Buying a house

[DaFace]

We just put an offer in on one this evening. I'm a n00b at this home buying thing, and this whole "sit and wait to hear back from them" is nerve racking!

That's about all I got. Carry on with your Vrabel debates.

[Fritz88]

We just put an offer in on one this evening. I'm a n00b at this home buying thing, and this whole "sit and wait to hear back from them" is nerve racking!

That's about all I got. Carry on with your Vrabel debates.

good luck.

when i saw the two word title i thought it was another deal we made "verbal a chief"...

it's a good time to buy. if they know you are serious about it, they will actually lower prices..

[Bugeater]

Details? Newer? Older? Ranch? Multi-level?

[DaFace]

good luck.

when i saw the two word title i thought it was another deal we made "verbal a chief"...

it's a good time to buy. if they know you are serious about it, they will actually lower prices..

Yeah, that's what we're hoping. We came in low, but not dramatically so. The only issue from our POV is that we found it the day after they listed it, so it's only been on the market 3 days. Hopefully they'll consider themselves lucky rather than thinking they can get something better if they wait.

[DaFace]

Details? Newer? Older? Ranch? Multi-level?

1997
Two-story with a full basement
4 bed, 2.5 bath
1500 sq ft plus 700 of finished basement

If anyone is actually interested enough, PM and I'll send you the listing info.

[Buck]

DaFace, get it done.

[Hog's Gone Fishin]

What's your credit score ?

If it's over 700 then YOU call the shots. YOU tell them what the interest rate will be and YOU tell them when to talk and when to STFU !

Good Luck!!!

[DaFace]

What's your credit score ?

If it's over 700 then YOU call the shots. YOU tell them what the interest rate will be and YOU tell them when to talk and when to STFU !

Good Luck!!!

No problem there. We're both at around 760. The loan certainly isn't the issue.

[Saul Good]

2 pieces of unsolicited advice:

1. Don't fall in love with any house and mentally move in before you close.

2. If a realtor tells you not to make too low of an offer for fear of offending the seller, punch her in the face.

[Bugeater]

1997
Two-story with a full basement
4 bed, 2.5 bath
1500 sq ft plus 700 of finished basement

If anyone is actually interested enough, PM and I'll send you the listing info.
Damn, Rain Man must be paying you way too much.

[DaFace]

Damn, Rain Man must be paying you way too much.

Heh...well, I can't complain too much. That, plus it helps that the housing market is in the shitter. I saw in the paper a month or so ago that home prices in Denver dropped an average of 18% in the past year.

[DaFace]

2 pieces of unsolicited advice:

1. Don't fall in love with any house and mentally move in before you close.

2. If a realtor tells you not to make too low of an offer for fear of offending the seller, punch her in the face.

Not an issue in either case, but thanks for the advice.

[ArrowheadMagic]

is the bid near the appraisal? 3 days in will normally keep them from straying too far from their asking price, depends on the market there.

[Hog's Gone Fishin]

Normally , the rule of thumb is to offer 10% below. But in todays economy there are sellers just wanting out from under the payments. I've bought about 20 houses inmy lifetime and still have 19 of them. I had a guy offer me his house yesterday for payoff, he said 73,000 on a 90,000 house but I wasn't interested.

[DaFace]

is the bid near the appraisal? 3 days in will normally keep them from straying too far from their asking price, depends on the market there.

Depends on what appraisal. If you go off of what the county has on file, it was already listed at about 10 percent less than appraisal, and we offered below that. Of course, that could be out of date at this point.

[Bugeater]

Depends on what appraisal. If you go off of what the county has on file, it was already listed at about 10 percent less than appraisal, and we offered below that. Of course, that could be out of date at this point.
You mean the assessed value? Hell, assessed values were running 10-20% lower than sale prices around here just a couple years ago. I have no idea what's happening now though.

[DaFace]

You mean the assessed value? Hell, assessed values were running 10-20% lower than sale prices around here just a couple years ago. I have no idea what's happening now though.

Ah, yeah. That too. [/house buying n00b]

[Bugeater]

"Assessed value" is the value the county places on your home to figure your property tax. It's normally not an accurate reflection of the true market value of the house.

[kstater]

"Assessed value" is the value the county places on your home to figure your property tax. It's normally not an accurate reflection of the true market value of the house.

Yeah my truck currently "assesses" at around $800. I could sell it for many multiple times that.

[ArrowheadMagic]

Always good to get an actual value of the house when submitting a bid, but with today's market, probably changes too much.

