Mistakes can lead to poor home purchase

      The purchase of a house is the biggest financial decision most people make in their lifetime. But a home is much more than an investment. It's a place for peace, rest and security. It's home, sweet home.
      Or at least it should be. Unfortunately, too many Nevadans, after buying their dream homes, find themselves living a nightmare of cracked walls, roof leaks, flooded living areas, sewage backups, crumbling foundations, dangerous electrical wiring and heating and air conditioning systems that are spreading dangerous fungus spores throughout the house.
      What can home buyers do to avoid buying a defectively built home?
      Here are some suggestions:
      -- Work with a licensed real estate broker as your agent. Usually, it will cost you nothing to have a knowledgeable broker on your side. Carefully choose someone who is a true professional with experience in the neighborhoods where you want to live.
      -- Check out the reputation of the builder. Do this even if you are buying an occupied home. Talk to the neighbors, particularly if the entire subdivision was built by a single builder. If you hear more than just a few minor complaints, beware.
      -- Do not skimp on inspections. Consider hiring your own house inspector even if you are buying a brand new home. Get the best qualified inspector you can find, ideally an engineer or licensed contractor. And heed their warnings. Signs of problems are often very subtle, either because the house is new or because the seller has effectively disguised the problem.
      -- Ask for copies of soils reports. Foundation soil problems are widespread in the Las Vegas Valley and can result in extreme damage to residences. If the seller refuses to provide a copy of the soils report, you can always choose not to buy the house. However, for older homes and for homes built one or two at a time, there may be no soils report. Once you get such a report, you may need help interpreting it. Be particularly cautious if you read terms such as "expansive soils," "high plasticity index," "deep fill," "subsidence potential" or "corrosive soils."
      -- Don't let your guard down just because a home warranty is offered to you. Although home buyer warranty plans are generally good, even the best provide only limited protection. The worst plans provide no protection at all and can even amount to disclaimers stating the seller or builder is not responsible for any defects. Also, read the warranty booklet carefully before signing a purchase agreement.
      -- Read copies of all purchase documents well in advance of closing. Quite often, many of the primary contractual provisions involving a home purchase are included in a thick stack of documents that are presented to the buyer for the first time when it's time to close escrow at the title company.
      Naturally, most buyers are excited about moving in as soon as possible. They want to get the deal done quickly.
      They have not set aside the four hours or more it can take to carefully read all the paperwork. So they sign without being aware of what the great mass of words means. Don't get caught in this situation. Ask for these forms well before the close of escrow so you can understand what you are being asked to sign.
      Remember, you have a right to negotiate these things. You don't have to agree to everything put in front of you.
      Finally, beware of buying a house "as is." And watch out for language like "seller disclaims all warranties express or implied."
      If you take your time and use some caution, you have a much better chance of buying a dream home instead of a possible nightmare.
     
     Nancy Quon is a partner in the Nevada law firm of Maddox & Quon. She can be reached by phone at 366-1900, or by mail at Maddox & Quon, 501 S. Rancho Drive, Suite E-32, Las Vegas, NV 89106.