# 7 Home Inspection Deal Breakers You Cannot Ignore By Opendoor Editorial Team | 2022-06-24 > When you agree to buy a home, you might be thinking about how you’ll make the space your own — where you’ll put your new couch, which bedroom will be best for your kids and what you’ll do to make the outdoor patio a great place to entertain. However, those decisions should wait until you get a professional opinion on the state of the home. Sometimes, those examinations can turn up reasons to walk away. ## Key Takeaways # 7 Home Inspection Deal Breakers You Cannot Ignore A [home inspection](https://www.opendoor.com/articles/home-inspection-checklist-for-buyers) can turn excitement into anxiety in the span of a single phone call. One moment you're picturing furniture arrangements, and the next you're Googling "foundation crack repair cost." Not every issue on an inspection report warrants concern, but some problems are serious enough to reconsider the entire purchase. Here's what separates minor fixes from the deal breakers that could cost you tens of thousands of dollars — or put your family's safety at risk. [See Homes Near You](#) **Seven Home Inspection Deal-Breakers Infographic** ## What qualifies as a home inspection deal breaker A home inspection deal breaker is a serious problem that could cause a buyer to walk away from a purchase or renegotiate the price. We're not talking about cosmetic issues like outdated wallpaper or scuffed floors. Deal breakers are problems that affect safety, structural integrity, or the basic livability of a home. The difference comes down to three factors: cost, complexity, and risk. A dripping faucet or a sticky door? Normal wear and tear. A cracked foundation or faulty wiring? That's a different conversation entirely. Here's a simple way to think about it: - **Minor issue:** Chipped paint, worn carpeting, or a squeaky hinge - **Deal breaker:** Foundation cracks, outdated electrical panels, or active termite damage Knowing the difference helps you read an inspection report with clarity instead of panic. And if you're selling, understanding what buyers consider deal breakers can help you prepare for negotiations or explore alternative selling options. ## 1. Foundation and structural problems Foundation issues sit at the top of the deal-breaker list for good reason, partly because repairs are [typically not covered by homeowners insurance](https://www.bankrate.com/insurance/homeowners-insurance/does-homeowners-insurance-cover-foundation-repair/). The foundation supports everything above it, so damage here can affect walls, floors, and the roof. When the foundation moves, the whole house moves with it. ### Cracked or settling foundations Every home settles a bit over time, and small hairline cracks in concrete are common. However, horizontal cracks, stair-step patterns in brick or block walls, or cracks wider than a quarter-inch often point to structural movement. The foundation is shifting in ways it wasn't designed to handle. ### Bowing or leaning walls Basement or crawl space walls that curve inward usually indicate soil pressure or water damage behind them. This kind of movement tends to get worse over time, eventually affecting the floors and walls on the main level. ### Uneven or sagging floors A floor that slopes noticeably or feels bouncy underfoot might have compromised floor joists or foundation movement underneath. Some buyers do a quick test during walkthroughs: place a ball on the floor and see if it rolls on its own. Foundation repairs can range from a few thousand dollars to well over $20,000 depending on severity. In some cases, lenders [require a structural engineer's certification](https://www.homelight.com/blog/buyer-should-i-buy-a-house-with-foundation-repair/) before approving a mortgage, which adds another layer of complexity to the transaction. ## 2. Major roof damage A roof does more than keep rain out. It protects insulation, electrical systems, and the structural framing beneath it. When a roof fails, problems spread quickly to other parts of the house. ### Missing or damaged shingles Inspectors look for shingles that are curling, cracking, or missing entirely. Gaps in the shingle layer expose the underlayment and decking to moisture, which leads to rot and leaks over time. ### Sagging rooflines A roofline that dips or sags often points to water damage, inadequate support, or age-related deterioration. This is a structural concern that typically requires a professional evaluation before moving forward. ### Signs of repeated leaks Water stains in the attic, damaged insulation, or rotted decking suggest ongoing water intrusion rather than a one-time event. Repeated leaks indicate a systemic problem that patching alone won't solve. Roof replacement costs vary based on size and materials, but homeowners often pay between $5,000 and $15,000 or more. If the roof is nearing the end of its lifespan, buyers factor that expense into their decision. ## 3. Outdated or dangerous electrical systems Electrical problems create fire hazards and can make a home difficult to insure. Older homes are especially prone to electrical issues because building codes have changed significantly over the decades. ### Knob and tube wiring Knob and tube wiring was common in homes built before the 1950s. This older system can't safely handle modern electrical loads from air conditioners, multiple appliances, and home offices. Many insurance companies refuse to cover homes with knob and tube wiring still in use. ### Overloaded electrical panels Signs of an overloaded panel include breakers that trip frequently, double-tapped breakers (two wires connected to a single breaker slot), or a panel that's undersized for the home's electrical demands. All of these conditions increase fire risk. ### Ungrounded outlets Two-prong outlets indicate an older, ungrounded electrical system. Without grounding, electrical surges have no safe path to dissipate, which creates shock and fire hazards throughout the home. Rewiring a home typically costs $6 to $8 per linear foot, and panel upgrades run between $850 and $2,500. The expense is significant, but so is the safety concern. ## 4. Severe plumbing and sewer line issues Plumbing problems often hide behind walls and under floors until significant damage has already occurred. By the time you see evidence of a leak, the underlying issue may be extensive. ### Corroded or deteriorating pipes Older pipe materials like galvanized steel or polybutylene are prone to corrosion and failure. Galvanized pipes rust from the inside out, reducing water pressure and eventually leaking. Polybutylene pipes, common in homes built between the 1970s and 1990s, can fail without warning. ### Slow drains and sewer backups When multiple drains in a home run slowly, the problem likely lies in the main sewer line rather than individual fixtures. Tree root intrusion is a common cause, and sewer line replacement can cost anywhere from $5,000 to $50,000 depending on the extent of the damage and local labor costs. ### Water heater failures Rust on the tank, water pooling at the base, or inconsistent hot water all suggest a water heater nearing the end of its useful life. A failing tank can flood a basement or utility room with little warning, causing water damage to floors, walls, and stored belongings. ## 5. Water damage and mold Water intrusion and mold growth go hand in hand. Where you find one, you'll often find the other, or at least the conditions for mold to develop. ### Visible mold growth Mold commonly appears in basements, bathrooms, attics, and around windows. Surface mold in a shower is one thing. Mold spreading across basement walls or ceiling tiles suggests a deeper moisture problem that requires investigation. ### Stained ceilings and walls Water stains indicate past or ongoing leaks. The key question is whether the source has been identified and fixed. A stain without a repair history is a red flag that warrants further inspection. ### Musty odors and hidden moisture A persistent musty smell often signals mold or moisture behind walls, even when nothing is visible on the surface. Inspectors sometimes use moisture meters to detect hidden water damage that the eye can't see. Mold remediation costs range from a few hundred dollars for minor cases to $30,000 or more for extensive contamination. The health risks, particularly for people with respiratory conditions, add urgency to addressing mold problems. ## 6. Pest infestations and structural damage Pests don't just create discomfort. They can compromise a home's structure. Wood-destroying organisms are a particular concern because the damage often happens out of sight. ### Termite damage Termites leave telltale signs: mud tubes along foundation walls, hollow-sounding wood, and small piles of frass (termite droppings). The damage is often extensive before visible signs appear because termites work from the inside out. ### Rodent infestations Droppings, gnaw marks, and nesting materials indicate rodent activity. Beyond the health risks, rodents chew through wiring and insulation, creating fire hazards and reducing energy efficiency. ### Carpenter ant activity Unlike termites, carpenter ants don't eat wood. Instead, they excavate it for nesting. The structural damage, however, is similar. Look for small piles of sawdust-like shavings near wooden structures as a sign of carpenter ant activity. ## 7. Environmental hazards Some of the most serious deal breakers are invisible. Environmental hazards pose health risks and often require specialized remediation that adds cost and complexity to a transaction. ### Asbestos in older homes Asbestos was