# Buying a House



## Saphellae (Sep 24, 2008)

Does anyone have any advice for me? We are looking to buy a house.  Just looking for generic tips and hints 

As for me, I hope we can get a good deal on one that we are really interested in. Check out the kitchen, all appliances included too.. It's amazing (for me, coming from tiny kitchens lol)







My stand mixer will fit just to the left of the stove....


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## roadfix (Sep 24, 2008)

That's very nice.  What are single family homes going for these days where you're at?

My step-daughter is in the market for buying her first home here in LA but I'm telling her to wait as home prices are still dropping.  But on the other hand, 30-year fixed mortgage rates are starting to look very attractive again.


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## GB (Sep 24, 2008)

My advice is do not make your decision based on emotion. Look at a number of places before making a decision. 

We fell in love with our first house and decided we wanted it even though both sets of parents told us it was going to be too small for us in no time. Well 5 years later we are realizing they were right. We are very happy here and do not regret buying this house, but we will need to find someplace bigger within a few years.


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## Saphellae (Sep 24, 2008)

This place is 3 bedroom, two story with partially finished basement (needs ceiling and floor, wall covering, but is all concrete so good for storage and laundry). It's a semi attached condo, end unit, over 1000 square feet, private backyard. There are condo fees, but we dont have to mow the lawn or anything, and the roof, driveway, etc are covered so we don't have to worry about replacing a roof... lol

That one is asking for 139,400. It's in a nice family neighborhood on a bus route. The kitchen is a huge plus for me. It is newly painted, all hardwood floors which is a bonus we both have allergies. It looks great.  I can even put a small garden in the back 

And we could get KITTIES!!!!!!!!!!!!!!!!!
*jumps up and down*


Erm, edit.. got too excited and went off track, sent it before i was done lol.

We are looking at a bunch of places on friday evening with our real estate agent.


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## pdswife (Sep 24, 2008)

Never take the first one!!
 Keep looking because that dream house is around the corner.


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## Saphellae (Sep 24, 2008)

THis was the second one  lol


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## roadfix (Sep 24, 2008)

Saphellae said:


> THis was the second one  lol


Look at least a dozen homes so you get the general idea and feel.  
It also helps to pre-qualify for a home loan.  This saves some time and gives you a realistic range of price on homes you should be looking at.


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## pdswife (Sep 24, 2008)

If at all possible make the down payment large enough so you don't have
to pay morgage insurance every month.


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## GB (Sep 24, 2008)

pdswife said:


> If at all possible make the down payment large enough so you don't have
> to pay morgage insurance every month.


Oh let me second this advice. This will save you a lot in the long run!


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## Saphellae (Sep 24, 2008)

We are putting a down payment but not 25%. We'll be paying insurance.

There isn't alot left in our price range that we are interested in now, everyone is buying up places because on October 15th you will no longer be able to get a 0% down mortgage.


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## jkath (Sep 24, 2008)

My best advice is to have the home inspected by a qualified inspector before you make your decision. He may find things you'd never know till too late, or he may tell you that the place is very sound and in great working order. 

Also, if you know anyone who has a relative who has been in the construction business for a long time, ask them to come take a peek. My dad was really helpful when we were buying our first house. He saw things and possibilities (and would-be disasters) that we never thought of.


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## roadfix (Sep 24, 2008)

jkath said:


> My best advice is to have the home inspected by a qualified inspector before you make your decision. He may find things you'd never know till too late, or he may tell you that the place is very sound and in great working order.



I should also point out that for an unbiased inspection report, the OP should find her own inspector, not the one recommended by her agent.


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## Saphellae (Sep 24, 2008)

We are definitely going to have whatever place we decide on inspected. It is a regular clause to have in the buying contract that the sale is pending until a successful home inspection is completed.


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## Adillo303 (Sep 24, 2008)

jkath - very sage advice. I would check the inspector out as well. The one that inspected my current house missed that the oven was not working, the bathtub in the downstairs bathroom didn't drain, and that the downstairs bathroom was illegal to begin with. Moved in just before Thanksgiving, Imagine an oven not working for turkey day.

AC


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## love2"Q" (Sep 24, 2008)

first congrats .. buying your first home is a very exciting 
and frustating thing ...
get a home inspector (as already said) 
and walk through with the inspector .. 
check everything .. ask lots of questions ..
and take your time ..


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## Barbara L (Sep 24, 2008)

I tend to only see the good things when I look at a new house or anything. Purposely try to find some bad points, then take some time to decide whether you can live with them or not. Also, make a list of "must haves" and "like to haves" before checking out any more houses. 

Barbara


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## David Cottrell (Sep 24, 2008)

Buy the best location you can comfortably afford and I underline financially comfortably afford. Put down as much as you can - at least 20%. Choose an inspector whose credentials you have checked. In addition, before you put your name on documents that commit you, be sure you hire an appraiser to determine market value and be careful about that - prices are inflated on bunches of houses that won't sell because of the financial condition. That is different from a inspection of the physical house.

Against my advice my daughter paid top dollar for a cute little house - not terribly expensive but inflated in price - this about five months ago. Guess what, the hospital is now cutting back on her nurse's hours and she is starting to feel the pinch. She just told me that a real estate agent is coming by there tomorrow to talk about listing. Is she going to lose money? Yes.

