Jump to content

Recommended Posts

The wife and I have been looking at houses as of late and are going to take the plunge soon methinks. She's really been doing the research. I call it her porn because she pours over classifieds, websites, etc. and I'm constantly catching her lol! She finally has me up and out looking at houses and we found one that although needs work, is well within our means and has major potential. I would have to have the basement finished and a shower put in on the second bathroom at the start. All other renovations could be 5 -8 years down the road. All the while we gain equity I guess.

 

Being that its our first time in the market I was wondering if anyone had any words of wisdom or good stories to share. Its a big step and exciting but certainly a lil scary. What are the ups, downs, good, bad, ugly? I'm sure there are a lot of stories out there.

 

Thanks all. . .

Link to post
Share on other sites

This is the right time to be looking. We bought while the bubble was still bubbling, and while we haven't been affected too horribly by the collapse of home prices, I cringe when I think about how unfortunate our timing turned out to be.

Link to post
Share on other sites
This is the right time to be looking. We bought while the bubble was still bubbling, and while we haven't been affected too horribly by the collapse of home prices, I cringe when I think about how unfortunate our timing turned out to be.

Me, too. Oh well. What can you do?

 

Advice? Uhhhh.... Ummmmm...

 

Don't go subprime with a shaky bank?

 

Make sure you'll still have a source of income 5, 10, 15 years down the road?

 

Only buy a point if you'll stay in the house minimum 10 years?

Link to post
Share on other sites

Well we are both in education. She teaches 9th Grade Physics and I'm a 7th Grade Dean of Students. . . so we are set in that regard. Talked to the mortgage banker today and it looks good for us as our credit scores are tip top. It is a good market it seems...

Link to post
Share on other sites

One thing I learned watching HGTV (take that for what it's worth) is that if you think a home is overpriced, ask the seller to get an appraisal. Let them know if the appraisal comes in at their asking price, you'll buy the house, if not, both parties can start from scratch. You would then reimburse the seller at closing since you would need to get an appraisal anyways.

 

What happened on the show I was watching was that the house was listed for $414K but the realtor said that that was way higher than any of the comps in that neighborhood by like $30K, I think. The buyers offered $390K and the sellers countered with $400K. So they did the appraisal thing and it only appraised at $370. The buyers ended up getting it for $375K.

 

A lot of banks, especially now, won't go through with a loan if the appraisal comes in much less than what the house is selling for. So these people lucked out when it came in so much lower. I think the sellers realized that they would never be able to sell it at $400K and were happy to get $375K.

 

I've never heard of that being done before, but it made sense...

Link to post
Share on other sites

I am in HGTV Hell!!!! Its all my wife watches....she's really feeling the need to nest I guess. I'm all for it and go along with the flow. Some of the shows are really informative and some are redonk! Unfortunately for us they are all nice cozy places that look awesome. Too bad they don't do Brooklyn! That's where we are buying. I'm not knockin my hood its just...ugh. And what some of the houses they get for the money in other parts of the country are pretty awesome. But then again as an educator I wouldn't be making the money as I am here in the NYC schools...but I digress...I'm in HGTV Hell!!! :frusty

Link to post
Share on other sites

I bought a house in July.

 

The central air unit quit, my insurance dropped me, my roof is leaking, the oven quit working, the word fuck was burnt into the carpet (the previous owner hid it with a rug).

 

I don't understand the excitement people feel when they move into a new home. The thought of a 30 year mortgage made me want to vomit.

 

My wife says I'm negative so my opinion means nuthin.

 

On a positive note it is a great time to buy.

Link to post
Share on other sites

we just tried to buy a house and found out that the drain line running under house was broken. In order to fix it, we would have to rip up the basement floors... which were asbestos tile. and the drain line breakage was right under the old cool bar in the basement, so it would have to be destroyed.

 

come to find out the seller knew about this, failed to disclose, and I was out $600 on asbestos and drain line testing/inspection.

 

be careful and get a really good home inspector.

Link to post
Share on other sites
we just tried to buy a house and found out that the drain line running under house was broken. In order to fix it, we would have to rip up the basement floors... which were asbestos tile. and the drain line breakage was right under the old cool bar in the basement, so it would have to be destroyed.

 

come to find out the seller knew about this, failed to disclose, and I was out $600 on asbestos and drain line testing/inspection.

 

be careful and get a really good home inspector.

 

 

There is a house down the street right now from where I live that is for sale ($119, 000 dollars). The house is actually condemned. I looked it up online, and noticed there is no mention of it being condemned.

Link to post
Share on other sites

Like everybody said, it's a great time to buy. One of the smartest decisions I ever made was buying instead of renting as early as possible. I have actually liked every house I ever lived in, even the starter one that was constant work. Good luck in your hunt!

Link to post
Share on other sites

Thank you all - it is quite the journey...lots of unexpected stuff I'm finding. Everything is expensive. It was a lot easier when we's was kids...the simpler times...

 

We have a very close friend who is a top notch sought after home inspector...my father actually drove him from NYC to Albany to take the exam...so he'll certainly set us straight! The inspection is the most important part I think.

