Insist on getting a home building inspection done before you close the deal. A building inspector will be able to evaluate the house from an expert’s perspective. This exercise will help you evaluate the house you are planning to buy from an expert point of view, from someone who is trained to identify serious problems with the property no matter how well camouflaged.

No matter how old or new the house is, don’t purchase the home without having a home inspection , as you might end up spending a lot of money for repairs. Building inspectors are specially trained to watch out for problems that can cause you serious trouble in the future.

These include structural problems, such as incorrectly built walls, partitions, basements, foundations and so on, as well as faulty plumbing and electrical issues. For example, trees planted too close to the house, less than two meters distance, may cause the walls of the house to crack because of the growth and expansion of the roots.

Another such example that would not be visible from homeplans is the proper connection of the down pipes and gutters. If these have not been professionally fitted, then it could result in water seepage into the walls, causing dangerous cracks and ugly damp spots.

The home building inspection will also help you differentiate between serious problems and those which are not really too important or costly to fix, even though they look bad. For example, if you find cracks around the doors and windows of the house you can safely ignore these, as they may look serious, but are not.

However, cracks that develop along the brick work may be an indication of structural problems that will likely be expensive to fix. As a layperson you might not be able to deduce this from a mere examination of the home floor plans. Most people think that studying the house floor plans will suffice; however, the building inspector will tell you that there is much more you need to know.

Finding your dream house is an indication of good fortune. As a simple precautionary step that will ensure that this good fortune does not turn into a nightmare soon after you become the owner of the property, have a home building inspection done by certified home inspectors. This will give you an accurate evaluation report of the house you plan to buy.

Whatever the style, such as narrow lot house plans or luxury home plans, it would be difficult for any layperson to identify the major flaws that could be cleverly masked by cosmetic repairs. Do not allow yourself to become a victim. Insist on a home building inspection and stay protected.

The advertisements are seductive, but remember “all that glitters is not gold.” Both loan options use your home as collateral for a loan. There’s nothing basically wrong with this idea other than the fact that you may be greatly risking your most valuable asset.

A home equity loan is a lump sum advance in the form of a second mortgage on your home. You borrow a specific amount for a certain period of time and pay back the balance with interest in installments.

A home equity line of credit, on the other hand, is a lot like a having another credit card. The lender agrees to lend a specific amount of money over an agreed period of time and the borrower can draw against this line of credit whenever they want.

In both cases, your home’s equity is collateral. Therefore, since the loan is secured, you usually get a lower interest rate than with a credit card. This is the main reason home equity loans are being touted as a great way to consolidate debt. Another benefit is that interest paid on these loans could be deductible on federal and state tax returns.

Sounds good doesn’t it? However, sometimes the disadvantages can be really high.

To begin with, taking a chance on losing your home, by using it as collateral, is risky business. “Borrowers beware,” says the Federal Trade commission. This type of loan is only for homeowners with more than enough steady income to cover the extra monthly payments. And they’re certainly not for anyone who might need to move and sell their home before the second mortgage becomes due.

But that’s not how they’re being advertised, especially on the internet. Unscrupulous lenders promote these packages to the elderly on fixed incomes and to those with low incomes and poor credit ratings. They pretty much offer you any deal you want – whether it’s to your advantage or not – just to get your business. These scammers gamble on people being unable to make payments or to sell their home soon enough.

Then they head in for the kill, start the foreclosure proceedings and take all the money that’s been paid into it. Foreclosures in California have doubled in the past year. And this happens everyday – all over the country.

So protect yourself. Only deal with an established local lender you know you can trust. Keep you head clear when dealng with easy loan approvals, low payments or the promise of quick cash. And never let someone pressure you into making a decision and signing a contract.

Always think it through carefully, get a second opinion and be absolutely clear exactly what you’re getting into. Remember, your house is on the line – don’t risk your family’s shelter!

Follow this advice and there’s a good chance you can keep your home.