You said it yourself - you are about to overpay because you are competing against buyers who are putting zero down. That is what has inflated prices over historical fair market values so you are about to over pay only to see the market value of your dwelling decrease as soon as there is no more zero down or 5% down financing. Be careful! 

Good luck!


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## babetoo (Sep 24, 2008)

just want to say, do the prudent thing and then just enjoy the process. it doesn't need to be a chore. buying a house is a happy thing . and it is very exciting!


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## CharlieD (Sep 24, 2008)

Just one basik thing, make sure that payments are no more than a 1/4 of your income.


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## Katie H (Sep 24, 2008)

In the words of my maternal grandfather, "Take it easy; make it nice."

Go slowly and enjoy the process.  Look at lots and lots of properties.  Evaluate the pros and cons of them all and see how they measure up to what you want/need.  Begin as modestly as you can.  Build equity, which will allow you to move up next time.  Rome wasn't built in a day.

And, as CharlieD already said, DO NOT get in over your head.  Don't set yourself up to work just to pay your  mortgage.  There's more to life than that.

Have a great time and best wishes on your adventure.


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## GrillingFool (Sep 24, 2008)

In no particular order:

MAKE SURE your mortgage payment includes your insurance and property tax pro-rated payment, if that is what you want.

Ask the owner about flooding during heavy rains. Turns out our yard becomes a pond in one spot when it rains more than 1 inch. 

Get a home inspection. Do your own. Open every drawer, every closet, look in the heat registers for filth. Check the furnace filter... a filthy one means poor maintenance, might have it checked specially. Look around the hot water heater for leaks, under sinks for leaks, etc. (A home inspector saved us from buying a house with a garage addition that had to be torn down before the house could sell.)

Make sure there are plenty of electrical outlets. Check the fuse box and ask for the circuit breakers to be labeled. 

Ask about the neighbors! Introduce yourself before you buy and ask the neighbors about the owners! (We found out that the people across the street were 36 hour party people with many friends... no thanks.)
Be sure and ask the neighbors about the condo association. How do they respond to claims, are the fees always rising, are the people in charge competent, etc. 

And don't buy a house unless you have a few thousand dollars readily available for emergencies. Things will break just when you had that root canal and had to replace the car's transmission.


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## *amy* (Sep 24, 2008)

I have a condo as well. Find out what the HOA dues are, property taxes, make sure there are no outstanding loans (or liens?) before you close escrow. The realtor may help you with what amount you should offer. (Remember that's the asking price & can be negotiated. All standard stuff, including inspection.) Ask if the seller will pay your closing costs. Noone is buying now, & seller's may offer some incentive. If you were in California, I would have suggested you find out if they have earthquake insurance. We don't :-( True, you don't have to deal with a new roof, but have it looked at anyway. After I moved in, we all had to pay for a new roof. Look at the place during the day, as well as the evening. Factor in the cost of Homeowners' insurance, if you want it. I opened an impound accout last time -- that way the bank deducts your mortgage payment & property taxes. I'm sure I'll think of something, lol. Learn from my mistakes. Best of luck. BTW, last time I bought the first one I saw, because I knew in my gut ,it was the right place, price, location etc, for me.

P.S. You will get a copy of the CC&Rs. Read them BEFORE you close.


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## GB (Sep 24, 2008)

Here is a tip for after you buy. Try to pay more than just your mortgage payment each month. If your monthly payment is $1500 and you pay $1600 instead then it will help a lot at the end of your loan. You can end up taking years off your loan that way and saving a lot in interest.


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## GotGarlic (Sep 24, 2008)

GB said:


> Here is a tip for after you buy. Try to pay more than just your mortgage payment each month. If your monthly payment is $1500 and you pay $1600 instead then it will help a lot at the end of your loan. You can end up taking years off your loan that way and saving a lot in interest.



This is good advice, but in addition, make sure your mortgage allows early repayment - some have a penalty for that.

In addition to checking the yard for wet spots, after a heavy rain, DH called the agent and asked if we could see the house again, before we had made an offer. Then he went right up to the attic to check for leaks. All was well


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## GB (Sep 24, 2008)

GotGarlic said:


> This is good advice, but in addition, make sure your mortgage allows early repayment - some have a penalty for that.


Thanks for mentioning that GG!


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## suziquzie (Sep 24, 2008)

Run every single faucet shower, toilet, etc) and look under sink cabinets and surrounding areas while doing so. 
LOTS of people like to halfway fix things just so they work well enough to sell the house. 
Ask me how I learned this after 2 houses. We have to replace a WHOLE bathroom to fix a shower......


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## B'sgirl (Sep 24, 2008)

Make a checklist and print out a bunch of copies for when you look at houses. It's hard to remember things after you leave the house, and a checklist is faster than writing stuff down. And look closely at the workmanship--how well the carpet was put in, if the cupboards are installed well, the drawers open will, no gaps between the baseboard and the floor and that sort of thing.


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## Saphellae (Sep 24, 2008)

You all have great advice! Thank you so much  I am open to more if anyone wants to speak up!