commonly used in insulation, flooring, siding, and pipe wrap before the 1980s. When undisturbed, asbestos may be safe. However, renovation or deterioration releases fibers into the air, creating serious health risks for anyone in the home. ### Lead paint concerns Homes built before 1978 may contain lead paint, which poses health risks, especially for children. Sellers are required to disclose known lead paint, but testing can reveal what disclosures don't cover. ### Elevated radon levels Radon is a naturally occurring radioactive gas that seeps through foundation cracks. You can't see or smell it, so testing is the only way to detect elevated levels. The EPA recommends mitigation for homes with radon levels above 4 picocuries per liter. Mitigation systems typically cost $800 to $2,000 to install. ## How to negotiate after finding home inspection deal breakers Discovering serious issues doesn't automatically mean walking away. The inspection contingency, present in [81% of purchase contracts](https://listwithclever.com/real-estate-blog/contingencies-in-real-estate/) according to NAR, gives buyers leverage to negotiate with sellers. Common approaches include: - **Request repairs:** Ask the seller to fix issues before closing - **Ask for credits:** Receive funds at closing to handle repairs yourself - **Negotiate price:** Reduce the purchase price to account for repair costs - **Walk away:** Exercise your inspection contingency and exit the contract The right approach depends on the severity of the issues, the seller's willingness to negotiate, and your own comfort level with taking on repairs after closing. ## When walking away from a home purchase is the right decision Sometimes the best decision is to move on. This is especially true when the seller refuses to negotiate, repair costs are unpredictable, or the inspection reveals a pattern of deferred maintenance throughout the home. A single deal breaker might be manageable with the right negotiation. Multiple serious issues, like foundation problems combined with outdated electrical and water damage, suggest a home that's been neglected over time. Walking away protects your investment and gives you the opportunity to find a home in better condition. ## Options for selling a home with known issues If you're on the selling side, inspection deal breakers can complicate a traditional sale. Buyers may request costly repairs, renegotiate aggressively, or [walk away entirely](https://www.opendoor.com/articles/why-do-pending-home-sales-fall-through) after receiving the inspection report. Sellers facing this situation have alternatives. Disclosure requirements vary by state, but transparency builds trust and reduces legal risk down the road. Some sellers choose to [make repairs before listing](https://www.opendoor.com/articles/things-to-repair-before-selling-a-house) to avoid negotiation headaches. Others prefer selling to cash buyers who purchase homes as-is, skipping the repair negotiations and inspection contingencies altogether. ## Move forward on your terms Whether you're buying or selling, the goal is the same: certainty and control over one of life's biggest transactions. Understanding what qualifies as a deal breaker, and knowing your options when you encounter one, puts you in a stronger position to make decisions that work for your situation. If you're considering selling a home and want to skip the uncertainty of inspections and negotiations, Opendoor offers a simpler path. [Get a free, no-obligation cash offer](https://www.opendoor.com/address-entry) and see what's possible. [See Homes Near You](#) ## FAQs about home inspection deal breakers ### Can sellers refuse to make repairs after a home inspection? Sellers aren't legally required to make repairs unless the contract specifies otherwise. Buyers can then negotiate, accept the home as-is, or walk away if they have an inspection contingency in place. ### What is the difference between a home inspection and an appraisal? A [home inspection evaluates the condition and safety of a property, while an appraisal determines its market value](https://www.opendoor.com/articles/appraisal-vs-home-inspection-whats-the-difference) for the lender. Both are important but serve different purposes in the homebuying process. ### Should buyers get a second opinion if inspection findings seem severe? For major concerns like foundation or structural issues, hiring a specialist such as a structural engineer provides a more detailed assessment. This helps buyers understand the true scope and cost of repairs before making a final decision. ### Do cash buyers require home inspections before purchasing? Cash buyers, including companies like Opendoor, often purchase homes as-is after their own assessment. This can simplify the process for sellers who want to avoid repair negotiations and