When does roof age matter in South Florida Real Estate? This comes up all the time. People want to know how old is the roof? And for good reason.
Why does it matter how old the roof is? First, this is a big ticket item that has a life span so it does affect the value. You may be able to ‘live with’ the old kitchen but if the roof no longer keeps the rain out then NG. Second, if a roof is too old then one can not get insurance on the property. No insurance then no loan, no loan then no sale. Unless one is a cash buyer but they will ALWAYS want a discount. How old can the roof be and still be insurable? THIS VARIES FROM ONE COMPANY TO ANOTHER and can change at any time. For Citizens Insurance, the answer is:
“Roofs older than 25 years (shingle or other type) or 50 years (tile, slate, clay, concrete, or metal) require documentation showing at least three years remaining useful life. A Florida-licensed inspector must conduct an inspection of the roof to check for any visible signs of damage or deterioration. When a roof has less than three years of remaining useful life, the homeowner must provide proof of a full-roof replacement to the inspector before any policy is written on the home.”
Now Citizens underwriting is subject to our Sunshine in Government laws so we know what the times are. What about other insurance carriers? They are free to establish any underwriting criteria they wish but GENERALLY SPEAKING ROOFS OLDER THAN ABOUT 20 YEARS ARE DIFFICULT TO INSURE THROUGH ANYONE BUT CITIZENS.
And, if one can not get insurance on the property then one can not finance it.
So, if you are selling a property with an old roof (20+) it is probably worth putting a new roof on it.
If you are buying a home with a roof that’s 15 years old you should be saving for a new roof to be installed.
If you are financially able you may be able to get a good deal on a house because it needs a new roof. You will add the cost of the new roof into your permanent financing but these are non conforming loans so the rates are about 1/2% higher than the typical Fannie/Freddie loans.
