Things to look out for when buying a townhouse in Baltimore MD

[Sarah Kuppert]

Dear Bigger Pockets members,

I am a new buy and hold investor who is currently looking for her first deal. I have been looking at townhouses in turnkey condition in Baltimore, MD, that were built between 1900 - 1950's, but renovated. While most of those houses look good optically, I want to make sure I understand the systems in the house that are not as easily visually assessed for somebody who is new to the game.

What should I look for in the heating, cooling systems, electrical and plumbing (I have heard galvanized pipes are something to be careful about) while looking at a house for the first time. 

I am trying to lower my risk of having costly repairs and some guidance from experienced investors who know Baltimore would be very helpful.

Thank you,

Sarah

[Ned Carey]

@Sarah Kuppert I know you have been to @Account Closed  lunches.  Sometimes he or his friend Denise will show a house nearby they are working on or just finished. Take any opportunity like that you can. Ask them what they changed and why. 

The inspector is a good idea. Make sure you are there to watch, to see what he is looking for.  Also there are some good books on inspecting a house. One that I liked was Inspecting a House by Carson Dunlop and Associates. Readers digest put out a book called The Complete do it Yourself Manual. 

Here are a few tips, See how many amps the circuit breaker box is.  100 amp can work if it has gas heat and appliances but 150 or 200 amp is better. Some of the old houses have 60 amp boxes. That is too low and probably means the wiring is old too. You can always upgrade the service (electric box) later. Changing wiring later is big more money, it means tearing up walls. If it is the old type of screw in fuses, that is bad.  Tenants can put quarters in instead of fuses which would be an obvious fire hazard.  If the house has a Federal Pacific circuit breaker box replace it. They are no longer made and are a fire hazard. 

I make sure the house has grounded electric sockets (three prong) But you have to make sure they are legit and not a 3 p prong socket use on a two wire system. You can buy a little tester at home depot for about $5.  Section 8 inspectors use them every inspection.

Yes galvanized pipes can clog. I have replaced some and it looked like it was stuffed with rusted steel wool. An easy test is go upstairs and turn on the water and check the water pressure. But at some point galvanized pipes may need to be replaced. 

Lead paint is an issue in the city because of the old housing stock. Houses built after 1942-1945 tended to have little or no lead paint inside as they knew of the risks back then. A lead inspector like LeadProbe or LeadTec can help you. They can do a lead paint consult.