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## attie (Sep 25, 2008)

Saphellae said:


> You all have great advice! Thank you so much  I am open to more if anyone wants to speak up!



Plenty of good advise so far for you, it might be worth checking which way the market is going, just to see if you will get capital gain or loss if you decide to move later. If you intend on a long term stay then it's not a bother but you don't want to lose money if you sell in say five years time.

We could only wish to be able to buy at that price here now.

If you don't mind my asking, what is the interest rate for you on a home loan, we pay almost 9%


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## NAchef (Sep 25, 2008)

As others have said look at multiple homes. Go back to the ones you like again and again. 

Check with neighbors on the neighborhood or any problems with the home in question.

Go to the neighborhood at night or in the morning and see what goes on.

Get up early, go there and then drive to work. Is it a pain to commute? Do the same after work to check commute. 

What side of the street are you on? I now live in a North facing home, which I said I never would, because in the winter the snow never melts on the walks or driveway. This can be dangerous if you have stairs on a North facing home. 

Many things to consider and you will never truley know until you have lived in a number of places and decide what you like and dislike.

Good luck.


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## NAchef (Sep 25, 2008)

attie said:


> Plenty of good advise so far for you, it might be worth checking which way the market is going, just to see if you will get capital gain or loss if you decide to move later. If you intend on a long term stay then it's not a bother but you don't want to lose money if you sell in say five years time.
> 
> We could only wish to be able to buy at that price here now.
> 
> If you don't mind my asking, what is the interest rate for you on a home loan, we pay almost 9%


 
Jeepers! I got my 15 year at 4.875% 5 years ago. It is now a rental though.


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## *amy* (Sep 25, 2008)

Saph, don't know if this applies in Canada, but I remember you need a prequalifying letter (for the loan) from the bank. Maybe you can shop around for the lowest interest rate. I didn't -- just went with my bank as I've been with them forever. When you see a condo/home you're interested in, find out (on line) what comparable homes/condos are selling for in that complex & surrounding area - i.e. same sq footage, # of Bedrooms etc. If it's a condo, find out how much the last one in the complex sold for & how long ago. (You might go to "what's my home worth?" on line, & key in that address.) I think? the seller can only ask for market value -- unless they did major upgrades, granite etc. Even then, not sure if they can ask for more than market value. Ask the realtor why the seller is selling? Forgot one, look UP at the ceilings as well as the floors.


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## roadfix (Sep 25, 2008)

NAchef said:


> Jeepers! I got my 15 year at 4.875% 5 years ago. It is now a rental though.



That's a great rate!
I took a risk and kept a variable rate for the entire 15 year term.   Started off at around 7%, saw a bit of ups and downs, did not opt out to convert to fixed by the end of the 5th year, and rode the interest rate down as it fell as low as 2.75% during the 14th year.  But by that time, I was paying almost all in principle that it really didn't matter...


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## jabbur (Sep 25, 2008)

One thing we did when looking was to take a camera with us so we could take pics if we liked the house.  It helped us remember things better.  The checklist is a good idea and I second whoever said get your own inspector.  Ask around for a reputable one from people you trust.  DH worked with a PE who did home inspections on the side and it was wonderful.  He found so many things we wouldn't have known about.  We walked away from 2 houses because of the things he found that were cosmetically cleaned up for the sale but would have caused trouble early on (foundation problems on one and water damage on another).  Don't be so quick to buy.  Take your time.  Learn about escrow, mortgages, taxes etc.  Also discuss what will happen if you and your guy end up splitting.  Will you each own half?  Will one be able to buy out the other?  There are many times unmarried couples will buy a house together and then the relationship sours and there is big legal mess with the house.  Check your credit rating to be sure you're getting the best interest rate available.  If you can't afford a down payment, then maybe it would be wise to wait a year and save like crazy so you have at least 10% you can put down.


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## DramaQueen (Sep 25, 2008)

_Are you sure about the square footage?   Your original post states that this condo is over 1000 sq. feet.  I'm assuming that it is very close to the 1000 foot mark.   This is a very small condo for being a 3 bedroom unit.   _

_Remember three words:  LOCATION, LOCATION, LOCATION.  Make sure your home is located in the best school district you can find, close to freeways, shopping, hospitals, etc.  This is be a big factor when you decided to sell and can be a deal maker or a deal breaker.   My husband and I had no school aged children but we bought a 3 bedroom 2 story home in the best school district in San Diego county.  We sold our home in  4 HOURS for the asking price.  We had people lined up to put in a bid in case this one fell through mostly because of the location.   People who move into 3 bedroom homes will more than likely have children so the school and shopping areas are very important._

_Remember too that condos don't appreciate in value as much as homes do,  so consider that.   And be sure to evaluate everything in the house so you're getting what you need and not what your heart tells you.  You have to like the house you buy, but   emotions go away quickly when you find you've made a mistake.  _

_And no one needs to tell you not to overextend yourself on mortgage payments.   Look at the mess we're in here in the states because of that. _

_Enjoy looking and I hope you find that home you really love.   But please take this with you:  NO home is perfect.  Be sure you buy the one that comes the closest. _


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## GB (Sep 25, 2008)

