House Inspections ~ Worth The Effort???

You love the house you just saw on your search for a new home.  Do you put a clause in the offer to purchase for a home inspection?  What you REALLY need to know when choosing a home inspector!!!

No, I'm not going to talk about the house inspectors credentials and everything else you have probably heard on TV.  I'm sure you know that already.  I'm going to give you a warning that you, most likely, haven't heard before.  But first, let's talk about the "Should I? or Shouldn't I?"

Your house is going to be one the single one investment that you will put most of your money into.  Even if you are a multi-millionaire your house will probably be representative of your wealth.  Those pictures of Tiger Woods home floating around the Internet come to mind.  What also comes to mind is the phrase, "A new broom sweeps well.".  When you see the house of your dreams you are not thinking about the potential mold behind the walls and water damage that has been covered up in a 'staging' effort.  That house is perfect, in your mind...but is it?

I remember the time I went to see a house that I was considering purchasing and the teenage child decided to take a shower at the time of the viewing.  I opened the closet under the bathroom and the amount of water seeping through the ceiling ensured that I wasn't coming back!

As you may have already ascertained...a home inspection is a must.  Paying a few hundred dollars can save you, potentially, thousands.  You may decide to buy the house anyways but armed with new information the seller may agree to a lesser price considering the price of the fix-ups.

OK, so here's something that no one tells you.  Do Not use the home inspector that the reals estate agent recommends.  I know you trust your real estate agent, otherwise you wouldn't be working with them to find your dream home.  Remember, that real estate agent gives many referrals to that home inspector.  The home inspector really wants to help the real estate agent sell the house or he/she may not get much more business from this steady referral base.  I'm not suggesting that home inspectors will lie on their reports but they may not delve much beyond the letter of the law when it comes to their disclosure.  House inspectors must cover a number of points to do a proper inspection but it doesn't cover Everything.  Personally, I think it's more likely that if the house inspector that you hire, that is working just for you, feels there may be issues beyond the scope of what is necessary for them to inspect they might be more willing to disclose this information than if they were referred by the professional that is trying to push through the sale.

The Debits and Credits of Divorce

The financial aspects of a divorce can play out differently for every divorcing couple.  At a time of high emotion you may want to protect yourself, financially by making some prudent choices.  Your bank ~ you want to make sure that they know about your situation.  Any money held in joint accounts likely only needs one signature to withdraw so you want to ensure you take your half out and place it in an account in your name only.  Ensure the bank also puts a hold on any credit cards that you jointly share.  Those country songs about seeking revenge and making the other spouse pay through reckless credit card spending came from somewhere.  You want to make sure that it doesn't happen to you.  Remember, you are still jointly responsible for that debt.  That means that even if your spouse is not paying the monthly payments on those credit cards...you should.  Any repayment can, hopefully, be settled through the separation agreement as part of the negotiation.  It's better to do it that way than end up alone with bad credit.  Another good exercise would be to close any credit cards you don't need. 


Remember those investment accounts, especially the registered ones?  Registered Retirement Savings Plans and Registered Pension Plans (as well as Tax-Free Savings Accounts) often ask for the account holder to determine a beneficiary.  If you chose your spouse you may want to contact the financial institution managing these accounts to change your beneficiary.  


Now that you have looked after the registered savings what about the regular savings investment s that you have?   Those assets and their distribution are covered in your Will so you will want to re-write that too. 


Your not finished yet....while you are re-writing your Will  you may want to consider re-writing your Powers of Attorney (PA).  Your PA covers both medical and financial matters should you become incapacitated. The last thing you want is your spouse to be calling the shots with the doctor as to your care, if you can't speak for yourself!!!