The Investor's Property Walkthrough: 47 Things to Check Before the Inspector

Our Rental Filter checklist answers “does this deal work?” — the numbers, the title, the market. This one answers a different question: “is the house itself rotten?” It’s the physical walkthrough you do with your own eyes as you first tour a property — before you pay for a professional inspection, and long before you wire a deposit.

The 47 checkpoints below are adapted from a checklist by Raúl Cuñarro (El Sueño Americano), an investor who has done more than two dozen BRRRR deals, rewritten in plain language with a note on what each item signals and roughly what it costs. This does not replace a licensed inspector. It lets you walk any house with an investor’s eye, ask the right questions, and — most importantly — spot the expensive problems before you make an offer, so you can price them in or walk away.

How to read the severity marks: 🔴 = big-ticket, possible walk-away · 🟡 = negotiate / budget it · 🟢 = cosmetic / cheap. Cost ranges are rough US ballparks to size the risk, not quotes — get a real bid before you rely on any number.

Exterior & land (points 1–6)

Start outside. The ground and the shell tell you how water has been treated for years — and water is what destroys houses.

• 1. Cracks in the exterior walls or facade. 🔴 Hairline is usually fine; wide or diagonal “stair-step” cracks can mean foundation movement (see point 12).
• 2. Siding or paint peeling, rotted, or damp. 🟡 Siding is the outer skin of the house (vinyl, wood, fiber-cement). Rot or moisture here means water is getting in. Full siding replacement runs into the thousands.
• 3. The ground slopes away from the house, not toward the foundation. 🟡 This is grading. If the yard tilts toward the house, water pools against the foundation — the #1 cause of wet basements and foundation damage. Regrading is cheap compared to what it prevents.
• 4. Driveway, sidewalk, and patio without big cracks, sinking, or unevenness. 🟡 Sinking concrete can signal soil movement.
• 5. Fences, gates, and retaining walls in good shape. 🟡 A failing retaining wall (a wall that holds back a slope of soil) is a surprisingly expensive fix.
• 6. Trees or roots close enough to damage the foundation or pipes. 🟡 Big roots crack foundations and invade sewer lines.

Roof & gutters (points 7–11)

The roof is one of the priciest things on the house. Look from the ground and from across the street.

• 7. Shingles complete — none missing, lifted, or badly worn. 🔴 A roof at the end of its life is a $8,000–$20,000+ replacement.
• 8. The roof line is straight — no sagging or waviness. 🔴 A dipping roofline can mean structural damage underneath.
• 9. Good sealing (flashing) around chimneys and vents. 🟡 Flashing is the metal that seals roof joints; failed flashing is a classic leak source.
• 10. Gutters and downspouts clean, attached, and carrying water away from the base. 🟢 Cheap to fix, but clogged gutters dump water right against the foundation.
• 11. No water stains or mold on the interior ceilings. 🔴 A brown ring on a ceiling means the roof (or a pipe) has leaked — find the source, not just the stain.

Structure & foundation (points 12–16)

This is where the walk-away money lives. Take it seriously.

• 12. Foundation cracks — tell the harmless from the serious. 🔴 Thin vertical cracks are common; wide or “stair-step” cracks (following the mortar joints in a zig-zag) can mean the foundation is moving. Major foundation repair runs $5,000–$40,000+.
• 13. Floors are level and don’t sag or creak excessively. 🔴 A floor that slopes noticeably points to structural or foundation issues.
• 14. Doors and windows close properly. 🟡 If they stick or won’t latch, the frame may have shifted — a clue to structural movement.
• 15. No moisture, white powder, or mold in the basement or foundation. 🟡 That white crust is efflorescence — mineral salts left behind by water seeping through concrete. It means moisture is getting in.
• 16. Beams and structural wood free of rot or termite signs. 🔴 Termite or rot damage to load-bearing wood is both a repair and a structural risk.

Plumbing (points 17–22)

• 17. Good water pressure — open several faucets at once. 🟡 A big pressure drop can mean corroded or undersized pipes.
• 18. No leaks under sinks and vanities or around toilets. 🟢 Small leaks are cheap; the water damage and mold they cause are not.
• 19. Water heater — check age, rust, and leaks. 🟡 They last ~10–12 years; replacement is $1,200–$3,000. Rust at the base means it’s near the end.
• 20. No risky old pipe materials. 🔴 Polybutylene (gray plastic pipe, common 1978–1995) and lead are known failures. A whole-house repipe is $4,000–$15,000 — and lead is a health issue.
• 21. Good drainage — water goes down fast in sinks, showers, and tubs. 🔴 Slow drains everywhere can mean a failing main sewer line ($3,000–$25,000).
• 22. No water stains on ceilings or walls below upstairs bathrooms. 🔴 A leak from a second-floor bath can be rotting the floor beneath it.