DramaQueen said:


> _Are you sure about the square footage?   Your original post states that this condo is over 1000 sq. feet.  I'm assuming that it is very close to the 1000 foot mark.   This is a very small condo for being a 3 bedroom unit.   _


_I do not think it is necessarily very small. My house is 1,100 square feet with 3 bedrooms. Granted we do have a finished basement downstairs with a full bath and kitchen which is not part of that 1,100 square feet, but our upstairs living space has a good amount of space with three bedrooms and four of us living comfortably. We would LOVE more space and it is a bit tight with all the toys and kid stuff, but I would not call it very small._


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## DramaQueen (Sep 25, 2008)

GB said:


> I do not think it is necessarily very small. My house is 1,100 square feet with 3 bedrooms. Granted we do have a finished basement downstairs with a full bath and kitchen which is not part of that 1,100 square feet, but our upstairs living space has a good amount of space with three bedrooms and four of us living comfortably. We would LOVE more space and it is a bit tight with all the toys and kid stuff, but I would not call it very small.



Well I guess it depends on what you call "small." I live in a 2 bedroom (one made into a den) house that is 1,068 sq. ft and it's very small. I have no wasted space, no hallways except a 5 foot long hall going to the garage, and I can't even begin to imagine where a third bedroom would fit even at another 40 sq. ft. A bedroom at 10 x 10 is small and that is 100 sq. ft. I live alone so this house is great and I absolutely love it but it IS small. BTW I have NO dining room, just an eat in kitchen.


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## GotGarlic (Sep 25, 2008)

DramaQueen said:


> Well I guess it depends on what you call "small." I live in a 2 bedroom (one made into a den) house that is 1,068 sq. ft and it's very small. I have no wasted space, no hallways except a 5 foot long hall going to the garage, and I can't even begin to imagine where a third bedroom would fit even at another 40 sq. ft. A bedroom at 10 x 10 is small and that is 100 sq. ft. I live alone so this house is great and I absolutely love it but it IS small. BTW I have NO dining room, just an eat in kitchen.



Like so many things, it's all in what you're used to  1,000 to 1,100 square feet is not bad at all for a starter home.


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## roadfix (Sep 25, 2008)

I like small, cozy homes.  Now that both of our kids have moved out, we have no use for half the sq footage of the house.


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## DramaQueen (Sep 25, 2008)

GotGarlic said:


> Like so many things, it's all in what you're used to  1,000 to 1,100 square feet is not bad at all for a starter home.


 

Starter home?  NO. This is my fourth home.  The others were all over 3,000 sq. ft.  This is my Last home.  And truly the best. It's really about the orginal poster, just a head's up on making sure she has enough room for a growing family.


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## GotGarlic (Sep 25, 2008)

DramaQueen said:


> Starter home?  NO. This is my fourth home.  The others were all over 3,000 sq. ft.  This is my Last home.  And truly the best. It's really about the orginal poster, just a head's up on making sure she has enough room for a growing family.



I wasn't talking about you when I mentioned a starter home - I was talking about Saphellae and her SO. When you're first starting out, as they are, and don't have a lot of furniture or other stuff that needs storage, a smaller home can be much easier to handle.


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## Elf (Sep 25, 2008)

Be wary of condo's, they can have some of the weirdest rules and reg. that can drive you crazy.  Be sure you read ALL of  their legal documents pertaining to their rules and reg. before you make a decision, once you get locked in, you might have trouble sell because of the rules and reg.s. Good luck and good hunting.


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## GB (Sep 25, 2008)

Ask the owner to see their utility bills. Things like oil, electricity, gas, etc.


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## Saphellae (Sep 25, 2008)

Drama, if you're buying your first home, chances are you're coming from a dinky apartment like I am.  Over 1100 square feet is PLENTY for just me and Nick, and a baby if one decides to come along.


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## DramaQueen (Sep 25, 2008)

GB said:


> Ask the owner to see their utility bills. Things like oil, electricity, gas, etc.


 
I have to disagree with this one.  Asking to see someone's utility bills is like asking to see their food budget figures.  Utility bills tell you nothing except how much THAT family used in a given timeperiod.   I use far less gas and electricity than my neighbor, who also lives alone, so figures like that don't count.   I would check on the taxes because those are fixed expenses and ask about future assessments that could cost you a bundle.


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## DramaQueen (Sep 25, 2008)

Saphellae said:


> Drama, if you're buying your first home, chances are you're coming from a dinky apartment like I am. Over 1100 square feet is PLENTY for just me and Nick, and a baby if one decides to come along.


 

I never lived in a dinky apartment and this is my fourth and LAST home.


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## GB (Sep 25, 2008)

DramaQueen said:


> I have to disagree with this one.  Asking to see someone's utility bills is like asking to see their food budget figures.  Utility bills tell you nothing except how much THAT family used in a given timeperiod.   I use far less gas and electricity than my neighbor, who also lives alone, so figures like that don't count.   I would check on the taxes because those are fixed expenses and ask about future assessments that could cost you a bundle.


