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mhsneon posted:We am looking at buying the house I am renting from our landlord. We have been renting it for 2.5years now, we sold our old house a year ago so are thinking about buying again. He brought it up to us recently, he said he was wondering if we were interested, but if we are not, he doesn't plan to sell. Yeah, just remember that you are always at an information disadvantage as a buyer, and without a buyer's agent you're going to lack some of the expertise during the discovery and negotiation stages. Make sure to speak to a real estate lawyer, get professional inspection/appraisals done, and do all your diligence if you decide to work sans agent because it definitely increases the risk by a real margin. Even the fact that the seller doesn't have an agent increases your risk to a degree, as he may be less aware of issues and disclosure laws/regulations than an agent might be. There's nothing wrong with working without agency per se (though as a buyer it is usually preferable, circumstances such as this notwithstanding) as long as you have legal help, but you need to remember that these responsibilities that normally an agent would handle still exist, and need to be taken care of.
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Apr 19, 2013 16:45
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I finally found the home of our dreams. The problem is... It is a 240k house in a neighborhood of 200k houses. Should I be concerned about this? It has super fancy granite countertops, swanky cupboards, nice tile floors, high quality appliances, the works. It is close to work and in a good school district. I offered 241k and was accepted. My offer included me paying all closing costs and I used conventional funding at 20 percent down. I feel like a have a lot in this offer. I paid for inspections and requested about 2k worth of repairs. The sellers came back with a big gently caress off they aren't paying ahit. Take it or leave it. Now I feel like I have invested so much money in this process (1k for inspections and appraisal) that it would be silly to walk away only to potentially find myself In a similar situation in another house. Anyone have comments?
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Apr 19, 2013 22:09
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Yeah you've invested 1k it's way too late to back out. haha what??? If you think the house is over-priced don't buy it, the 1k you spent is to potentially save you money by finding out it's not as worth buying as you thought it was. Are the other houses identical? The houses on my street can all vary by a couple hundred thousands but they're all very different sizes, eras, and designs. If you're worried about sunks costs after 1k I'm not sure your in the right mindset for house buying. Expect to spend a few more 1k's here and there to just find the place for you. But it's worth it if it means saving your self tens of thousands by not buying a lovely or over-priced house. Baronjutter fucked around with this message at 22:25 on Apr 19, 2013 |
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Apr 19, 2013 22:20
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Velochis posted:I finally found the home of our dreams. The problem is... It is a 240k house in a neighborhood of 200k houses. Should I be concerned about this? It has super fancy granite countertops, swanky cupboards, nice tile floors, high quality appliances, the works. I don't think you should be viewing the $1k invested as a big deal. If it's the right place, it's the right place, and $1k either way shouldn't swing things much. Similarly, $2k in repairs is small change.
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Apr 19, 2013 22:30
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Buying the best house in the neighborhood generally isn't a great strategy.
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Apr 19, 2013 22:32
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The $1k in inspections is irrelevant now. $2k in move-in repairs is small change. If it's way overpriced, think twice, but if the price is higher because it's a nicer or bigger house than the neighbors, and you like it and can afford it, why not? Close to work is important, 20% down helps insulate you from value fluctuations, hopefully you will have plenty of cash after closing to keep yourself secure. Edit: thread moves fast,  "small change" buddy gvibes
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Apr 19, 2013 22:34
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Velochis posted:I finally found the home of our dreams. The problem is... It is a 240k house in a neighborhood of 200k houses. Should I be concerned about this? It has super fancy granite countertops, swanky cupboards, nice tile floors, high quality appliances, the works. So if they decided to counter-offer 243k, would you have accepted? That is essentially what they are doing. As for the price, do you feel it is fair? Did the inspections discover any major issues that may need to be addressed in the medium or long term? Does this house have unique attributes that you value and other properties you looked at do not have? Do you feel comfortable spending the next decade or two of your life there? The fact that you spent 1k doesn't matter, it is a sunk cost and should have no bearing on your decision.
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Apr 19, 2013 22:35
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Velochis posted:Now I feel like I have invested so much money in this process (1k for inspections and appraisal) Please read this information about the fallacy of sunk costs.
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Apr 19, 2013 23:52
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I don't know guys, he's already paid 0.4% of the cost of the house, he's pretty committed at this point
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Apr 20, 2013 01:36
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Konstantin posted:So if they decided to counter-offer 243k, would you have accepted? That is essentially what they are doing. As for the price, do you feel it is fair? Did the inspections discover any major issues that may need to be addressed in the medium or long term? Does this house have unique attributes that you value and other properties you looked at do not have? Do you feel comfortable spending the next decade or two of your life there? The fact that you spent 1k doesn't matter, it is a sunk cost and should have no bearing on your decision.
