Sure, do-it-yourself projects can save you money, but if you’re buying someone else’s DIY home, there are some precautions you should take before signing on the dotted line. 

A well-done do-it-yourself project can improve a home’s value significantly, but the inverse is also true. For the potential buyer, someone else’s DIY projects should raise a few concerns. A beautiful DIY kitchen renovation could hide poorly connected plumbing pieces or trendy concrete countertops that are too heavy for the subfloor. Homeowner insurance may cover damage from a previous owner’s renovation mistakes, but it will still cost you a deductible, time and inconvenience.

Here are a few tips to ensure a previous owner’s negligence won’t become your headache.

Ask if the seller obtained permits for the DIY work

Any significant changes—especially plumbing, electrical and structural work—should have been accompanied by a city or county permit certifying that the work had been done according to the latest building codes. This helps ensure that the “improvements” won’t cause major issues in the future. Licensed contractors are required to get permits, but DIYers can easily skip this step.

Get a thorough inspection

A certified home inspector is worth his or her weight in gold. Tag along, and ask questions about any work that was done after the original home was built. Pay special attention to areas that have been renovated. Listen for red flags from your inspector. For example, someone may have replaced the windows but didn’t use proper caulking and finishing techniques, which could cause moisture damage.

Let the appraiser know about any problems

Your lender’s appraiser wants to verify that
a home’s sale price represents its actual value before approving a loan, and they can appraise the property several different ways. If an inspection reveals potential issues that need to be addressed, you’ll want to let your lender know and confirm that you can still get the full loan amount you need. If not, you’ll have to come up with the difference out-of-pocket or walk away from the deal.