It can actually tell you quite a lot. For instance, my house has an inground pool. By looking at the utility bills of the past owners I was able to see how much the pool caused the energy consumption to go up each summer. Sure there are many factors which could change or skew the numbers, but it does give you an idea at least and that is better than nothing. If you see that the oil consumption is higher than you expect then you can question why. Maybe the furnace is not  very efficient. Maybe the insulation is not sufficient. Maybe the windows need to be redone. It just gives you more information to make your decision.


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## Barbara L (Sep 25, 2008)

If you are able, talk with your prospective neighbors as well.  They can tell you about the freight train that goes by 50 yards from your new home every 3:00 a.m., as well as other things!

Barbara


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## Saphellae (Sep 25, 2008)

> I never lived in a dinky apartment and this is my fourth and LAST home.



Then consider yourself lucky.


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## attie (Sep 25, 2008)

Looks like things are pretty well covered, the corporate outgoings left to check though. For that unit here we would be paying $250K to $350K depending on it's age. In say inner city Sydney or Brisbane, $800K to $1.2M. Rent here for a 3 bed unit is $450 to $600 a week, I don't know what city rents are like.
Accommodation is critical for us, rental vacancies are less than 1% of the market, last Tuesday Sydney [5 million people] had 735 houses and units listed for rent, things are pretty tight.


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## Saphellae (Sep 27, 2008)

Well we are about to put an offer on a place!   It is 3 bedroom end unit semi attached condo, finished basement, lots of storage, laundry room, big kitchen, big living room.

Wanna know something awesome? I can get all new kitchen appliances, new gas stove, new fridge, new dishwasher........... YAYYYYYYYYY!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Asking price is 124,900. We are going to offer about 116,000 and meet them in the middle hopefully around 120k. Compared to other units in the area, this is lower priced, needs no work done (condo fees take care of windows, roof, lawn, etc) and definately meets our needing more room in the future 

We are just waiting for the call so we can go to the office and start the paperwork.  

Man, someone is practicing a trumpet or tuba or something down the street, it's echoing EVERYWHERE and it's sooooooo annoying.. they are AWFUL!


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## Barbara L (Sep 27, 2008)

That sounds great Saphellae!  The condo that is, not the tuba!    Prayers for the lowest price you can get.  Be sure to post pictures! 

Barbara


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## LPBeier (Sep 27, 2008)

Way to go, Saph!  I will certainly be praying for your deal.  We just bought a townhouse a couple of years ago and it was around the same price range here on the west coast.  Even though it was 20 years old and needed a bit of work, it was much better than the money pit we owned previously.  But that Money Pit's land got us enough to buy this one mortgage free, pay out the other mortgage AND credit card debt, and even have a little left over for most of the needed work.

With all that is going on in your life right now, this will be great for you!


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## Saphellae (Sep 27, 2008)

Good news, the offer was accepted, but there is someone who offered before us, although they haven't met one condition - to sell their house first. So, after we get all of our ducks in a row by the end of this week, they will have 24 hours to decide if they want to keep BOTH houses until they sell theirs... so chances are in our favor! They got full price because the first offer was, but it's okay, because we bargained in the appliances   I'll get my gas stove, just not right away.

If all goes well we will have a home by the end of November! woo!


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## LPBeier (Sep 27, 2008)

Contratulations Sapellae!  It IS a wonderful feeling.  My prayers are with you and Nick while you wait for the decision.


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## Mama (Sep 28, 2008)

Congratulations Saph!  That's wonderful!


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## NAchef (Sep 28, 2008)

Congrats!!


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## roadfix (Sep 28, 2008)

Congrats Saph!  You have a much better chance than the other buyer with the contingency.

When we bought our second house we thought our first would sell within a few weeks.  Wrong.  It took us nearly 5 years to sell.


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## expatgirl (Sep 28, 2008)

Saph, I haven't read thru all the threads........did you get a licensed inspection on your home?  Don't want to be a downer here but  I don't  know what the laws are if there are any in Canada.  In the states the prospective owner pays for a licensed inspector (you don't have to have one if you don't want to) and he or she can make recommendations which you then can take to the owner (eg....fix the leaky roof, replace the heater, etc) actually they are well worth the investment.......once you sign those 500 documents the house is yours to deal with for life......unless the owner has misrepresented problems  (flooding)


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## Saphellae (Sep 28, 2008)

No worries there expat. the home inspection is scheduled for today and everything will be checked thoroughly. Buyer pays for the home inspection as it is the buyers decision to get one.


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## Adillo303 (Sep 28, 2008)

Do you get a copy of the home inspection, or does it only go to the seller?
If money is available, It would not hurt to have your own inspector.
Remember, if the inspector is hired by the seller, they are an agent of the seller, not a neutral agent.
As Expat said, once you sign, the deal is done. Anything missed is on you.

The inspector that looked at my house missed an awful lot. Not the most expensive, but the oven was not working, and I moved in just before Thanksgiving. 

AC


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## GrillingFool (Sep 28, 2008)

Congratulations! Here's hoping you have new digs soon!

Now, if you want to move to Fayetteville NC, I can give
you a GREAT deal on a big 4 BR near the army base....


