Home Buying & Real Estate Thread

[SneakerProSr.]

How tf does somebody pay 250k over asking price? Wow

Just the change in interest rates have made homes 7.5% less affordable over the past couple months. Someone that was looking at a $500k mortgage at 3.5% can now only afford $462,500 at 4.25%

If I got quoted a rate in March am I still going to get that rate now?

 

[jjs07]

How tf does somebody pay 250k over asking price? Wow

Just the change in interest rates have made homes 7.5% less affordable over the past couple months. Someone that was looking at a $500k mortgage at 3.5% can now only afford $462,500 at 4.25%

If I got quoted a rate in March am I still going to get that rate now?

I think it depends on if you were locked in. However, I think after a certain amount of time all of your info (credit, etc.) has to be re-verified....

 

[capital sb]

If I got quoted a rate in March am I still going to get that rate now?

Only if you rate locked, but even if you did I'm pretty sure it's too late. Every lender has different terms and conditions for how early you can rate lock but I believe 90 days is the max.

 

[SneakerProSr.]

Naw wasn't locked in.

My house isn't going to be done until August

Earliest I could lock in is 60 days before closing.

My loan officer is locking it in next week but I'm assuming it's going to be higher than I was quoted but my credit score has jumped 50 points since then hopefully there isn't a huge difference

 

[capital sb]

Naw wasn't locked in.

My house isn't going to be done until August

Earliest I could lock in is 60 days before closing.

My loan officer is locking it in next week but I'm assuming it's going to be higher than I was quoted but my credit score has jumped 50 points since then hopefully there isn't a huge difference

I'm dealing with the same situation now it really sucks. Hoping to lock under 4%. Do they have to pull your credit again? From what I understand if you were met minimum requirements and it hasn't been past 90 days (or 120 not sure which one) they don't pull again.

 

[SneakerProSr.]

Naw wasn't locked in.

My house isn't going to be done until August

Earliest I could lock in is 60 days before closing.

My loan officer is locking it in next week but I'm assuming it's going to be higher than I was quoted but my credit score has jumped 50 points since then hopefully there isn't a huge difference

I'm dealing with the same situation now it really sucks. Hoping to lock under 4%. Do they have to pull your credit again? From what I understand if you were met minimum requirements and it hasn't been past 90 days (or 120 not sure which one) they don't pull again.

Yeah they pull again, hell they pulled twice last week.

I don't mind because it can only work in my favor. They deleted the pull have did back March

 

[John Wick]

anybody here thinks moving into a community that has CDD Community Development District fee every month is a good idea?

 

[crcballer55]

 

 

How tf does somebody pay 250k over asking price? Wow

Just the change in interest rates have made homes 7.5% less affordable over the past couple months. Someone that was looking at a $500k mortgage at 3.5% can now only afford $462,500 at 4.25%

If I got quoted a rate in March am I still going to get that rate now?

Probably not. Most rate locks are for a 30-45 day period unless you pay for an extended lock. You're already at least 90 days out, so the risk to the mortgage company is a lot more, so locking in a rate that long probably isn't worth it.

 

[sneaker savant]

^^^^ I get that
What I'm saying is how somebody can willingly pay 42% above the "asking price"

I know it goes to the highest bidder, but **pusha t voice** uuuuuughhhk

This is the San Francisco Bay Area - the housing market out here is absolutely insane. This isn't new...it has been this way for years...city planning for this area is clearly not working. 

And with all the technoratti moving to the Bay and the severe shortage of new construction - I doubt it's going to get any better any time soon.

I've been looking at houses for well over a year and every single one goes AT LEAST 10% above asking price and an average of at least 20% above asking in my experience.

I saw a place in El Cerrito (of all places) more than a year ago listed at $410k, I called the following day to make a bid and the agent told me he already had 15 bids on it. Ended up going for $670k. A few months ago we saw an apartment in West Oakland (the hood) listed at $575k, I called the following day to make an offer and he told me that the buyer already accepted a pre-bid that he couldn't refuse. Several times I've found houses I liked, hit up the realtor, and found they had already sold or were 'hearing bids' by 'noon today'. It's madness.

If you don't have cash and aren't able to jump immediately, you're out of luck.

 

[zapatohead408]

^^^^ I get that

What I'm saying is how somebody can willingly pay 42% above the "asking price"


I know it goes to the highest bidder, but **pusha t voice** uuuuuughhhk

This is the San Francisco Bay Area - the housing market out here is absolutely insane. This isn't new...it has been this way for years...city planning for this area is clearly not working. 

And with all the technoratti moving to the Bay and the severe shortage of new construction - I doubt it's going to get any better any time soon.

I've been looking at houses for well over a year and every single one goes AT LEAST 10% above asking price and an average of at least 20% above asking in my experience.

I saw a place in El Cerrito (of all places) more than a year ago listed at $410k, I called the following day to make a bid and the agent told me he already had 15 bids on it. Ended up going for $670k. A few months ago we saw an apartment in West Oakland (the hood) listed at $575k, I called the following day to make an offer and he told me that the buyer already accepted a pre-bid that he couldn't refuse. Several times I've found houses I liked, hit up the realtor, and found they had already sold or were 'hearing bids' by 'noon today'. It's madness.

