Should I Buy a House in Need of Foundation Repair?

There’s a lot that goes on during the home buying process, and one of those things is usually a home inspection. If foundation issues are uncovered, it can hamper your ability to get approved for a loan and might even hurt your home’s resale value.

But you’ve got options. We’re here to help you figure out when to move forward with buying the house and when to walk away from foundation issues.

What Are Foundation Issues?

During a home inspection, a professional will perform a foundation inspection to check for any signs of foundation damage. They’ll look for things like mold, moisture, cracks, gaps, water damage, window and/or door problems, bowing basement walls (read: the wall bulges inward), sinking walls or sloping floors (more on these later).

Any foundation problems discovered during a home inspection must be disclosed by the seller during the buying process. Ask the seller if they are aware of any issues and have them show you any home inspection reports that have already been completed.

Some states operate on the principle of caveat emptor. That’s Latin for “let the buyer beware.” In these states, sellers may not have to disclose anything.

If foundation issues weren’t discovered until after closing, buyers are usually responsible for the repairs unless the seller intentionally tried to hide them. In that case, the seller may be liable for payment of damages and/or repairs depending on your state. Consult a real estate attorney to see if you can take legal action.

How Do Foundation Problems Happen?

Foundation problems happen for different reasons such as:

• Drainage problems: These problems can result in water damage due to poor soil conditions, houses built in swampy or low-lying areas, not grading the ground around the foundation properly or gutters and downspouts that have been poorly placed or clogged.
• Soil problems: Certain types of soils can easily expand. Building a foundation on unstable soil can result in major foundation issues down the road, like foundation settling or sloping.
• Bad construction:  A foundation can be damaged if the contractor building the foundation doesn’t test the soil and build accordingly or if the foundation itself wasn’t poured correctly.
• Older homes: Although building materials are meant to stand the test of time, some older homes may have been built using materials that aren’t as structurally sound as the materials used today.

These problems can cause other structural problems, which may lead to basement repair, crawl space repair and even general house structure repairs.

Minor vs. major foundation issues

While foundation problems sound scary, they don’t always spell disaster for the people living in the home. Most of the time, it’s the side effects of foundation issues, like mold and pests, that cause more harm.

Minor problems – like small cracks in the foundation and ceilings, moisture or signs of water – aren’t always urgent issues, and they can usually be repaired quite easily.

However, there are some major problems you should be aware of.

• Gaps: Gaps between walls and ceilings and door or window frames and the walls can be signs of a shifting foundation.
• Large cracks: Large cracks might signal that there is a lot of foundation shifting happening. Pay close attention to horizontal foundation cracks and cracks that look like a staircase in brick foundations. These cracks can let a lot of water in.
• Bowing or sinking walls: Bowing walls and sinking walls (read: the wall is lower and not level on one side) usually mean that significant damage has occurred, and more structural damage will occur if not addressed properly.
• Sloping floors: These are fairly common in old homes. So it doesn’t always mean foundation problems are the culprit. However, it could also mean a foundation problem has turned into a structural problem.

No matter how big or small the problem is, get it fixed. Ignoring foundation problems may cost you more in the future.

How Much Does a Foundation Repair Cost?

Depending on the issue, the cost of repairing a foundation can vary significantly.

Something as small as a minor foundation or wall crack can cost a few hundred dollars to repair. Something as large as major water damage or a foundation replacement can cost thousands or tens of thousands of dollars.

Paying for a foundation repair is an investment in the longevity of a home. Getting the work done right by qualified professionals will ensure the safety of a home for years to come.

But is it a good idea to invest and buy a house with a repaired foundation?

Buying a house with a repaired foundation can be a good investment depending on the structural stability of the home and if additional repairs may be needed in the future.

It’s important to speak to the seller about the foundation issue, how it was repaired and who repaired it.

If the foundation repair was completed correctly, it shouldn’t need more repairs. To be on the safe side, ask if there’s a warranty on the repair. Existing coverage may save you from spending hundreds or even thousands of dollars in the future if something goes wrong.

Get the pros to work on it

Regardless of when you discover a foundation issue, hire a professional to do the repairs.

It can be harder to get a mortgage on a house with foundation problems. Usually, the lender will want repairs made before approving a mortgage and moving forward with closing.