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## Saphellae (Sep 29, 2008)

I don't think people are reading my entire posts.. I said that we got a home inspection done yesterday.. meaning us, the buyers.

lol Grilling, that's a bit far of a commute for work, sorry


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## momerlyn (Sep 29, 2008)

Bring a flashlight and a marble with you when you visit houses. Put the marble on the kitchen counter. If it can't stay still on the counter, you may be dealing with a stove that tilts to one side, which is a pain when you are cooking. Use it to check the floors, too, to see if they are level. 

Use the flashlight in the basement and attic to check along the seams, french drain, walls, corners, etc for anything that you shouldn't see (ie, water stains, mouse droppings, mouse traps, dead bugs, light in what should be a closed area.....).

Keep the printouts the agent gives you for every house and make notes on them because it is too easy to mix up which house had what.

Observe traffic patterns in the area around rush hours.

Start throwing things away now so packing and unpacking will go faster!

Good luck!


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## Bigjim68 (Sep 29, 2008)

After 35 years in the business, here's what I would do.
Get a home inspection from a good inspector. There are good, mediocre, and bad ones.  Ask around.  If the inspection turns up even minor items, they can usually be negoiated with the seller.  I am not about to crawl under a home and examine the pipes, or walk the roof.  

If your are not familiar with the neighborhood, visit it at various times,  make the drive to your job, the stores, etc. Remember that location is the number one factor in resale.  Does the neighborhood have a pool?  If so, you do not want to be too near. Pools are noisy during the summer.  Look for other detrimental factors such as flooding, odors, airports, etc.   

Ask the agent for comparable sales before making the offer. Many counties and cities have recent sale posted on their official site by subdivision.  Check them out.

Remember that homes are usually purchased based on emotion, but should be approached as an investment.  The only larger investment you will ever make is your next home.

Get your own buyers agent.  The agent who's name is on the sign is working for the seller, not you.  Be sure that the contract states that the agent is your buyers agent.  If it doesn't, they are not your agent.  They are sub agents of the listing agent.  There are buyers agencies in many places who do not take listings, only work with buyers.  A buyers agent will take the standard cut from the sellers side, so they will not cost you any more  Once again, ask around, and ask for references.  If the agent is hesitant, there may be a reason.

With all the caveats, purchasing a home is a very wise investment, particularly if you enjoy it.  Good Luck


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## DramaQueen (Sep 29, 2008)

Saphellae said:


> I don't think people are reading my entire posts.. I said that we got a home inspection done yesterday.. meaning us, the buyers.
> 
> lol Grilling, that's a bit far of a commute for work, sorry


 
_I don't know of any seller that would pay for an inspection on his own home. The buyer is the one who gets the inspection so they can see if there are any problems that aren't obvious. There will more than likely be something that's not quite right and you have to make a decision as to whether the problem is minor and can be easly resolved ( by the seller) or whether you can live with it. Your inpector will tell you how serious the problems are, if there are any.  Good luck on your new home.  Isn't it exciting?  _


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## Bigjim68 (Sep 29, 2008)

DQ, you are pretty much correct.  The typical user and purchaser of a home inspection is the buyer for his own use.  They are relatively cheap (a couple of hundred bucks here), and can save you a ton.  As I stated, I will not crawl under a home and inspect pipes for a few dollars.  Another point, the appraiser is NOT a home inspector or engineer, nor do they work for you.  Their job is to estimate market value under a predetermined set of conditions, generally as is, and their client is the mortgage company.  Yeah, I know, you paid for it, but the bank is still my client.


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## DramaQueen (Sep 29, 2008)

_You got it.  The appraiser merely determines the market value of the home, the inspector determines if there are any code violations, safety hazards,  or future problems based on what he sees on inspection.  The two are not interchangable._


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## expatgirl (Sep 29, 2008)

Saph, everyone wants to share in your joy of owning a new home but us oldtimers know the pitfalls.......please don't take it as a downer...........people care and they've taken the time to share with you........my home will never sell now...........not with the current market............but I love it and I'll stay with it.......hurricane Ike knocked down the fence all the way around.......neighbor Jimmy is willing to share the now open view and when the time is right we'll go in on  fence together..........we could buy one now but if he wants to help out we'll wait........


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## roadfix (Sep 29, 2008)

Please invite us to your house warming party.


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## Bigjim68 (Sep 29, 2008)

expatgirl said:


> Saph, everyone wants to share in your joy of owning a new home but us oldtimers know the pitfalls.......please don't take it as a downer...........people care and they've taken the time to share with you........my home will never sell now...........not with the current market............but I love it and I'll stay with it.......hurricane Ike knocked down the fence all the way around.......neighbor Jimmy is willing to share the now open view and when the time is right we'll go in on  fence together..........we could buy one now but if he wants to help out we'll wait........


You are absolutely right.  The large equity position that I have in my home today is the result of the $500 I put down on my first home.  Remember worrying over how I was going to pay the $79 payment.  A home is probably your best investment, and the only one that you can really enjoy while it earns for you.


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## expatgirl (Sep 29, 2008)

Bigjim68 said:


> DQ, you are pretty much correct.  The typical user and purchaser of a home inspection is the buyer for his own use.  They are relatively cheap (a couple of hundred bucks here), and can save you a ton.  As I stated, I will not crawl under a home and inspect pipes for a few dollars.  Another point, the appraiser is NOT a home inspector or engineer, nor do they work for you.  Their job is to estimate market value under a predetermined set of conditions, generally as is, and their client is the mortgage company.  Yeah, I know, you paid for it, but the bank is still my client.


