Top 5 Red Flags to Watch for When Buying a Home
- Jose Lopez Santiago

- Aug 11
- 3 min read
By L7 Home Inspections
Buying a home is a big investment—likely the biggest one you'll ever make. While no home is perfect, some issues uncovered during an inspection could be major deal-breakers if not addressed properly.
At L7 Home Inspections, we help homebuyers separate manageable repairs from true red flags. Below are five of the most serious issues we commonly encounter—and what you should do if they show up in your inspection report.
🚩 1. Foundation Problems
Cracks in the foundation or signs of shifting can indicate structural instability. While some hairline cracks are normal in aging homes, large horizontal cracks, uneven floors, or doors that won’t close properly may signal serious issues.
Why it matters: Structural repairs can be incredibly expensive—sometimes tens of thousands of dollars—and may require engineering evaluations.
What to do: Have a structural engineer assess the damage. If repairs are needed, use that information to renegotiate the price or ask the seller to make the repairs before closing.
🚩 2. Roof Damage or Aging Roof
A worn-out roof might not leak yet, but if it’s nearing the end of its life, replacement could be just around the corner.
What we look for:
Missing or curling shingles
Water stains in the attic
Sagging sections
Age over 20–25 years (depending on material)
Why it matters: A full roof replacement can cost $8,000 to $20,000 or more, depending on size and materials.
What to do: Ask for documentation on the age and maintenance of the roof. If replacement is imminent, negotiate the cost or consider a seller credit.
🚩 3. Outdated Electrical Systems
Older homes may still have knob-and-tube wiring, aluminum wiring, or undersized electrical panels. These systems are not only outdated—they can be hazardous and might not meet modern code or insurance standards.
Red flags include:
Fuse boxes instead of breakers
Warm outlets or flickering lights
Unlabeled or double-tapped breakers
What to do: Request evaluation by a licensed electrician. Upgrades may be necessary for both safety and insurance approval.
🚩 4. Water Damage or Mold
Signs of past or ongoing water intrusion can be costly and dangerous. Look for:
Musty odors
Staining on ceilings, walls, or baseboards
Visible mold growth
Wet or rotted wood in crawl spaces or attics
Why it matters: Mold can affect health and indoor air quality, and water damage can lead to structural decay.
What to do: Have mold tested if suspected and ensure the source of the water is identified and addressed before any remediation.
🚩 5. Failing HVAC or Plumbing Systems
The mechanical systems of a home are expensive to repair or replace. Warning signs include:
No heat or cooling during the inspection
Leaky pipes or corroded plumbing
Strange noises from furnaces or water heaters
Rust or water around HVAC components
Why it matters: You could be facing unexpected costs shortly after moving in, not to mention discomfort or property damage.
What to do: Request servicing history and expect to replace systems that are past their average lifespan (15–20 years for most units).
💡 What If You Find a Red Flag?
Don’t panic. A red flag doesn’t always mean you have to walk away. Your options usually include:
Renegotiating the price
Asking for repairs or credits
Consulting a specialist for deeper evaluation
Walking away if the issues are too severe or costly
Final Thoughts
A home inspection isn’t just a checklist—it’s your best tool for identifying major red flags before closing the deal. At L7 Home Inspections, we help you understand the difference between fixable flaws and true deal-breakers—so you can make a confident, informed decision.
Worried about red flags in your next home? Book your inspection with L7 Home Inspections and get peace of mind before you sign on the dotted line.
📞 (573) 586-9694 🌐 www.L7homeinspections.com📍 Serving Bell County and Surrounding Areas









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