Electrical (points 23–27)

• 23. Electrical panel — note the brand, age, and amperage. 🟡 Amperage is the panel’s capacity (100A is minimum for a modern home, 200A is common). Certain old brands (e.g., Federal Pacific, Zinsco) are fire hazards and often need replacing ($2,000–$4,000).
• 24. No old aluminum or knob-and-tube wiring. 🔴 Knob-and-tube is pre-1950s wiring with no ground; aluminum branch wiring is a fire risk. A full rewire is $8,000–$20,000 and can block insurance.
• 25. GFCI-protected outlets in the kitchen, bathrooms, and outdoors. 🟢 A GFCI outlet (the one with the little “test/reset” buttons) shuts off to prevent shocks near water. Adding them is cheap and code-required.
• 26. Switches and outlets work and don’t feel warm. 🟡 A warm outlet or switch plate is a real fire warning — flag it.
• 27. Enough outlets per room. 🟢 Too few means extension cords everywhere; adding circuits is moderate.

Heating & cooling — HVAC (points 28–31)

HVAC means the heating, ventilation, and air-conditioning system.

• 28. Age and condition of the furnace and AC. 🔴 A full system replacement is $6,000–$15,000; units over ~15 years are on borrowed time.
• 29. Turn it on — does it actually cool and heat? 🔴 Don’t take “it works” on faith; run both modes.
• 30. Clean filters and ducts with no built-up dust or mold. 🟡 Mold in the ducts is a health and cost problem.
• 31. Working thermostat and ducts with no obvious leaks. 🟢 Leaky ducts quietly waste money every month.

Kitchen (points 32–34)

• 32. Included appliances turn on and work. 🟢 Confirm what actually conveys (stays with the house) and that it runs.
• 33. Counters and cabinets in good shape; no leak under the sink. 🟡 Water-damaged cabinets under the sink reveal a slow leak.
• 34. A range hood or vent that pushes air outside. 🟢 A hood that just recirculates (doesn’t vent out) is common and minor.

Bathrooms (points 35–38)

• 35. Toilets firm and well-sealed at the base, no leaks. 🟡 A rocking toilet can mean a rotted subfloor beneath it.
• 36. Tile and grout without cracks or mold. 🟡 Cracked shower grout lets water into the wall — a hidden rot source.
• 37. Ventilation or an exhaust fan to prevent moisture buildup. 🟢 No fan means chronic mold; adding one is cheap.
• 38. Good pressure and steady hot water in the shower. 🟡 Ties back to the plumbing and water heater checks.

Interiors, windows & doors (points 39–42)

• 39. Windows open, close, and seal — no fogged glass. 🟡 Fogged (cloudy) glass means the window’s seal has failed; replacements are $300–$1,000+ each and add up fast across a house.
• 40. Doors and locks work correctly. 🟢 Cheap, but sticking doors can also hint at structural shift (point 14).
• 41. Floors with no loose boards, stains, or unevenness. 🟡 Uneven floors echo the structural check; stains can be old leaks.
• 42. Walls and ceilings free of cracks, water stains — or fresh paint hiding a problem. 🔴 A single freshly-painted patch on an old ceiling is a red flag: someone likely covered a stain. Look behind the cosmetics.

Safety & risks (points 43–45)

• 43. Smoke and carbon-monoxide detectors installed and working. 🟢 Cheap, but required — and a missing one signals a landlord who cut corners.
• 44. No signs of pests — rodents, termites, or roaches. 🔴 Droppings, mud tubes on the foundation (termites), or a “sweet, musty” smell are warnings; termite damage can be structural.
• 45. In older homes, possible asbestos or lead paint. 🔴 Homes built before 1978 may contain lead paint; older insulation, floor tile, and “popcorn” ceilings may contain asbestos. Both are health hazards with real remediation costs.

Documentation & surroundings (points 46–47)

• 46. Prior renovations were permitted — no undeclared work. 🔴 Unpermitted work (a finished basement, an added bathroom) can force you to tear it out or pay penalties, and it may not be insurable. Ask for permits. This overlaps with the legal red flags a lawyer checks.
• 47. The surroundings — noise, traffic, the condition of neighboring houses, and nearby services. 🟡 The best-renovated house on a declining block is still on a declining block. Walk it at a different time of day.

This checklist is adapted from a 47-point pre-inspection list by Raúl Cuñarro (El Sueño Americano), an investor with 24+ BRRRR deals — reorganized and rewritten in our own words, with added plain-language definitions and cost/severity notes. Credit for the original point list is his.

This guide is educational and is not financial, tax, legal, or investment advice. Programs, lender policies, and tax rules change. Consult a licensed attorney, CPA, and lender before acting.