  You are a breath of fresh air.......where did you hale from???


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## expatgirl (Sep 29, 2008)

Bigjim68 said:


> You are absolutely right.  The large equity position that I have in my home today is the result of the $500 I put down on my first home.  Remember worrying over how I was going to pay the $79 payment.  A home is probably your best investment, and the only one that you can really enjoy while it earns for you.


You're right............


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## jennyema (Sep 29, 2008)

With the financial markets being what they are internationally, make sure your mortgage money is assured and your rate locked in.


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## Bigjim68 (Sep 29, 2008)

expatgirl said:


> You are a breath of fresh air.......where did you hale from???


I am currently living in Richmond, Va, formerly from  Colorado.


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## Saphellae (Sep 29, 2008)

I appreciate all the advice everyone!

Good news, the home inspection went REALLY well. He pointed out some minor things like in the basement one of the storage rooms has foam for the ceiling, said if theres a fire we would probably pass out on those fumes before burning, and a small wire that needed replacing.

Things like that he told us about when he didn't have to. He was really good.  Great to know that the place is sound and ready for a move in!!!

Nick and I waived our first two conditions - mortgage approval and home inspection. One down to go, and it should be in tomorrow! The status certificate saying everything about the condo and condo company.

Nick and I could know in the next couple of days


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## suziquzie (Sep 29, 2008)

not sure if this has been said.... or if it's still relevant.... (i cant spell) 

make sure your mortgage co, bank, credit union, whatever.... doesn't sell mortgages.
Our first house mortgage was sold about 10 times in 3 years.... (hence crisis)


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## BreezyCooking (Sep 29, 2008)

I don't think any mortgage co., bank, or credit union can or will guarantee that they'll never sell a mortgage.  That would be stupid on their part.

The smart part is going with as reputable a lender as you can - via research, word of mouth, etc., & hope for the best.


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## DramaQueen (Sep 29, 2008)

suziquzie said:


> not sure if this has been said.... or if it's still relevant.... (i cant spell)
> 
> make sure your mortgage co, bank, credit union, whatever.... doesn't sell mortgages.
> Our first house mortgage was sold about 10 times in 3 years.... (hence crisis)


 

_Selling mortgages is normal and is done often so the lender can raise capital. Your mortgage is sold for X amount of dollars thus raising money for the lender; and the buyer of your mortgage makes money on the interest paid from the home buyer's payments. Your payments remain the same and so does the interest payment. You are just paying to a different lender._


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## roadfix (Sep 29, 2008)

^^^  correct, it should not affect the home buyer one bit.


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## GrillingFool (Sep 29, 2008)

Oooh. A not so popular thing to really really think about.
Since you two aren't married yet, you might want to put something in writing about what happens if you don't stay together.

Yeah, yeah.... BUT... it might avoid monstrous headaches should
the unthinkable become thunk.


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## roadfix (Sep 29, 2008)

Title should be held jointly if at all possible.


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## Saphellae (Sep 29, 2008)

We have thought about that too Grilling, no worries there 

Also, everything will be paid for jointly and will be in both of our names. Nick is also paying the down payment, so he will be assured the money he puts into the equity if something does happen.


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## expatgirl (Sep 29, 2008)

poor saph......you're getting broadsided by lots of experienced pros.......please listen...........they are giving you lots of words of wisdom...............it may be too much to take in now..........but do listen..........by you avatar not only are you pretty but you look smart, too.......


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## roadfix (Sep 29, 2008)

expatgirl said:


> .........by you avatar not only are you pretty but you look smart, too.......



You made her blush she changed her avatar....


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## expatgirl (Sep 29, 2008)

everyone is changing their avatar these days.........it was hard enough for me to post it in the first place.............I love the foot in the mouth.......that's me..........


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## expatgirl (Sep 29, 2008)

Bigjim68 said:


> I am currently living in Richmond, Va, formerly from  Colorado.



Thanks, BigJim,.........you have given such great advice...I'd hire you to inspect my next home which might be on Lake Conroe and yes, you would be paid to look at the gd pipes under the house..........


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## Bigjim68 (Sep 29, 2008)

The vast amount of mortgage companies that the public deals with never hold the mortgage, but are sales companies.  ABC mortgage company will contract with a wholesaler prior to the closing, and will never hold the paper.  This goes on up the chain in various forms.  FNMA and FNMC sells packages of loans on the market, and, if you have the bucks, you can be a participant in a pool of loans.  HUD, for the most part, is an insurer.  When a borrower is informed that they will pay the payment to a new lender, a lot of the time it is the servicing that is sold.  The whole industry is multi-tiered and is difficult to understand.  Most of the above statements are not always correct, and there are hundreds of variations.  All you really need to know as a borrower is that if you understand what you agreed to, and you do your part, no one will take your home, raise your rates, or otherwise change the terms.