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Apr 20, 2013 02:49
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Velochis posted:I finally found the home of our dreams. The problem is... It is a 240k house in a neighborhood of 200k houses. Should I be concerned about this? It has super fancy granite countertops, swanky cupboards, nice tile floors, high quality appliances, the works. Why did you invest in inspections and appraisals if you weren't willing to walk away if they came up bad? Did you put down option money too with no intent of using your option period? Because this is some major sunk cost fallacy going on if so. It sounds like you are possibly buying a house because you "fell in love with it", not because you thought it through and realized it was a good decision. This is dangerous!!! Be careful!!! (more exclamation points) I Love You! fucked around with this message at 10:24 on Apr 20, 2013 |
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Apr 20, 2013 10:22
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Velochis posted:I paid for inspections and requested about 2k worth of repairs. The sellers came back with a big gently caress off they aren't paying ahit. Take it or leave it. What kind of repairs were they? If it is something superficial like replacing some damaged doors and a dripping faucet I could see why they'd tell you to deal with it...if it is 2k to repair some electrical/plumbing it might because of all of the other issues the work could potentially uncover and create a situation where 2k becomes 10k, that might be worth fighting for.
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Apr 20, 2013 15:01
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ntd posted:What kind of repairs were they? If it is something superficial like replacing some damaged doors and a dripping faucet I could see why they'd tell you to deal with it...if it is 2k to repair some electrical/plumbing it might because of all of the other issues the work could potentially uncover and create a situation where 2k becomes 10k, that might be worth fighting for. A thousand times this. If you think that the inspector didn't miss anything you're dead wrong. The fact that he found things worth 2K in repairs is a big red flag that there are probably many more things that need to be fixed that he didn't catch. Inspectors can only find so much, there could be leaks, bad wiring, etc that there would be no way for them to find because for example it might not have been a huge downpour of rain while they were there inspecting. I can tell you this from personal experience dealing with my house that has crappy cable wiring with poor shielding that gets all kinds of interference and almost no way to deal with it other than ripping out drywall both upstairs and downstairs to replace the cabling, because there is no conduit in the walls, and in fact the cables are either glued or stapled somewhere in the wall and can't even be pulled  Also we had a leak around a window that the home sellers had painted over that only happened when a tremendous downpour caused the gutters to overflow. Oh and speaking of gutters, the fascia around the underside of the roof in several places was rotted so that the gutter spikes started falling out. Our inspector found about 3-4 simple things that cost about $200-300 total to get fixed, and the homeowners did that without giving us any trouble. I shudder to think what else could've been wrong if he had found $2000 worth of repairs that were needed. Edit: Oh I just remembered something else: $500 worth of air conditioning repairmen visits to replace various parts that were overloading such as the AC circuit board and contactor, only to find out that mice or squirrels or something had chewed through part of the wiring under the house and that was causing a short that messed up the AC components multiple times. Yeah home buying can be quite an adventure (and expense). I laugh at the people who believe that their mortgage payment is the only cost to owning a home. flowinprose fucked around with this message at 18:11 on Apr 20, 2013 |
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Apr 20, 2013 18:06
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Well, made an offer on a place. Now the waiting and negotiating begins. I really like the place, but what's nice about it is that isn't perfect. So while I would really like to close on it and would be more than happy to live there, I'd also be okay if it didn't work out. If that makes any sense.
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Apr 20, 2013 19:58
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Put an offer in on Friday. Find out that the sellers are in goddamn CHINA. Waiting game is so much worse with a time difference.
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Apr 20, 2013 20:56
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BulimicGoat posted:Put an offer in on Friday. Find out that the sellers are in goddamn CHINA. Waiting game is so much worse with a time difference. Have the realtor take you inside and turn all the fans on.
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Apr 20, 2013 21:41
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BulimicGoat posted:Put an offer in on Friday. Find out that the sellers are in goddamn CHINA. Waiting game is so much worse with a time difference. This is a good question actually: is there a "normal" amount of time sellers usually take to respond?
