16 Red Flags to Watch Out For When Buying a House

When you are buying a house, there are many things that can go wrong. You want to be armed with as much information as possible before making the decision to buy.

Buying a home in the Dallas-Fort Worth metroplex is an exciting investment, but it’s crucial to stay alert to potential red flags that could lead to costly repairs, legal issues, or safety concerns. With the rapid growth of cities like Frisco, Prosper, Celina, Mansfield, and Little Elm, the real estate market is competitive, and buyers need to be extra cautious.

This article will help you identify red flags that may cause problems when buying a home and what steps you should take if this happens.

While none of these would necessarily mean you should not purchase a chosen property, having more than one red flag should give you pause to consider further to make sure you understand the potentially long-term implications of some of these issues.

1. Houses Requiring Major Repairs

Homes in need of extensive repairs can be a financial burden. Some houses may require extensive repairs before you can move in, and this can be costly. If you’re not prepared for this, it can be a major strain on your finances.

Always request a detailed history of past repairs and schedule a comprehensive home inspection to estimate future costs. Many homes in older DFW neighborhoods, like Oak Cliff or North Richland Hills, may have aging plumbing or electrical systems that need updating. A professional inspection, like those offered by Semper Fi Home Inspections, can help you identify hidden issues.

2. High Property Taxes or Utility Bills

One of the things you’ll want to watch out for when buying a house is high taxes or utility bills. If the property you’re interested in has high taxes or utility bills, it may be difficult to afford, or at the very least leave you with some sticker shock when the bills arrive.

DFW covers multiple counties and municipalities, each with its own tax rates. Obtain past property tax records and utility bills to ensure they align with your budget. Cities experiencing rapid growth, such as Frisco and Prosper, often have higher property taxes due to infrastructure expansion. Additionally, summer electricity costs in Texas heat can be high—check for energy-efficient windows, insulation, and modern HVAC systems.

You should also budget for both expected and unexpected maintenance and repairs.

3. Hidden Fees and Costs

When you’re buying a house, it’s important to be aware of all the potential costs involved in the purchase. This includes hidden fees and costs that may not be immediately apparent.
Beyond your mortgage, you may face additional costs such as HOA fees, insurance, and closing costs.

One of the first and biggest fees you experience is closing costs. It’s not a hidden fee since most buyers understand that they will be paying closing costs – it’s just that the aren’t included in the listing price. These are costs that are paid when you close on the purchase of a house. They can include things like attorney fees, title search fees, and appraisal fees.

Another hidden cost is property taxes. These are taxes that are assessed on the property you’re buying. They can vary from state to state, and they can be quite high.

Work with your local real estate agent to get a full breakdown of potential expenses. Some newer master-planned communities in McKinney, Melissa, and Forney include additional fees for amenities like pools and parks.

4. Neighborhood Safety and Amenities

When you’re buying a house, it’s important to make sure that the neighborhood is good. This means that the neighborhood is safe and there are plenty of amenities nearby.

A house is only as good as the neighborhood it’s in. Research crime statistics, school ratings, and nearby amenities before committing. Neighborhoods like The Colony and Richardson are known for their strong school districts, while areas near major freeways can be noisier than expected.

To check if the neighborhood is “good”, you can do a few things. First, you can check the crime rate in the area. You can also check for schools, grocery stores, and other amenities nearby. You can also ask your friends and family for their opinion on the neighborhood.

If you’re not sure if the neighborhood is right for you, you can do things such as research levels of police activity online and ask for information from the HOA. This will give you an idea of how safe the neighborhood is.

5. Flood Zone Status

When you’re buying a house, it’s important to check to see if the property is in a flood zone. This is because if the property is in a flood zone, it may be difficult to get insurance.

Some areas of DFW, especially near Trinity River in Fort Worth and White Rock Lake in Dallas, are prone to flooding. Check FEMA flood maps and consider additional insurance if the home is in a high-risk area. This map will show you the areas that are at risk of flooding. Flooding concerns can also impact home values and resale potential.

You can also ask the seller for a copy of the flood insurance policy. This will give you an idea of how much it will cost to insure the property.

If you’re not sure if the property is in a flood zone, be sure to ask the seller for a copy of the plat map or survey. This will show you where the property is located.

6. Condition of Roof, Windows, and Doors

When you’re buying a house, it’s important to assess the condition of the roof, windows, and doors. This is because if they’re in poor condition, these items can be costly to repair.

Texas weather, especially hail storms and high heat, can take a toll on a home’s exterior. Look for signs of roof damage, inefficient windows, or doors that don’t seal properly. Roof repairs or replacements are expensive, and certain areas in Allen and Grapevine experience more frequent hailstorms.

To assess the condition of the roof, windows, and doors, you can do a few things. First, you can check for signs of damage. You can also check to see if they’re in good condition.

And of course refer to your home inspection report. If issues are reported, you can use your contingency period to gather a quick estimate, which may not always be the final bid but at least you will understand if you’re looking at $50 or $50,000 and can then make a better-informed decision.

7. Water Damage and Mold

Water damage and mold can be expensive to remediate and often indicate larger underlying issues with the home’s structure, plumbing, or roofing. In Dallas-Fort Worth, where humidity levels fluctuate, mold can develop quickly if a property has poor ventilation, roof leaks, or past flooding.

Look for warning signs such as:

• Stains on ceilings or walls – Could indicate an active leak from the roof, plumbing, or HVAC system.
• Musty odors – A strong mildew smell often points to hidden mold in walls, crawl spaces, or under flooring.
• Warped or soft flooring – Water-damaged wood or laminate floors can indicate a past leak that wasn’t properly addressed.
• Peeling paint or bubbling drywall – Moisture buildup behind walls can lead to structural deterioration over time.