If you don't have cash and aren't able to jump immediately, you're out of luck.

word, but renting is just as tough. Crazy expensive and no write off or benefits.

 

[sneaksoy]

What's up in here fellas, checking in as a new homeowner. I closed at the beginning of the month but have been busy cleaning/fixing/upgrading around the house for the past few weeks I haven't even gotten the chance to check in here on NT.

Couple of notes - I got lucky to buy now when I did, I put 20% down on a conventional loan, 3.7% APR which has already gone up to 4+ around here now. Secondly, I bought a house that I knew would need a little TLC but the space and structure were great for what I paid, I've repainted a bedroom, the living room, and literally just a super thorough cleaning has the place looking like a $15k+ more house than what I paid. About to replace all of the windows in the house which was really the main drawback of the house when I purchased, but I'm pretty excited to have a place I can truly call "my own".

I'm probably only going to live here for about 5-7 years, with my monthly payment being as low as it is + renting a room to a buddy for $300/month I'm hoping to be in position to put another 20% down on a new house in 5-7 and then hold this property as a rental property. The amount of work/money to maintain a house though is not to be slept on... I'm learning that quickly lol.

 

[sneaksoy]

Oh yeah, another note - I got my mortgage through a local bank, closed on time, fees seemed to be reasonable, etc. but I do know they sold it to US Bank. I hope there's no servicing issues but I wouldn't think I'll have any problems.

Oh and I'll post up some pics in about a week once I finish my set up in the basement

 

[akuratl02]

I NEED HELP!!!

Basic details and I'll come back to post pictures or video if necessary.

My grand father has been in a nursing home for about 9 months now .. His bill is $9,000/Mo (roughly depending on how many days that month contains)

We have $200K in short term highly liquid assets, and property in Westchester .. Borderline Scarsdale / New Rochelle.

House is worth about $500K, but we do not want to sell the estate. We would like to renovate and rent out to help subsidize my grand father's nursing bill. The house was built in 1984 ... We definitely need to update kitchen and bathrooms ... 3 bathrooms 1 kitchen and some other smaller upgrades ... How much am I looking at here because if renovating cost too much then I will need to place the house on the market

 

[crcballer55]

I NEED HELP!!!

Basic details and I'll come back to post pictures or video if necessary.

My grand father has been in a nursing home for about 9 months now .. His bill is $9,000/Mo (roughly depending on how many days that month contains)

We have $200K in short term highly liquid assets, and property in Westchester .. Borderline Scarsdale / New Rochelle.

House is worth about $500K, but we do not want to sell the estate. We would like to renovate and rent out to help subsidize my grand father's nursing bill. The house was built in 1984 ... We definitely need to update kitchen and bathrooms ... 3 bathrooms 1 kitchen and some other smaller upgrades ... How much am I looking at here because if renovating cost too much then I will need to place the house on the market

If you're thinking of renting it out, don't worry about renovating the kitchen unless they are more than just cosmetic concerns. Say it costs $4000 to renovate the kitchen and you can get an extra $100/mo. out of the rental, you're talking about 3 1/2 years to recoup your costs. However, if you're thinking of selling, and you could get $5000 or more extra from the house from the renovation, then do it.

However, if your grandfather runs through all of his liquid assets, you will probably have little choice but to sell the home. If nobody is living there and he's going to be in the nursing home until he passes away, I would probably rent it to prevent the sale as long as possible. You've only got about 2 years at the current burn rate, so there aren't many options. He may be able to get medicaire, but I'm not an expert on all of those details.

word, but renting is just as tough. Crazy expensive and no write off or benefits.

The huge advantage of renting in SF is rent control. It's nearly impossible to throw someone out in the city and your rent can only go up by .5%/yr or less.

 

[zapatohead408]

crcballer55

Is that the bay area or just San Francisco? I stay in San Jose and idk what the rules are.

Where do you stay at btw?

 

[crcballer55]

@crcballer55

Is that the bay area or just San Francisco? I stay in San Jose and idk what the rules are.

Where do you stay at btw?

Just SF. Oakland has similar rent control rules too, but they've changed since I've dealt with that area, so I'm not sure what they are today.

I don't live in the Bay, just managed properties there for a bank during the foreclosure crisis, so we had to be on top of everything there.

 

[monstar]

Just SF. Oakland has similar rent control rules too, but they've changed since I've dealt with that area, so I'm not sure what they are today.

I don't live in the Bay, just managed properties there for a bank during the foreclosure crisis, so we had to be on top of everything there.

My man do you think oakland is still a good buy at this point?

 

[crcballer55]

 

Just SF. Oakland has similar rent control rules too, but they've changed since I've dealt with that area, so I'm not sure what they are today.

I don't live in the Bay, just managed properties there for a bank during the foreclosure crisis, so we had to be on top of everything there.

My man do you think oakland is still a good buy at this point?

No idea. I have no knowledge of the housing market there.