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Apr 20, 2013 21:49
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So I figure this is the best place to ask this: Can anyone explain how exactly Contract for Deeds work with financing the balloon payment at the end? I get the basics of them: you drop a couple grand as a downpayment and pay the seller directly with a monthly amoritzation table you both agreed to and at the end of the contract term you pay off everything in full. That part I get. What I don't get, and what my ESL real estate agent boss can't figure out how to describe to me is what happens with the big payment. Does everything that you've paid so far count as a down payment in the bank's eye'?or do you then have to drop another couple of grand on a downpayment on a bank loan for the remainder? Or is the general idea of a CFD to pay it down to where you have enough to pay off the remainder in cash? Does what you pay directly to the seller count as equity? I figure this'll all be explained when I take the whole "prelicensing" course thing that I need to get my license out here (seriously, I never knew how easy being a realtor was. Its a lot of paperwork and research but I love doing both those things. And networking, which I'm not as great at, but am working on) but its bugging me now. Also, god bless moving to a state where houses are reasonably priced. I'll be posting in this thread about my own expierences buying a place within 24 months. (20% down on a cute little starter home out here runs you in the 10-15k range. A sprawling 5bd mcmansion is only 300k)
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Apr 20, 2013 23:10
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I know most of you are US residents but does anyone in here live/has lived in the UK or know anything about buying a property in the UK? Me and my partner are looking to buy our first home. We have been approved for a mortgage, have looked at various apartments and have found one that fits the criteria we are looking for. It is in the town centre of a very nice area that is popular with commuters and families, is decorated to a very high standard & requires no work doing to it, has a private communal garden and is within walking distance of the town centre, all local amenities and a very large local nature reserve. It is also within walking distance of the local train station, which has regular links into the city centre (15 minutes train ride). Essentially, it has everything we could have asked for and more, and it is in a popular, affluent area. We have put in an offer of £95,000 (£40,000 of that is our deposit and £55,000 is the mortgage) and had it tentatively accepted, pending a survey and valuation. Basically, everything is going great! However, there is one caveat which is that the property itself is in a block of apartments that are above a soon-to-open restaurant. The current owner has assured us that the restaurant has had to comply to strict building codes in order to open below the flats - e.g. they have had to fit a suspended ceiling and filled it with special insulation to prevent noise and smells getting into the flats. However, we are still apprehensive about whether or not buying this property is really a good idea, as we think it might be difficult to sell in the future. Realistically this is not our 'forever home' (It is a 2 bed apartment - spacious enough for the next 6 or 7 years but not forever) and one day we will want to buy somewhere bigger. We would be open to renting it out if we couldn't sell it straight away (The rental market in the area is very good) but realistically, we aren't buying this apartment to rent it out. Basically, we want to know if we're making a foolish decision and if re-selling is as big of a deal as people make it out to be or we should buy a property because it is good value for money and it suits all of our needs. SleeplessInEngland fucked around with this message at 15:45 on Apr 21, 2013 |
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Apr 21, 2013 12:49
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I am moving to Washington state from Arizona for a new job where I will be making considerably more money. The rental situation at my destination kinda sucks for my needs, so buying seemed like a possibility. Should I assume that trying to get a decent loan in this situation is unlikely? I have a good credit score, no dings on it, and no ongoing debt. Does it make more sense to grit my teeth and deal with a mediocre rental climate, socking away as much money as possible towards a down payment, and acquire realistic yearly W2s/paystubs for my new position?
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Apr 23, 2013 23:31
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Yes. That makes perfect sense, do that.
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Apr 24, 2013 00:58
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I like turtles posted:I am moving to Washington state from Arizona for a new job where I will be making considerably more money. The rental situation at my destination kinda sucks for my needs, so buying seemed like a possibility. Doesn't hurt to get a quote from a lender. The amount they'll give you is mostly based on your income. I told the loan officer working my loan that my pay stubs didn't reflect the raise I just received and she was pretty receptive. You may have a problem since your job is new, but, again, doesn't hurt to ask. The Seattle area market is extra fun because we didn't take a huge hit from the recession, and tech companies have been hiring like crazy recently. Good luck and stay away from the houses I'm looking at 
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Apr 24, 2013 04:41
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I got my mortgage done in two to three weeks so your guess is as good as mine! I had excellent credit and a pretty low income at that. HEY TURTLES BUY A loving HOUSE Insane Totoro fucked around with this message at 04:49 on Apr 24, 2013 |
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Apr 24, 2013 04:46
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Trillest Parrot posted:Doesn't hurt to get a quote from a lender. The amount they'll give you is mostly based on your income. I told the loan officer working my loan that my pay stubs didn't reflect the raise I just received and she was pretty receptive. You may have a problem since your job is new, but, again, doesn't hurt to ask. I've heard this same story from a couple people in the Seattle area, but they ended up just giving up and sticking with renting. I'm going to be moving out in about a month, and I may join the housing Battle Royale at some point in the next year because Microsoft will pay closing fees.
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Apr 24, 2013 14:43
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Trillest Parrot posted:Doesn't hurt to get a quote from a lender. The amount they'll give you is mostly based on your income. I told the loan officer working my loan that my pay stubs didn't reflect the raise I just received and she was pretty receptive. You may have a problem since your job is new, but, again, doesn't hurt to ask. Don't worry, I'm gonna be out in the east part of the state, I promise not to take your house@
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Apr 24, 2013 15:58
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resident posted:I've heard this same story from a couple people in the Seattle area, but they ended up just giving up and sticking with renting. I'm going to be moving out in about a month, and I may join the housing Battle Royale at some point in the next year because Microsoft will pay closing fees. My best friend spent about 9 months in 2009 and 3-4 months last year looking until they found their house, so I'm prepared to hurry up and wait. I'm lucky; I pay very little rent since I live in a friend's house, and honestly, the longer this goes, the more time I have to get a good down payment together. It'll be interesting to see what happens as the market goes up and more people put houses on the market. Maybe things will eventually stop selling in less than a week.