[BucEyedPea]

The house across the street from me sold for $232k...down a $100k from the crazy highs all made on paper.

[ArrowheadMagic]

Look at what the previous owner bought it for and find out what updates, if any, they made.

[nstygma]

a lot of times people are emotionally attached to their homes and get offended if you offer low. i've known of people to write cover letters for their offer talking about their family and aspirations, etc. i've even heard of sellers taking a lower offer because of the cover letter, when a higher offer was on the table, just because the story pulled on a few heart strings.

[BucEyedPea]

a lot of times people are emotionally attached to their homes and get offended if you offer low. i've known of people to write cover letters for their offer talking about their family and aspirations, etc. i've even heard of sellers taking a lower offer because of the cover letter, when a higher offer was on the table, just because the story pulled on a few heart strings.

Smart marketing. We buy things emotionally...justify it analytically.
I get too attached to my home and go into grief when it's sold.

[BucEyedPea]

Around here the houses were over assessed because Florida is one of the worst state's for the housing crisis...'er boom. They were so artifically inflated. Now the papers talk about people wanting the local govts to re-assess lower.

[Saul Good]

Look at what the previous owner bought it for and find out what updates, if any, they made.That's not even relevant anymore given the state of the housing market. It could be worth 25% less than what someone paid for it just a few years ago.

I wouldn't even consider making a major purchase unless I felt like I absolutely, unequivocally stole it.

When I buy a used car, for example, I don't even acknowledge the asking price. I do a little research and try to figure out what the dealer paid for it assuming that the dealer ripped off the seller. Then I make the dealer negotiate up from that price. If you start at the asking price and negotiate the dealer downward, you've already lost.

The same is true for houses, but the tough part is finding the bottom point that would correspond to the trade-in price. What you really want to do is figure out what the seller owes on the house. That is probably their absolute bottom dollar. If the seller owes more than the house is worth, they can't give you a good deal because they would have to either short-sell it or write a check to the bank after selling the house.

If you can determine when the sellers bought the house and how much they paid for it, you can figure out about what they owe on the house assuming that they have not refinanced or otherwise tapped the equity. Your goal should be to find a seller that has a lot of equity in the home. That way you can establish a lower floor.

[el borracho]

Just remember, you can't say "homeowner" without saying "homo."

[ArrowheadMagic]

That's not even relevant anymore given the state of the housing market. It could be worth 25% less than what someone paid for it just a few years ago.
.

True, but it was built in 1997, still possible to be a 1 owner house. Goes along the line of equity and whats still owed on the house. Now if it was someone flipping it, after 3 days, they will turn it down without a counter offer.

[StcChief]

Damn, Rain Man must be paying you way too much.or Not enough....

[Saul Good]

True, but it was built in 1997, still possible to be a 1 owner house. Goes along the line of equity and whats still owed on the house. Now if it was someone flipping it, after 3 days, they will turn it down without a counter offer.If you are talking about trying to use that information in order to determine what the current owners still owe on the house in order to establish the lowest price that they could accept without being upside down, then I agree with you. My disagreement had to do with using that information in order to establish fair market value for the house. I may have made an incorrect inference into your point.

[1ChiefsDan]

Pretty decent site to check home values www.zillow.com (http://www.zillow.com)

[ArrowheadMagic]

If you are talking about trying to use that information in order to determine what the current owners still owe on the house in order to establish the lowest price that they could accept without being upside down, then I agree with you. My disagreement had to do with using that information in order to establish fair market value for the house. I may have made an incorrect inference into your point.

Yeah wasnt trying to say that, just have it appraised see when it was last bought and at what amount, figure in any upgrades by the previous owner. Hell, find out WHY they are selling, moved, bought another house in-town ..etc.

[Saul Good]

Yeah wasnt trying to say that, just have it appraised see when it was last bought and at what amount, figure in any upgrades by the previous owner. Hell, find out WHY they are selling, moved, bought another house in-town ..etc.I'll go you one further. Look for a house with no furniture. If they have already moved out, they may have bought another house. Nothing motivates a seller like carrying 2 mortgages.

[ArrowheadMagic]

I'll go you one further. Look for a house with no furniture. If they have already moved out, they may have bought another house. Nothing motivates a seller like carrying 2 mortgages.


Heh, yeah, always a good sign. But we are talking 3 days on the market in this case. Be interesting to see if he gets a counter.

[DaFace]

Pretty decent site to check home values www.zillow.com (http://www.zillow.com)

Yep, I found that earlier today. According to them, this place has dropped 25k in value in the past two years. Ouch.