 

[stork]

anything in the bay area is a good buy, whole area has seen significant appreciation in value, it's just not affordable for the majority or first time buyers.

 

[akuratl02]

If you're thinking of renting it out, don't worry about renovating the kitchen unless they are more than just cosmetic concerns. Say it costs $4000 to renovate the kitchen and you can get an extra $100/mo. out of the rental, you're talking about 3 1/2 years to recoup your costs. However, if you're thinking of selling, and you could get $5000 or more extra from the house from the renovation, then do it.

However, if your grandfather runs through all of his liquid assets, you will probably have little choice but to sell the home. If nobody is living there and he's going to be in the nursing home until he passes away, I would probably rent it to prevent the sale as long as possible. You've only got about 2 years at the current burn rate, so there aren't many options. He may be able to get medicaire, but I'm not an expert on all of those details.



The huge advantage of renting in SF is rent control. It's nearly impossible to throw someone out in the city and your rent can only go up by .5%/yr or less.

Correct man ... He is a retired officer and also has an income stream of $4K per Mo. on SS + Pension plan, so we technically spend $5K per Mo. in liquid cash out of funds .... But I also have a question pertaining to property tax ... We pay $22K annually ... If rented, can we allocate any of that cost down to the renters or is this always an expense to the owner?

Sorry for the newb questions but I need to devise a plan rather quick in order to make sure that our family business remains in contact ... I'd really hate to give up the estate. And do renters invest in renovating the homes? This is a first for me.

Thank you in advance for any help. Time is an issue which doesn't help.

Updated w/ pics: Please do not mind my pops in the yard

http://s56.photobucket.com/user/akuratl02/media/house1_zpsvihlq3z4.jpg.html

Back Yard View
http://s56.photobucket.com/user/akuratl02/media/house2_zps4jatoyxj.jpg.html

 

[HEATHEN]

Hell nah renters don't invest in renovating homes bro. That includes repairs and landscaping. Thats entirely on yall.

Upkeep and removation is wholly on the property owner, they just have to be responsible enough to make sure not to break anything.

As for taxes, that you reflect in the monthly rental bill.

Crunch the the numbers and find a number that will satisfy the taxes. You can reflect the cost of landscaping and upkeep in the monthly bill but please don't come up with a number and then harass your tenant for any money not initially agreed upon.

 

[akuratl02]

Hell nah renters don't invest in renovating homes bro. That includes repairs and landscaping. Thats entirely on yall.

Upkeep and removation is wholly on the property owner, they just have to be responsible enough to make sure not to break anything.

As for taxes, that you reflect in the monthly rental bill.

Crunch the the numbers and find a number that will satisfy the taxes. You can reflect the cost of landscaping and upkeep in the monthly bill but please don't come up with a number and then harass your tenant for any money not initially agreed upon.

Thank you for the info man. Repped.

 

[stork]

 

[crcballer55]

 

If you're thinking of renting it out, don't worry about renovating the kitchen unless they are more than just cosmetic concerns. Say it costs $4000 to renovate the kitchen and you can get an extra $100/mo. out of the rental, you're talking about 3 1/2 years to recoup your costs. However, if you're thinking of selling, and you could get $5000 or more extra from the house from the renovation, then do it.

However, if your grandfather runs through all of his liquid assets, you will probably have little choice but to sell the home. If nobody is living there and he's going to be in the nursing home until he passes away, I would probably rent it to prevent the sale as long as possible. You've only got about 2 years at the current burn rate, so there aren't many options. He may be able to get medicaire, but I'm not an expert on all of those details.



The huge advantage of renting in SF is rent control. It's nearly impossible to throw someone out in the city and your rent can only go up by .5%/yr or less.

Correct man ... He is a retired officer and also has an income stream of $4K per Mo. on SS + Pension plan, so we technically spend $5K per Mo. in liquid cash out of funds .... But I also have a question pertaining to property tax ... We pay $22K annually ... If rented, can we allocate any of that cost down to the renters or is this always an expense to the owner?

Sorry for the newb questions but I need to devise a plan rather quick in order to make sure that our family business remains in contact ... I'd really hate to give up the estate. And do renters invest in renovating the homes? This is a first for me.

$22k/yr in tax?! geez! It's that very reason I'm thankful California passed prop 13 limiting property taxes to increase 1%/yr, but I digress.

Taxes all depend how you want to structure the deal. If you're trying to rent it so it's not a negative cash flow situation, you'll try to bundle it in the tenants rent. But being $1800/mo JUST in taxes, it seems like you may be hard pressed to come out ahead on this whole deal unless his home is completely paid for. You'll need at least a $500 or so margin each month to allocate to repairs on the property to if/when you need to take care of them.

Generally if you're going to ask tenants to make any repairs, you'll give them a break on their rent of equal or greater value than the cost of the repairs. If you do allow them to do repairs, make sure they get everything cleared by you first and get the terms written in the rental contract so they can't buy the premium version of whatever they want.

 

[dam itz lou]

what are the pros and cons of Fannie Mae home path properties ?