Certain areas in DFW, like Arlington, Grand Prairie, and Irving, are more prone to flooding, increasing the risk of water damage. Even homes outside of designated FEMA flood zones can suffer from improper grading, poor drainage, or plumbing failures.

8. Foundation Issues

DFW’s expansive clay soil can lead to foundation shifting, which may cause cracked walls or uneven floors. Foundation repairs can be costly, so pay attention to signs of movement in older homes, particularly in cities like Arlington, Garland, and Irving where soil shifts are common. Semper Fi Home Inspections includes foundation assessments in their inspections to help identify risks.

9. Pest Infestations

Texas is home to termites, fire ants, and rodents, all of which can cause long-term damage. Homes near wooded areas, like those in Flower Mound and Southlake, are more prone to infestations. A thorough pest inspection should be part of your due diligence.

10. Unpermitted Renovations

Many homes, especially in older DFW areas like East Dallas or Fort Worth’s Historic Districts, have undergone renovations—some without the proper permits. Unpermitted work can lead to fines, insurance issues, or difficulties when reselling. Always request permits and city approvals for any modifications that you notice.

11. Beware of fake real estate listings on sites such as Craiglist

When you’re looking for a new home, be sure to watch out for fake real estate listings on sites such as Craigslist. These listings may not be legitimate, and they may not be accurate.

The Dallas-Fort Worth housing market is highly competitive, making it a prime target for real estate scams. Fake listings, fraudulent sellers, and identity theft schemes can trick unsuspecting buyers into making deposits on properties that aren’t actually for sale.

To avoid getting scammed, follow these precautions:

• Work with licensed real estate professionals – Always verify that your agent is licensed in Texas by checking with the Texas Real Estate Commission (TREC). Be cautious of “sellers” who refuse to meet in person or insist on cash-only transactions.
• Research the property’s ownership – Use county appraisal district websites (such as Dallas CAD, Tarrant CAD, or Collin CAD) to verify the legal owner of the property. If the name doesn’t match the seller’s information, this could be a red flag.
• Look for suspicious pricing – If a home is listed well below market value, it could be a scam designed to lure in desperate buyers. Compare the listing with similar homes in the neighborhood to see if the pricing is realistic.
• Never send money without verification – Scammers often ask for security deposits, earnest money, or wire transfers before showing the home. A legitimate real estate transaction should involve a title company or real estate attorney handling the funds.

Scammers frequently target fast-growing cities like Frisco, Plano, and McKinney, where homes sell quickly. If a deal seems too good to be true, it probably is. Always do due diligence before making an offer or transferring any funds.

12. Inadequate Homeowner Association (HOA) Regulations

Many homes in Frisco, Plano, and The Colony fall under HOA regulations. Some HOAs enforce strict rules on landscaping, home additions, and even exterior paint colors. Check the HOA’s rules, fees, and reputation before purchasing.

13. Rapid Development in Emerging Suburbs

Cities like Celina, Princeton, and Fate are experiencing explosive growth, with new housing developments appearing rapidly. While this can be great for investment, some new communities lack sufficient infrastructure such as roads, schools, or medical facilities. Verify future city planning to ensure the area will develop sustainably.

14. Proximity to Major Commercial Projects

The Dallas Design District, Westlake’s Financial Hub, and the Texas Motor Speedway area are seeing major commercial growth. While this can drive home values up, it may also bring increased traffic, noise, or zoning changes. Consider how nearby commercial expansion may impact your quality of life.

15. Local Climate Considerations

Summers in DFW can exceed 100°F, making energy efficiency a key factor. Older homes may lack proper insulation, leading to higher cooling costs. Newer developments in areas like Prosper and Rockwall often include energy-efficient features, which can save money in the long run.

16. Availability of Quality Home Inspection Services

A thorough home inspection is a must-have, especially in a market as diverse as DFW. Whether you’re buying a historical home in Fort Worth or a newly built home in Celina, working with a trusted inspection company like Semper Fi Home Inspections ensures you have a complete picture of the property’s condition.

By considering these red flags and local factors, you can make a more informed and confident decision when buying a home in Dallas-Fort Worth. Whether you’re looking in urban Dallas, suburban Frisco, or up-and-coming towns like Melissa and Anna, a professional home inspection is your best defense against unexpected surprises.

Protect Your Investment with a Professional Home Inspection

A home inspection is one of the most important steps in the home-buying process. It provides a detailed evaluation of the property’s condition, uncovering hidden issues that could lead to costly repairs.

By hiring a licensed home inspector, you can ensure the property is structurally sound, safe, and up to code. A professional inspection will assess:

• Foundation stability – Identifying cracks, shifting, or settlement issues common in DFW’s clay-rich soil
• Roof and exterior condition – Checking for storm damage, leaks, and ventilation issues
• Electrical and plumbing systems – Ensuring they meet current safety standards
• HVAC efficiency – Confirming the heating and cooling system is functioning properly
• Water damage and mold risks – Using moisture detection tools to find hidden leaks

DFW’s fast-paced housing market means buyers may feel pressure to skip inspections, but this is a risky mistake. Even newly built homes can have construction defects that only a trained inspector can spot.

Semper Fi Home Inspections provides thorough inspections, including thermal imaging and sprinkler system evaluations, giving you peace of mind before you close the deal.

When buying a home in Dallas-Fort Worth, being informed about potential red flags can save you thousands in unexpected repairs. Keep this list handy as you tour properties, and never finalize a purchase without a professional home inspection.