How do I evaluate a home's electrical system?

The electrical system is one of the most important and potentially dangerous systems in a home. Start by looking at the electrical panel. Modern panels should have circuit breakers, not fuses. The panel should be clearly labeled and in good condition. Check the age of the panel. Panels from the 1960s and 1970s may have safety issues. Look for the type of wiring. Knob-and-tube wiring, commonly found in pre-1940s homes, is outdated and can be a fire hazard. Aluminum wiring, used in the 1960s and 1970s, can be a fire risk if not properly maintained. Check that outlets in kitchens, bathrooms, and outdoors are GFCI protected. Look for three-prong outlets, which indicate grounded wiring. Two-prong outlets may indicate ungrounded wiring. Check for signs of DIY electrical work, such as mismatched wiring, exposed splices, or outlets that are loose or discolored. Signs of overheating, such as melted insulation or burn marks, are serious red flags. A licensed electrician should perform a thorough inspection of any home with an older or questionable electrical system.