Link to post
Share on other sites

I owned a house when I lived in TN. do not count on equity. and beware of using equity. a financial adviser once told me do not think of a house as an investment, think of it as a residence. why would you gamble with your residence. i have seen many houses get over inflated on their appraisals from the banks so the bank could lend money for equity. after the housing bubble burst, so did the values of the houses. a lot of people used the magical equity/counted on the house being worth a lot more later and now they owe more $ than what the houses are worth.

 

ask for a home warranty as part of the contract on the house. this is a stipulation that seems to be pretty easy to get and can help out BIG in the first year when you discover things have gone wrong, like HVAC systems going out or plumbing problems show up.

 

make sure your home inspector walks the roof, crawls the basement, checks the electrical system, and checks the plumbing.

 

talk to neighbors if you can. you can learn a lot about a house from the neighbors.

 

make sure you have someone that can physically help you with repairs and maintenance. since you're married, that is sorta built in. when i owned my house, it was very difficult sometimes to do minor/major repairs alone (no one to hand you that screwdriver or help with heavy lifting). i ended up working out a barter system with neighbors and friends to help me with stuff.

 

good luck!

Link to post
Share on other sites
I owned a house when I lived in TN. do not count on equity. and beware of using equity. a financial adviser once told me do not think of a house as an investment, think of it as a residence. why would you gamble with your residence. i have seen many houses get over inflated on their appraisals from the banks so the bank could lend money for equity. after the housing bubble burst, so did the values of the houses. a lot of people used the magical equity/counted on the house being worth a lot more later and now they owe more $ than what the houses are worth.

 

ask for a home warranty as part of the contract on the house. this is a stipulation that seems to be pretty easy to get and can help out BIG in the first year when you discover things have gone wrong, like HVAC systems going out or plumbing problems show up.

 

make sure your home inspector walks the roof, crawls the basement, checks the electrical system, and checks the plumbing.

 

talk to neighbors if you can. you can learn a lot about a house from the neighbors.

 

make sure you have someone that can physically help you with repairs and maintenance. since you're married, that is sorta built in. when i owned my house, it was very difficult sometimes to do minor/major repairs alone (no one to hand you that screwdriver or help with heavy lifting). i ended up working out a barter system with neighbors and friends to help me with stuff.

 

good luck!

 

I have found out that home warranties have tons of loopholes...in theory they are good but it is also hard to act upon.

 

Also don't forget if you are a first time home buyer and buy by Nov 1 (I think) you get an $8,000 tax credit!

Link to post
Share on other sites

Matty, I agree with alison. A reputable home inspector is critical, especially if you are buying an older home. Make sure that they belong to the professional organization and get references. We had an excellent one who saved us alot of problems when we bought our 1928 bungalow almost 5 years ago. He identified some problems, one structural, that the seller fixed prior to the contract being signed. Our inspector came back out and was satisfied. It was money well spent.

 

My wife and I are also teachers, high school.

 

edit> I should have kept reading past Alison's post. You've got the inspector covered. :cheers

Link to post
Share on other sites
I have found out that home warranties have tons of loopholes...in theory they are good but it is also hard to act upon.

 

the home warranty folks will always want to repair something (even if it is a 50 year old failed hvac system) before replacing it. be firm and don't accept subpar workmanship or something not in your best interest with a home warranty company and it all works out. aside from some loopholes, overall though, i think it is worthy to request it of the current owner, the cost is minimal to the seller and may or may not come in handy, at no loss to the buyer.

Link to post
Share on other sites

Even if you buy a house that is new construction, get an inspection. Had we done that, we probably wouldn't have had a pipe burst because the builder "forgot" some insulation in the attic space above the garage and our roof wouldn't have leaked because the roofer didn't seal some holes left when they put the shingles on.

Link to post
Share on other sites

We do have the home inspector all lined up. We were actually only a handful of people invited to his recent wedding - very small. So we would trust him with anything. We're looking in Marine Park where I grew up and also in Gerritsen Beach. The home we really like is there so we're going to scope out the house and all that. My aunt and uncle live up the road so that's cool. Its a real tight knit community (almost too tight) and it, like many other hoods, has its pluses and minuses. So we'll see...

 

I'm not too handy but have a lot of friends that I've helped out in the past. Mostly my free labor for them so if I can turn that around for their skilled craft so much the better. I was also younger then when my friends bought! =P

 

The wife is actually meeting with the mortgage broker this afternoon - I took the day off because my mother is getting both knees replaced! Yikes! So a big day. Have a good one all and thanks for all the responses.

Link to post
Share on other sites
If you know of some deals (or good contractors etc) hook me up. I need to redo a bathroom (new counters, shower, tiles, lighting, mirror, the works)...

 

:thumbup

 

 

friends on forest rd in what i guess would be fanwood (probably just over westfield ave from you) just did their kitchen and a bathroom, i think. i haven't talked to them in awhile but i'll ask about their contractor.

Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
×
×
  • Create New...