Chiefly, you want the seller to officially disclose any adverse knowledge about any conditions that may have a substantial impact on your decision to purchase the property. This includes anything from the home being located on an earthquake fault zone or faulty plumbing to protect you from any surprises in the future. It is also the seller’s responsibility to inform you, prior to the sale, of environmental concerns such as lead paint poisoning or dangerous radon levels in the home you are considering.

Federal Law requires sellers of homes built before 1978 to inform buyers about any lead-based paint used on the property. In most states, sellers are also required to disclose any information regarding asbestos and pest infestation.
 
Regardless if you had previously inspected the house together with the seller and you have hired a state-accredited professional inspector, you should still require the seller to provide you with a Seller’s Disclosure Statement.

Optionally, you may want to have a professional check out the house and identify any potential problems; a professional has the trained eye to detect certain things which may not even fall under the responsibility of the seller to repair or replace. It is always better to be aware of these issues, just in case.

Look into the average cost of utilities. You can request the owner to provide you with copies of old energy bills and factor them into your final monthly costs.

Another often overlooked expense is homeowner’s insurance. The homeowner’s insurance policy should be dated as of the actual settlement date with the mortgage lender as the beneficiary. Some states may require additional insurance such as flood, hurricane, or earthquake insurance. The best option to handle this situation is to take on a deductible similar to car insurance where you generally pay up to a given amount before the policy coverage begins.

Final Inspection

Prior to closing, be sure to revisit the property to make sure everything is in order. Make sure that this provision is made an integral part of the Sales Agreement. 
You should look into all factors that may impact the cost of ownership. These factors include taxes, utilities, and insurance costs. There are some localities with unusually high property taxes, which may make them unaffordable. Find out specific rates from the seller and local tax assessor. There are also mandatory neighborhood association fees which are used to cover public amenities such as a pool, Jacuzzi, or tennis courts or for the area’s landscaping and/or security patrol. These mandatory neighborhood fees can cost you from $100 up to $500 which substantially increases your monthly housing cost.