What Are Some Real Estate Red Flags When Purchasing a Home?

 Posted on May 28, 2025 in Real Estate

Perhaps you have found your dream home. It has everything you want and need, and best of all, the price is amazing. Before you rush into a real estate purchase, remember that looks are often deceiving. Also, consider the old adage that if something seems to be too good to be true, it probably is.

Some of the biggest issues in homes – those issues that can suck your bank account dry within the first year – are hiding in plain sight. If you are unsure what you should be looking for, your dream home could end up being a lemon. Having a Round Lake, IL real estate attorney looking out for your best interests throughout the purchase can be extremely helpful.

What Are the 5 Things You Should Look Out for When Buying a Home?

You never want to spend the next few years regretting your home purchase. In order to avoid that, there are important issues you should look out for, or at least have someone else look out for on your behalf. Home inspections often reveal some of these issues, but not always. Before you sign on the dotted line, look closely at these issues.

Are There Too Many "For Sale" Signs in the Neighborhood?

If you drive down the street to the home you are considering and see a high rate of neighborhood sell-out, ask yourself why. Unless the home is in a recently built, brand-new community, a high number of for-sale signs could be a serious red flag. Many people leaving could indicate an increase in crime, a decrease in local school quality, a decrease in work opportunities, or unpopular developments in surrounding properties (like a halfway house for drug addicts down the street, or a significant increase in the area’s homeless population).

Take a Hard Pass on Sloping Floors in a Home

If you notice sloping floors in a home, there could be rotten wood in the supports or floors themselves. The beams beneath the floors may have collapsed or begun to slump. There could also be a soil or foundation problem that is causing the sloping floors. Carry a marble with you as you look at different homes. If you set it on the floor and it begins rolling in one direction, the floor is not level.

Take Water Damage Seriously

If you see water damage stains, spots, or bubbles on walls, ceilings, or floors, the area could develop holes or cracks from corrosion or deterioration. Water stains on a home's exterior indicate siding that needs to be replaced or was never properly sealed. Water stains inside indicate leaky pipes or a leaky roof, both of which require expensive repairs. If the home has multiple water stains, take that as evidence of a more serious problem.

Never Shrug Off Cracks in the Foundation

Foundation cracks can have many different sources, but they are expensive, if not impossible, to fix, and can be an indication to keep looking for your perfect home. Foundation cracks can be the result of improperly compacted soil when the home is built, bad drainage, or natural disasters. Structural cracks usually appear in concrete walls, threatening the home’s integrity and potentially causing the home to tilt or lean.

Sagging Ceilings Should Be a Dealbreaker

Look closely at the ceilings in the home to ensure there are no tiny water bubbles and that they are not visibly sagging. Sagging ceilings can indicate a serious issue with the home's structural integrity or a problem with the foundation. Leaks above the ceiling can also cause the ceiling to sag, which is difficult and expensive to repair.

Contact a Lake County, IL Real Estate Lawyer

Having an experienced Grayslake, IL real estate attorney from Newland & Newland, LLP can make a real difference in the ultimate outcome of your home search. Our attorneys are local to Illinois; one has served on the Board of Directors of the Illinois Real Estate Lawyers Organization and the Real Estate Committee of the Lake County Bar Association. Call 847-549-0000 to schedule your free consultation.