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## Claire (Sep 30, 2008)

LOTS of advice here, probably too much but most of  it good.  I've bought three homes, and I do differentiate there.  Lots of my freinds buy houses with the thought in mind of what they might be able to sell it for.  I've owned a townhouse in Hawaii, a large (to me) home in Florida with lots of space for relatives, a pool, hot tub, etc, and now an 1855 row house in an even older town.  As different as they were, all three have been my loves of my life.  With the exception of this one, I really thought I'd live in each one for the rest of my life.  Here I know better; way too many stairs and steps for us after another decade.  But I still love it, and if we don't make a dime from it, and only pour money into it (a real possibility with an oldie), I still love it.  My husband fell in love with the dining room (where people really like to congregate), me with the old kitchen (old, not old fashioned) and we both like knowing the history of the place (we've met almost everyone living who owned it, and by proxy the couple who owned it at the turn of the century).  But I honestly loved the two other homes I've owned (and several that I rented as well).  I think that I weigh in with those who mentioned trying to find out what the monthly payments will be.  Easier said than done.  But if you're constantly worrying about the mortgage, it is hard to enjoy the home.


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## expatgirl (Sep 30, 2008)

Well said, Claire.........


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## jennyema (Sep 30, 2008)

roadfix said:


> Title should be held jointly if at all possible.


 

Unmarried people may be benefitted by owning as tenants in common.

*You absolutely should be consulting an attorney as you go forward with this.*


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## jennyema (Sep 30, 2008)

Bigjim68 said:


> All you really need to know as a borrower is that if you understand what you agreed to, and you do your part, no one will take your home, raise your rates, or otherwise change the terms.


 
Yes. Make sure you read and understand the documentation of what you are getting into.

And understand that the terms of your agreement very well may change, depending on several different factors.  If this is the case, it will be set out in the mortgage documents.

You should be using a lawyer to help you.


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## DramaQueen (Sep 30, 2008)

_I didn't realize this couple wasn't married.  Here's one last piece of advice:  *YOU COULD BE HEADING FOR SOME REAL TROUBLE.  GET YOURSELF A LAWYER BEFORE YOU SIGN ANYTHING.   YOU HAVE NO IDEA WHAT WILL TRANSPIRE BETWEEN YOU TWO IN THE FUTURE AND THIS COULD AFFECT YOUR FINANCIAL SITUATION AND OWNERSHIP OF THIS HOUSE.   *If Suzy Orman knew you were doing this she'd pass out cold.  _


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## David Cottrell (Sep 30, 2008)

Ouch, ouch ouch! Not married - no commitment - and an important long term debt? Ouch. Can you by yourself easily make the loan pyment + taxes, insurance, condo fees, maintenance you are responsible for, etc. What is your legal status where you are - is common law marriage legal there and if so after how long living together. Ouch, given what just happened to the home mortgage market this just might blow it - is your purchase contingent on obtaining suitable financing so you are off the hook if you can't? You said something about waving financing or something like that. You might be owing someone money if you can't finance. I hope this goes well.


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## NAchef (Sep 30, 2008)

Dont listen to them! Good luck with your purchase and I wish you the best of luck!!


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## jennyema (Sep 30, 2008)

NAchef said:


> Dont listen to them! Good luck with your purchase and I wish you the best of luck!!


 
Not listening before they bought a house has gotten a great many people into a boatload of trouble.  Just sayin ....


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## NAchef (Sep 30, 2008)

and some who listened got in trouble also.


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## Saphellae (Sep 30, 2008)

A little too forceful there Drama.. I can read just fine without you 'yelling'.

We have a lawyer. We are also considered common law now, which means we have been living together for a certain amount of time. It is the same rights as marriage without the certificate.

I also kinda wish people would read at least my responses to people.. before yelling at me some piece of information someone has already kindly pointed out.


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## DramaQueen (Sep 30, 2008)

Saphellae said:


> A little too forceful there Drama.. I can read just fine without you 'yelling'.
> 
> We have a lawyer. We are also considered common law now, which means we have been living together for a certain amount of time. It is the same rights as marriage without the certificate.
> 
> I also kinda wish people would read at least my responses to people.. before yelling at me some piece of information someone has already kindly pointed out.


 
Saph,, sorry about the "yelling." I wasn't yelling at you I was trying to drive a point home. Didn't know you would see it as yelling. Please Please, see a lawyer before you do this. I have very good reason for being so strong about this. If you do contact one and tell him what you are planning on doing you 'll see why I said what I did. Again, sorry, didn't mean to come on so strong, but this is a very serious situation you are getting yourself into. You have the choice so whatever you decide is your own business I guess. Anyway, I do wish you the best on this purchase.  Your laws may be different in Canada and I hadn't thought of that.  In the USA this could be trouble-big time.


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## expatgirl (Sep 30, 2008)

hey, enjoy your new home.......isn't a great feeling???  plant a garden..........it's now your home   love it and make lots of love there..............yeah,  I'm saying it........


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## Saphellae (Sep 30, 2008)

It's not trouble in Canada, we're ok.  Anyways, like I said, we have a lawyer.

LOL Expat!!!


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## GrillingFool (Sep 30, 2008)

Sounds like you've got your bases covered.

We want pictures! 

of the house.


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