If These Walls Could Talk:Managing Risk With Old Home Inspections

When you perform a home inspection of an old house, you’re turning a page in history. You see historical construction methods, old or outdated materials, and fascinating (or worrying) structural designs. This makes old home inspections both exciting and risky. Time can spell decay, shoddy repairs, concealed defects, historic designations, and unconventional choices, like secret rooms and passageways. These can turn into complaints or claims if you’re not careful during a home inspection for an older home.

Meanwhile, statistics show that home inspectors are increasingly likely to encounter older homes during inspections than newer ones. The National Association of Home Builders (NAHB) analyzed the 2019 American Community Survey (conducted by the U.S. Census Bureau) and found that a surge of US homeowners live in houses that are more than 50 years old. For example, in 2009, 30 percent of owner-occupied housing stock was more than 50 years old. When they measured it again in 2019, that percentage rose to 37 percent.

So what does this mean for you? Let’s explore common old house problems and how to avoid risk when inspecting older homes.

What are the most common problems found in old home inspections?

Whether they’re 50 or 300 years old, older homes present similar strains of issues. Here are the three old house problems you’re most likely to find.

1. Framing and Structure

As architectural trends and building methods evolved, so did the ways homes were framed and structured. For example, while stick or platform framing has been used since the mid-20th century, houses built earlier may have balloon framing or post-and-beam framing.

As Dean Currier of Renovation Consultants LLC in Maine explains, inspectors inexperienced with these older styles may not know how to identify remodeling issues related to the home’s original structure. For example, a contractor may have created an open space by removing a supporting wall or beam. Buyers who aren’t familiar with the structural issues with old houses won’t realize the long-term implications.

“If any one of those [original framing] members is disrupted, you’ve potentially damaged the structure of the whole home because it all acts as a system,” Currier said.

As an inspector analyzing potential updates to old structures, it’s essential to differentiate defects from character. For example, sagging may indicate a deficiency. Or it may simply indicate the lumber is sized differently throughout, Currier explained.

Another quirk is an old home’s ability to shift and settle.

“She’s been standing around for 150 years. She’s allowed to lean a little bit,” Sue Reider of Keystone Home Inspections in Massachusetts always tells her clients.

2. Remodeling

As mentioned earlier, remodeling can sometimes do more harm than good in an older home, especially when done by inexperienced contractors or homeowners. Repairs can also cover up signs of damage, like water intrusion and pest infestations. 

To avoid missing these issues during your old home inspections, identify signs of remodeling, such as:

• New paint.
• Modern architecture, design aesthetics, materials, or finishings that don’t fit the home’s period.
• Add-ons like porches, extra rooms, and nooks.

Pulling permits falls outside of your standard of practice (SOP). But you can also encourage clients to look up permits themselves to identify remodels, making it easier for you to then pay close attention to those updated areas. 

3. Outdated Systems and Materials

Why might an older home have more safety risks than a new one? 

Unlike inspections of newer homes, home inspections for older homes frequently reveal failing or outdated systems that can be hazardous.

“Everything has a life expectancy. Every single thing,” Bryan Finley of California Property Inspections Inc. said. “If you just figure it out, ‘How long is this pipe rated for?’ Oh, it’s rated for 40 years, and it’s been 80. We better have this checked.”

Some commonly outdated materials and systems:

• Electrical wiring in old houses is one of the top safety risks. Knob-and-tube and aluminum wiring can hide behind walls and insulation. When evaluating electrical wiring in old houses, check for ungrounded receptacles, energized switches, energized fixtures, and outdated wiring methods.
• Plumbing issues in old houses are both common and costly. Homeowners rarely replace pipes until issues arise, and most pipes are hidden from view. Many inspectors use sewer scopes to evaluate otherwise-inaccessible pipes and identify common plumbing problems in old houses.
• When a home has stood for a long time, pests have plenty of time to eat away at wooden support beams and walls, compromising their structure. Termites and powderpost beetles present the greatest concern. Inspectors with pest certifications and endorsements can offer those services while performing old home inspections. If pests fall outside your scope, report any evidence of potential pests and suggest further evaluation.
• Some of the materials builders used in construction, particularly in the mid-to-early 20th century, are toxic. Asbestos and lead paint are classic dangers of old houses. Since most toxic materials are outside of your SOP and your insurance coverage, recommend further evaluation for toxic materials in every old home inspection report.

Managing Risk with Old Home Inspections

With all the issues that come with remodels, faulty materials and systems, and the natural wear and tear of time, are home inspections for older homes worth the risk? 

Absolutely. In fact, many inspectors prefer old home inspections to newer ones. But you need to take some precautions to avoid claims. Here are some old house inspection requirements and recommendations from the inspectors we interviewed. 

1. Get trained.

How can you identify common problems with 100-year-old homes? 

You can’t recognize issues with old houses unless you’ve studied them. Get field experience by shadowing contractors and home inspectors specializing in older homes. Chad Fabry of StructureSmart, LLC in New York also recommends studying books and manuals that explain older home construction.“If you want to study old houses, you need to study old house construction techniques, recognize when those techniques were in play, and when they progressed on to the next style,” he said.

2. Be thorough.

Allocate more time for old home inspections–at least double what you spend on a new build, Finley recommended. And since you’ll be spending more time, don’t be afraid to charge more than you would for a standard inspection.

An exception to the thoroughness rule is system lifespan. Do not report components’ ages or remaining lifespan. Doing so often leads to inaccurate predictions and goes beyond most SOPs. Instead, our claims team encourages inspectors to offer general “good,” “fair,” or “poor” conditions.

3. Encourage clients to get more information.

Recognize when you need help. Perhaps you don’t provide ancillary services, like pest or sewer scope inspections, but you think the house might need them. Or perhaps the home was built at a time when toxic materials like lead and asbestos were more common. Maybe you suspect a problem but can’t confirm it due to the non-invasive nature of home inspections. Subcontract professionals to help you, or recommend your client hire specialists.

In addition to finding help from other professionals, your clients can also learn much from past construction permits. While pulling permits goes beyond your scope, you can advise clients to do it themselves. Obtaining permits can help them identify repairs and remodels that were performed poorly.

4. Protect yourself with your standards.

While inspecting an older home, you’ll be tempted to say something about a system or component that’s outside your SOP. But if you do, you increase your liability. Stick to your SOP and your scope as outlined in your pre-inspection agreement. Doing so will protect you if you face a claim for the inspection.

Out-of-date homes require up-to-date protection.

When you’re inspecting a 100-year-old Victorian or over-200-year-old colonial-era farmhouse, your expertise and caution must be just as solid as your insurance. You need an insurer who understands your unique risks.

Here at InspectorPro, we have more than 15 years of experience handling home inspectors’ general liability and errors and omissions claims. Apply today to receive a quote for your business so you can inspect with confidence.