor had a deep understanding of the local area, its old houses, and the challenges that Woodland buyers and sellers often face, so she came just short of insisting that we have the sewer line inspected. (Thanks, Rhonda!)

Because the house we were considering was built in the 1930s, we were fairly certain that we weren't dealing with Orangeburg pipe.  Also known as fiber conduit, bituminous fiber pipe or Bermico, Orangeburg pipe was commonly used between World War II and 1970, and started causing problems for homeowners across the country once it hit the end of its 50-year-lifespan. Why? Well, it's basically made of little more than wood pulp and tar, which means it has a tendency to collapse, requiring complete sewer line replacement. According to Home Advisor, digging and replacing a sewer line costs $3,000 to $25,000, or $50 to $250 per foot, and it tends to be on the higher end if it's already collapsing.

Orangeburg piping smells like trouble, sewage, and the tears of unprepared home buyers. 
Despite the fact that the pipes were found not to be Orangeburg, our sewer inspection did reveal that the ceramic sewer line was nearing the end of its life. Luckily, our realtor was able to help us negotiate a replacement as part of the terms of the sale. (Again, thanks Rhonda!)


In short, don't skimp on inspections and be prepared to walk away.

I get it. That sweet, little 1920s Craftsman-style bungalow you're eyeing is cute, and the out-of-pocket costs involved in purchasing a home just keep adding up. However, investing in a few critical inspections can help you avoid heartbreak and debt down the road.

Case in point: Remember the 1950s house I mentioned at the beginning of this post? My husband and I drove by it last week. It's been over a year since it sold, but it's unoccupied, as the owners are still working on making it move-in ready.

If you know you're in the market for an older home, take some time to figure out your budget for both your mortgage and any pre-move repairs. Also, do yourself a favor by finding both a realtor and a home inspector who have experience with older properties. Historic home purchases are most successful when you have experts in your corner.

What are your real estate dealbreakers? Leave a comment and let me know.

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