inspection contingencies. ### What happens if a buyer waives the inspection contingency? Waiving the inspection contingency means the buyer agrees to purchase the home regardless of its condition. This limits the buyer's ability to negotiate or walk away if serious issues are discovered after the offer is accepted. ## Explore Opendoor guides to neighborhoods in your area | **City** | **Neighborhoods** | | **Raleigh** | [Brier Creek](https://www.opendoor.com/neighborhood-guide/brier-creek-raleigh), [Cameron Village](https://www.opendoor.com/neighborhood-guide/cameron-village-raleigh), Downtown Raleigh, [Five Points](https://www.opendoor.com/neighborhood-guide/five-points-raleigh), Glenwood South, Hayes Barton, Mordecai, [North Hills](https://www.opendoor.com/neighborhood-guide/north-hills-raleigh), Oakwood | | **Charlotte** | [Ballantyne](https://www.opendoor.com/neighborhood-guide/ballantyne-charlotte), [Dilworth](https://www.opendoor.com/neighborhood-guide/dilworth-charlotte), [Elizabeth](https://www.opendoor.com/neighborhood-guide/elizabeth-charlotte), [Myers Park](https://www.opendoor.com/neighborhood-guide/myers-park-charlotte), [NoDa](https://www.opendoor.com/neighborhood-guide/noda-charlotte), [Plaza Midwood](https://www.opendoor.com/neighborhood-guide/plaza-midwood-charlotte), [South End](https://www.opendoor.com/neighborhood-guide/south-end-charlotte), SouthPark, Uptown Charlotte, Cotswold, Fourth Ward, Chantilly | | **Plano** | East Plano, [West Plano](https://www.opendoor.com/neighborhood-guide/west-plano-plano), Central Plano, [Willow Bend](https://www.opendoor.com/neighborhood-guide/willow-bend-plano), [Legacy West](https://www.opendoor.com/neighborhood-guide/legacy-west-plano), Old Town Plano, Park Forest, Parkway Village, Preston Meadow, Windridge | | **Dallas** | Uptown Dallas, [Deep Ellum](https://www.opendoor.com/neighborhood-guide/deep-ellum-dallas), [Highland Park](https://www.opendoor.com/neighborhood-guide/highland-park-dallas), [Oak Lawn](https://www.opendoor.com/neighborhood-guide/oak-lawn-dallas), [Lakewood](https://www.opendoor.com/neighborhood-guide/lakewood-dallas), [Bishop Arts District](https://www.opendoor.com/neighborhood-guide/bishop-arts-district-dallas), White Rock Lake, [Preston Hollow](https://www.opendoor.com/neighborhood-guide/preston-hollow-dallas), [Lower Greenville](https://www.opendoor.com/neighborhood-guide/lower-greenville-dallas), [Knox Henderson](https://www.opendoor.com/neighborhood-guide/knox-henderson-dallas) | | **Fort Worth** | Downtown Fort Worth, Near Southside, Magnolia Avenue, [Fairmount](https://www.opendoor.com/neighborhood-guide/fairmount-fort-worth), Ryan Place, Sundance Square, West 7th, Mistletoe Heights, Berkeley, [Ridglea Hills](https://www.opendoor.com/neighborhood-guide/ridglea-hills-fort-worth) | | **Phoenix** | [Arcadia](https://www.opendoor.com/neighborhood-guide/arcadia-phoenix), Central Phoenix, Biltmore | | **Mesa** | Downtown Mesa | | **Scottsdale** | [Old Town Scottsdale](https://www.opendoor.com/neighborhood-guide/old-town-scottsdale-scottsdale) | | **Los Angeles** | [Silver Lake](https://www.opendoor.com/neighborhood-guide/silver-lake-los-angeles), Echo Park, Highland Park | | **Oakland** | Rockridge, Temescal | | **Seattle** | [Capitol Hill](https://www.opendoor.com/neighborhood-guide/capitol-hill-seattle) | ## Find homes for sale across the U.S. | **States with homes for sale** | | [Arizona](https://www.opendoor.com/homes/state/arizona), [California](https://www.opendoor.com/homes/state/california), [Colorado](https://www.opendoor.com/homes/state/colorado), [Florida](https://www.opendoor.com/homes/state/florida), [Georgia](https://www.opendoor.com/homes/state/georgia), [Massachusetts](https://www.opendoor.com/homes/state/massachusetts), [Michigan](https://www.opendoor.com/homes/state/michigan), [Minnesota](https://www.opendoor.com/homes/state/minnesota), [Missouri](https://www.opendoor.com/homes/state/missouri), [Nevada](https://www.opendoor.com/homes/state/nevada), [New Mexico](https://www.opendoor.com/homes/state/new-mexico), [New York](https://www.opendoor.com/homes/state/new-york), [North Carolina](https://www.opendoor.com/homes/state/north-carolina), [Ohio](https://www.opendoor.com/homes/state/ohio), [Oklahoma](https://www.opendoor.com/homes/state/oklahoma), [Oregon](https://www.opendoor.com/homes/state/oregon), [South Carolina](https://www.opendoor.com/homes/state/south-carolina), [Tennessee](https://www.opendoor.com/homes/state/tennessee), [Texas](https://www.opendoor.com/homes/state/texas), [Utah](https://www.opendoor.com/homes/state/utah), [Virginia](https://www.opendoor.com/homes/state/virginia) | **Read More** --- *Originally published at [https://www.opendoor.com/articles/seven-home-inspection-deal-breakers](https://www.opendoor.com/articles/seven-home-inspection-deal-breakers)*