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Apr 24, 2013 16:34
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I wouldn't jump into buying a house in an area you haven't lived in for a while. You want to see where you want live before you make a commitment like that.
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Apr 24, 2013 16:46
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skipdogg posted:I wouldn't jump into buying a house in an area you haven't lived in for a while. You want to see where you want live before you make a commitment like that. Yeah this. Do not buy a house when you're just getting a new job and moving to a new city. The job might not work out! You might hate it there! You probably don't know anything about the various neighborhoods and what they're like. The local politics could drive you nuts. Maybe you'll find in 9 months that your job is changing and they want to move you to a new location. Who knows? Move to the new city, settle into the new job, learn the area, save your money. If you still want to buy in a year or two, you'll be in a much better position to evaluate your needs and future, and there will still be plenty of homes to buy.
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Apr 24, 2013 18:51
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That was what I had figured initially, and am back to figuring, but I guess I just had a tantrum of "gently caress you landlords, I'll just buy my own house instead, how about that?" because I haven't found the right place... on the internet... from 1000s of miles away. I've posted a CL housing wanted ad specifying what I want, we'll see if that gets any hits.
I like turtles fucked around with this message at 20:07 on Apr 24, 2013 |
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Apr 24, 2013 20:04
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I'm sure there are services in the area that will help you find a place. I used one when I moved to San Antonio. Called an 'Apartment Finder' told him what I wanted and how close I wanted to live to work and they found me a nice place I was happy with.
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Apr 24, 2013 20:41
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I like turtles posted:That was what I had figured initially, and am back to figuring, but I guess I just had a tantrum of "gently caress you landlords, I'll just buy my own house instead, how about that?" because I haven't found the right place... on the internet... from 1000s of miles away. I've posted a CL housing wanted ad specifying what I want, we'll see if that gets any hits.
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Apr 24, 2013 20:43
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I like turtles posted:That was what I had figured initially, and am back to figuring, but I guess I just had a tantrum of "gently caress you landlords, I'll just buy my own house instead, how about that?" because I haven't found the right place... on the internet... from 1000s of miles away. I've posted a CL housing wanted ad specifying what I want, we'll see if that gets any hits. Try Padmapper if you haven't already. It made finding a apartment so easy for me coming from 2,000 miles away.
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Apr 24, 2013 21:51
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This is not what you want to see when you order a cashier's check two days before closing I called them and they said it's fine and the check still has all the information that it needs but I'm going to be losing sleep between now and closing Friday 
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Apr 24, 2013 22:39
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Definitely, if I was looking for a rental apartment I think I'd be all set, there are quite a few around, but I've gotten spoiled on renting single family homes and that makes it more tricky, unfortunately.
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Apr 24, 2013 23:10
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resident posted:I've heard this same story from a couple people in the Seattle area, but they ended up just giving up and sticking with renting. I'm going to be moving out in about a month, and I may join the housing Battle Royale at some point in the next year because Microsoft will pay closing fees. When you shop for a loan, be sure to mention that Microsoft will be paying your costs. That makes your loan a 'Relocation' loan and qualifies you for special deals. Major banks like Wells Fargo and Bank of America bend over backwards for their corporate accounts.
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Apr 25, 2013 02:01
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I like turtles posted:Definitely, if I was looking for a rental apartment I think I'd be all set, there are quite a few around, but I've gotten spoiled on renting single family homes and that makes it more tricky, unfortunately. Padmapper and apartment finders can both be helpful in this regard. +1 for not buying in an area you don't know unless you're like, loaded or have a really stable job and don't care so much about location, I guess.
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Apr 25, 2013 02:04
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Jose Valasquez posted:This is not what you want to see when you order a cashier's check two days before closing My wife picked up the cashier's check today for our closing on the 30th. I had to double check it after seeing that. I'm also having trouble not writing "for sensual massage" in the memo area of the check.
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Apr 25, 2013 02:24
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borkencode posted:My wife picked up the cashier's check today for our closing on the 30th. I had to double check it after seeing that. That would be one expensive hooker.
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Apr 25, 2013 02:26
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ExtrudeAlongCurve posted:That would be one expensive hooker. It's important to have a skilled hooker who really knows the marketplace and is an expert negotiator. You wouldn't trust an unskilled financial advisor with your fortune, so why would you trust a novice hooker?
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Apr 25, 2013 04:58
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My financing requires two appraisals because I'm buying a flip. First came back over sales price, which is "good" I guess...
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Apr 25, 2013 17:11
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