[Saul Good]

Yep, I found that earlier today. According to them, this place has dropped 25k in value in the past two years. Ouch.What percentage does 25k represent? It's your job to drop it another 25. That site shows my house at exactly what I paid for it, so they must get their numbers based off of sale prices if the house sold recently.

If that's the case with your house, it's probably reasonable to assume that the value listed on Zillow is inflated by at least the amount of closing costs. It's pretty common for buyers to have the seller pay the closing costs, thus inflating the sale price by an equal amount.

[Bugeater]

Yep, I found that earlier today. According to them, this place has dropped 25k in value in the past two years. Ouch.

Hmmm...that site only gave the assessed value of my home from 2005, and it's gone up $25K since then. They also have the school info wrong.

[Bugeater]

Where are you guys finding your actual home values on there?

[nstygma]

Where are you guys finding your actual home values on there?they call it a zestimate and it shows up when you enter your address. if it doesn't show up, the property is likely in a county that doesn't release their tax info for free, such as johnson county KS. in which case, they just show the tax appraisal.

here's another good site: http://www.realquest.com/

[DaFace]

Hmmm...that site only gave the assessed value of my home from 2005, and it's gone up $25K since then. They also have the school info wrong.

Yeah, it's definitely a guesstimate. It's pretty far off on a few I know about (family members, etc.).

[Bugeater]

they call it a zestimate and it shows up when you enter your address. if it doesn't show up, the property is likely in a county that doesn't release their tax info for free, such as johnson county KS. in which case, they just show the tax appraisal.

here's another good site: http://www.realquest.com/
Ahh, here's what mine says:
<dl><dt>Where's the Zestimate?</dt><dd>County transactional data for this home is insufficient so we cannot calculate a Zestimate. But we are adding data all the time, so be sure to come back.</dd></dl>

[Rain Man]

1997
Two-story with a full basement
4 bed, 2.5 bath
1500 sq ft plus 700 of finished basement

If anyone is actually interested enough, PM and I'll send you the listing info.

This is what makes me mad. If slavery was still legal, this house would be mine.

[KChiefs1]

I have a house for sale in Columbia Mo if anyone is interested....

[007]

1997
Two-story with a full basement
4 bed, 2.5 bath
1500 sq ft plus 700 of finished basement

If anyone is actually interested enough, PM and I'll send you the listing info.:eek:Rainman pays well.:clap:

[007]

they call it a zestimate and it shows up when you enter your address. if it doesn't show up, the property is likely in a county that doesn't release their tax info for free, such as johnson county KS. in which case, they just show the tax appraisal.

here's another good site: http://www.realquest.com/Crap, they are overvaluing our home again.

EDIT

Wait. Where does this site get their numbers from? Just checked my property value through the county and it is 15k less there. Much closer to where it should be.

[patteeu]

Damn, Rain Man must be paying you way too much.

DaFace, don't read this spoiler because if you do, it won't be a surprise. I heard a rumor that Rain Man's going to cut his staff if he doesn't get a stimulus rebate and that DaFace is at the top of the list. I think he's just waiting until this house deal closes before he drops the ax.
Good luck, DaFace.

[nstygma]

Wait. Where does this site get their numbers from? Just checked my property value through the county and it is 15k less there. Much closer to where it should be.i'm guessing the same place zillow does, they just use a different formula for value or better comps maybe

[Stewie]

2 pieces of unsolicited advice:

1. Don't fall in love with any house and mentally move in before you close.

2. If a realtor tells you not to make too low of an offer for fear of offending the seller, punch her in the face.

My niece and her husband put their house on the market about a month ago and had an interested buyer right away. They were offered 18% below their asking price and the realtor told them, "That's an insult!" So the deal didn't happen. Their house is priced too high IMO and I think they missed out on getting the thing sold. I told my niece if I were a buyer in this market I'd insult as many sellers as possible until I got a house at a price I thought was fair.

[mlyonsd]

1997
Two-story with a full basement
4 bed, 2.5 bath
1500 sq ft plus 700 of finished basement

If anyone is actually interested enough, PM and I'll send you the listing info.

Send it to me, that sounds exactly like what we're looking for. Have they accepted your bid yet?

j/k

[Saul Good]

I hope they gave their realtor a good stabbing.

[DaFace]

For what it's worth, they did counter, but it was VERY minor, so we're now under contract! Now we get to deal with all the other fun stuff....

[Bugeater]

Congrats! Soon you'll be cussing about having to shovel snow and mow the lawn just like the rest of us!