There is a point in almost every home search when you walk into a house and just know.
Maybe it’s the kitchen you’ve been picturing, the fenced backyard your dog would love, or the neighborhood that finally feels right. Before long, you’re mentally arranging furniture and imagining yourself living there.
I love that part of helping buyers find a home.
And kitchens especially can have a way of pulling us in. If that’s high on your wish list, you might also enjoy my recent post, The Kitchen Trend Minnesota Sellers Should Know About Before Listing.
But before you fall completely in love with a Minnesota home, there are a few practical things worth checking. Some of them can affect what the home actually costs to own, and they aren’t always obvious during a showing.
Here are six things I encourage Minnesota home buyers to look into before getting too attached to a property.
1. Find Out What the Home Will Cost to Insure
Homeowners insurance probably isn’t the first thing you’re thinking about when you walk through a house, but it has become an increasingly important part of buying a home in Minnesota.
Instead of waiting until you’re well into the buying process, contact your insurance agent and ask for an estimate on the property you’re considering.
Give them the address and as much information about the home as you have. They can help you understand what a homeowners insurance policy may cost and whether there are characteristics of the property that could affect your coverage.
It’s also important to understand the policy limits, deductibles and exclusions before you buy.
Insurance is another piece of the affordability puzzle, right alongside your mortgage payment, property taxes and utilities.
2. Ask About the Roof, Not Just How Old It Is
Minnesota roofs take a beating.
Snow, ice, wind and hail are simply part of owning a home here, which makes the roof worth a closer look when you’re buying.
Of course, you want to know its age and condition. But there is another question buyers may not think to ask: How will my insurance company cover this roof if it is damaged?
Not every homeowners insurance policy handles roof replacement the same way.
Some policies provide replacement cost coverage, while others may pay actual cash value, which takes depreciation into account. That difference can become significant on an older roof.
This doesn’t mean you should automatically walk away from a house because the roof isn’t brand new. It simply means the age and condition of the roof deserve a little more attention than a quick glance during the showing.
3. Understand the Wind and Hail Deductible
This is a big one for Minnesota homeowners.
Your homeowners insurance policy may have a different deductible for damage caused by wind or hail than it does for other types of claims.
In some cases, that deductible can be based on a percentage rather than a simple flat dollar amount.
For example, a 1% deductible on $500,000 of insured replacement value would mean $5,000 before insurance begins paying on a covered wind or hail loss.
That’s something I’d rather have a buyer understand before purchasing the home than discover after the first big Minnesota storm rolls through.
When you’re getting an insurance quote, ask specifically:
What is my wind and hail deductible, and what does that equal in actual dollars?
It’s a simple question that can tell you a lot about your potential out-of-pocket costs as a homeowner.
4. Check Whether the Property Is in a Flood Zone
Minnesota may be known for its lakes, but we also have rivers, creeks, wetlands and low-lying areas throughout the Twin Cities metro.
That means flood risk is worth checking when you’re considering a home.
Don’t assume you can tell simply by looking at the property. Flood zones are mapped, and a home doesn’t have to look like it’s sitting next to a river for this question to be worth asking.
It’s also important to know that a standard homeowners insurance policy typically does not cover flooding from rising surface water. Flood insurance is generally separate.
If you’re considering a property where flood risk is a concern, check the FEMA flood zone and talk with your insurance agent about whether additional coverage is required or makes sense for the property.
This is one of those little bits of homework that can prevent a much bigger surprise later.
5. Ask About Water and Sewer Backup Coverage
A beautiful finished basement can be a huge selling point in a Minnesota home.
But while you’re admiring the family room, extra bedroom or bar downstairs, it’s worth thinking about how that space is protected.
Standard homeowners insurance doesn’t necessarily cover every type of water damage.
Sewer or drain backup and sump pump failure are examples of coverage that may require additional protection depending on the policy.
For Minnesota homeowners with basements, that’s an important conversation to have with your insurance agent.
Ask whether the home has a sump pump, whether there’s a battery or backup system, and what your homeowners insurance would cover if something went wrong.
Nobody wants to think about a basement full of water while touring their dream house. But I’d much rather you ask the question now than wish you had later.
6. Look Beyond the House Itself
When buying a home, it’s easy to focus almost entirely on what’s inside the four walls.
But take a look around the rest of the property too.
Is there a detached garage or shed? A fence? A pool or hot tub? Other structures or features that will become yours when you buy the property?
These things can be wonderful, but they can also affect your insurance needs. Homeowners policies vary, and detached structures and certain property features may have different coverage limits or requirements.
This is especially important if you’re comparing Minnesota homes with larger lots or more outdoor features.
The house isn’t the only thing you’re buying. You’re buying the entire property, so make sure you understand what comes with it and how it will be protected.
A Little Homework Before You Fall in Love
I don’t want buyers walking through every house worrying about insurance policies and flood maps.
Buying a home should still be exciting.
But once a house starts feeling like a serious possibility, that’s the time to do a little homework.
Call your insurance agent. Ask about the roof. Find out about the wind and hail deductible. Check the flood zone. Ask about water backup coverage. Look at the entire property, not just the house.
None of these things automatically make a home a bad choice.
They simply help you understand what you’re buying and what it may actually cost to own it.
And because there can be a lot to remember when you’re looking at homes, I put all of these questions together in one place for you.
Take the Checklist With You
I created a free Insurance & Property Checklist for Minnesota home buyers that you can save, print and use while you’re house hunting.
It gives you a place to keep track of the home’s insurance quote, roof information, wind and hail deductible, flood and water concerns, sewer backup coverage and other property features. There’s also space for the property address, your insurance agent’s information, estimated monthly insurance cost and your own questions and notes.
Keep a copy with your home-buying paperwork or bring it along when a house becomes a serious contender. You don’t need to have every answer during the showing. The goal is simply to know which questions to ask before you make your final decision.
If you’re thinking about buying a home in the Minneapolis-St. Paul area, I’d love to help you through the process. From finding the right neighborhood to asking the questions that aren’t always obvious during a showing, I’m here to help you feel confident about the home you choose.