Do the research: Costs can go through the roof
Roof replacement carries a significant cost, and it can’t be put off once it becomes necessary. But the urgency of needing a new roof doesn’t mean you should blindly hire the first contractor you interview. How roofers charge: While you can replace your own roof, it’s rarely a good idea. Without the right tools and experience, you’ll likely make a mistake, which could reduce the life span of your roof and endanger the integrity of your home.
A standard 2,200- to 3,400-square-foot roof replacement with asphalt shingles will cost DIY homeowners between $2,000 and $6,000; professionals will charge $5,000 to $12,000 or more for architectural asphalt shingles. Roofers charge for their work by “squares.” One 10-by-10-foot patch of roof makes a square. The average residential roof needs between 22 and 34 squares to be replaced.
Roofers charge labor for removing your old roof. A one-story roof with a single layer of shingles costs between $100 and $150 per square to remove; a double layer, $115 to $165; and triple layer, $125 to $175. If you have a particularly high roof or one that’s extremely steep, you will pay more. Roof installation costs: Asphalt shingles, the most common roofing material, cost between $120 and $400 per square. You’ll also pay for flashing, trim, vent covers and gutters. You can keep costs down by shingling over an existing roof, rather than replacing it. Roofers say that often lowers the life span of a new roof because they can’t repair any damaged roof deck or apply newer synthetic membranes that offer superior protection against water and ice damage.
The cost of a metal roof ranges between $500 a square for lower-end materials to $1,800 for high-end copper. Homeowners usually select corrosion-resistant metal priced between $700 and $1,000 per square.
A natural slate tile roof can cost between $800 and $1,600 per square. But pros say the final tab for a slate roof can exceed $4,000 per square if the slate is high end and the installation pattern is intricate.
While the cost of a clay tile roof often ranges between $600 and $800 a square for an average size home, the price can exceed $4,000 a square for premium-grade, custom-made tiles. Hiring a professional roofer: Not all roofers deliver reliable performance. Finding a solid contractor means considering several factors.
First, a true roofing pro should be familiar with local building codes. They should know whether the jurisdiction or shingle manufacturer allows more than one layer of shingles and any rules governing underlay or shingle type.
Contractors should look for any existing damage to your home’s structure, either from fire or water. If this isn’t dealt with before a new roof is installed, it can necessitate frequent repairs, cause premature failure or void the shingle manufacturer’s warranty.
Reliable roofers offer substantive guarantees for their work, between five and 10 years on workmanship, which includes free repair of any defects due to improper installation. These typically cover leakage or total failure but won’t cover normal wear and tear, general maintenance, damage from weather such as hail or storms, or bacterial and insect infestations. Some will offer 40-year or more warranties, but these usually apply to specific highend roof products and require specific installation procedures.
A: Unfortunately, your seller is correct. The prequalification letter is not a firm, binding loan commitment. Typically, homebuyers contact a lender before finding their dream house so they have a good idea of how much they can afford. Once you formally apply for a loan, even with the prequalification letter in hand, the lender will most likely require more information, such as bank statements, pay stubs or other documentation proving you qualify for the loan. According to David Reiss, a professor who focuses on real estate law at the Brooklyn Law School, “prequalification is not a binding agreement. It is one of a number of real estate myths that should be understood.”
I suggest you immediately go back to the seller and explain you thought you had a loan. I would ask for a two-week extension of the financing contingency. If it is granted — and it must be in writing — explain the situation to your lender and make sure you get a real commitment within that two-week time period.
On the other hand, if the seller will not agree, you have three options. First, in the remaining five days before the contingency expires — if you still have five days — you could try to persuade your lender to give you a real loan commitment letter. Second, you could walk away from the deal, and advise the seller in writing that you are exercising your rights to cancel pursuant to the financing contingency. Third, you could decide to move forward beyond the contingency and hope that the lender will come through before the scheduled closing. This, of course, is risky. If you do not get the loan, you can lose your deposit. In fact, depending on what rights the seller has in the contract, you may also be sued for damages due to a breach of contract. Other real estate myths
I mentioned professor Reiss had a list of real estate myths. In addition to the prequalification letter, here are three others: 1. Homebuyers must put down 20 percent. According to Reiss, there are a number of alternatives, so potential homebuyers — seeking houses, condos or co-ops — should shop around. But keep in mind that the smaller the down payment, the higher the mortgage interest rate will be. 2. “My bank knows me, loves me and will give me a deal.” Reiss, who talked with mortgage bankers, says that the mortgage you can get will be similar wherever you shop. Most lenders receive their money from the secondary mortgage markets, and the rate they pay is the same. 3. “I’ll close in 30 days.” That used to be true, but since new loan closing rules were adopted by the Consumer Financial Protection Bureau, the average time between contract and closing (escrow) is now 45-50 days.