Just as in selling a home, there are numerous things to take into consideration when buying a home.  If you find a home you love, it is extremely important to have a home inspection performed by a qualified contractor to determine if it is worth it for you to make such a large investment.  Unless it is a brand new home, chances are there will be a list of items suggested by the inspector that need to be addressed before purchasing the home.  You can ask the seller to repair things on that list or lower the purchase price of the home to cover the cost of repairs.  So what happens when the inspector tells you that the home you are thinking about buying needs a new roof?

Before you decide to move on to another house, keep in mind that you have several options, and that you have some negotiating power in this particular situation.  Insurance companies typically won't issue a policy on a home with a roof that is at the end of its lifespan, and most mortgage lenders require homeowner's insurance before approving the loan.  That results in the seller only being able to sell the house to someone who can pay cash, and they would have to discount the sales price of the home significantly.  It is in the seller's best interest to work out a deal with you to replace the roof, especially because the same issue will come up with anyone else interested in buying the house.  Your options at this point are:

1.  Ask the seller to pay for the new roof, without changing the sale price of the home.  This is obviously the best option for you as the buyer, but not all sellers are going to agree to this.
2. Split the cost of the new roof with the seller.  You can either pay your part in cash at closing or agree to increase the sale price of the home by the amount you owe for the roof.  You can negotiate the percentage of the cost that you want to pay.
3. Pay for the new roof yourself.  Just like the last option, you can pay the seller in cash at closing or increase the sale price of the home.  Keep in mind that increasing the price by too much may put you above the appraised value of the home, causing the mortgage company to reject the loan application.
4. Obtain a renovation loan to pay for the new roof.  You can apply for extra financing along with your mortgage to repair or remodel the home you are planning to buy.  The lender will hold the extra money aside until it is time to pay the contractor.  Most insurance companies will approve a policy on a home with an older roof if they know you are getting financing for a replacement.

Don't let a bad roof cause you to change your mind on a home you are interesting in buying.  Ask your realtor to help you figure out the best way to move into a home with a brand new roof that will last for years to come.  At Bill White Roofing and Specialty, we will be glad to help you in any way we can.   

If you're planning on selling your home, you probably have a mile-long list of things that need to be taken care of in order to get the most money out of the sale.  When someone is looking to buy a home, one of the biggest expenses they worry about is whether they are going to have to replace the roof in the near future.  
If your roof has a huge gaping hole in it, then you already know you're going to have to replace it before selling your home.  Most homeowners, however, are faced with a less obvious decision to replace the roof before selling, and find themselves asking questions like:  Will replacing those shingles help me sell my home?  Do I really need to repair my roof or can I sell it as is?  Do potential buyers really care about the moss on the roof?  If you find yourself in this second category and are having trouble making a decision about your roof before putting your home on the market, you definitely need to have a roofing contractor do a thorough inspection to assess the overall condition, scope of repairs needed, and the projected lifespan of the roof if left alone.  If the roofing contractor determines that a roof replacement is necessary, then you can consider the following things before making a decision:

1. Do you have a large mortgage?  Your decision about replacing the roof will depend on how much money you are hoping to make on your home.  If you own the home outright, you may not need as much of a return as that of someone who still owes a lot of money on the home.
2. Can you afford to replace the roof or will you need to obtain a loan?  You can apply for a home-equity loan to make repairs on the home and replace the roof, but the loan will have to be paid in full when the house is sold.
3. What is the competition like in your neighborhood?  Is the housing market in your area competitive? Are you likely to receive multiple offers on your home?  Check to see what other houses in your area are for sale in your price range and what condition they are in.  If there are a lot of homes on the market, a new roof is often a great incentive to buyers.
4. Will leaving the roof as is cause further damage to the home?  If your roof is leaking, you need to act quickly.  A potential buyer will have a hard time obtaining a mortgage if the roof is in extremely poor shape.
5. Will insurance pay for a new roof?  If your roof is missing shingles due to storms or has damage caused by other events covered by insurance, you might be able to file a claim and have the cost covered or at least partially covered by insurance.
6. How quickly do you need to sell your home?  A well-maintained home has the potential to sell faster because it shows better in person and gives potential buyers confidence that there are few things to be concerned about.  A new roof will improve the curb appeal and make your home stand out among the rest.
7. Selling your home with your roof as-is will result in a reduction of the final sale price.  If you can't afford to replace or repair the roof, or simply don't have the time, know that it will definitely be a bargaining factor with the potential buyer.  It all depends on the market, however, because in a highly competitive market, buyers are more willing to overlook minor issues with the roof in order to land a deal.  You can also lower the price of the home to compensate for the roof and attract multiple buyers, resulting in a bidding war that can raise the price of the home.

Be sure to discuss your options with a professional roofer as well as your realtor.  As discussed above, there are numerous factors that will be in play when it comes to selling your home.  The best decisions are always educated decisions, and you don't want to spend more money than you have to.  If you are in the Birmingham area, give Bill White Roofing and Specialty a call for roof inspections, roof repairs, or roof replacements.