Buyer's remorse, anyone?

Question

Hey guys,

Any of you ever bought a property before and experience buyer's remorse shortly afterwards?  If so, how did you deal with it?

Jim Wineinger · Answer

As far as buyers remorse goes, about the only way to combat it, is to realize that the purchase is already done. It can not be changed so you must go forward.

That means you must now evaluate your "deal" (purchase) and make the most of it. Spend what you have to  in order to flip the  (or rent) property. There are things that will be required by inspections, ect. and must be spent unless you are able to sell to an experienced rehabber who is willing to take over the house "as is".

The point is dont look back at what you cant change. Go forward and learn from your "mistakes" so that you can aviod them in the future. This is the only type of looking back that you should do. Look back to identify the mistakes so that you can go forward properly.

Make the best of what you have and look forward to making some money or look forward to what your loss will teach you to avoid in the future and there will be no remorse at buying as you have now gotten started on the future.

Will Barnard · Answer

Is this a flip, a buy and hold, or your home purchase?

As for remorse, I agree with jawsette to an extent but would add taht if remorsefull, evaluate why and what you did wrong so that you do not REPEAT the mistake. That is the only part of the remorse you should concern yourself with.

Eddie Ziv · Answer

Kendra,
I sent you a colleague request. One of my contractors who is very good and do very inexpensive work can help you. I'll wait for your PM or e-mail.

Jon Holdman · Answer

If that property is intended to be a fix and flip, your remorse is likely coming from doing the math more throughly, and realizing its a loser.  You paid $80K for a house that worth $95K, but that needs $10-15K in work.  Once you account for all the costs for buying it, holding it including the cost of money, and selling it, you're going to lose money on this deal.  Not much to do but suck it up, get out of this deal and move to the next one.
          
My first rental, which I still have, was a poor deal.  The price is too high relative to rent, and its smallish with no garage or basement and more difficult to rent.  Oh well, live and learn.

If its a personal residence, then you've paid retail for it.  Nothing wrong with that, since that's what most people pay for residences.

Rich Weese · Answer

I can recall at least 2 buyers' remorse deals out of the 1000 homes and properties I've bought.

1. A 2 bedroom condo. Functional obsolete(3br or larger or I won't buy) and I immediately got hit with "special assessment for new parking lot, etc. I don't buy condos anymore nor 2 br units

2. I had remorse on this one, but later found it was one of my best deals ever. In 70's, just new to real estate, my ego got in the way. Wanted nice new location for my first brokerage office. I negotiated a grreat deal on a 30,000 sq ft office building. $1,475,000--------$14,909---------PER MONTH------and completely EMPTY!!
  The terms were great, and I think I've detailed it on here and in my book. Anyway, In less than a year, it was completely full(95%) and I sold to a partnership for 2.2 million, AND I kept my office, a % of the ownership, and the name on the building-Weese Financial Plaza in Fullerton, Calif. I held seminars there and it was very easy to raise money.

My buyers remorse on the first was warranted, not on the second. Hopefully, everyones' remorse will turn out like my # 2. Rich

Dean Herbertz · Answer

Oh Ya!! I The first multi unit I purchased in 03' turned out to have a major steam pipe leak overlooked by the inspection. It busted cost $20k in repairs and was not covered under my policy. The only thing I could do was fix the problems to get my rents back up. My situation may not be yours, but my advice for realizing you chose a less then ideal unit is asses your potential gains and losses. If the property is going to cost more to hold it then the write off for the loss to dump it, dump it. Some may say ride it out, I have rode out the poor choice and it cost me more time and money then had I dropped it sooner. Do The Math!

Jim Wineinger · Answer

Sounds like it time to go beyone that remorse (if you had it) and list the details here as Josh suggested.

There are many here who will give you suggestions that will help you in your attempt to spend as little as necessary and maximize the profit.

List the deal and tell us what you are most concerned with so we can give you suggestions.

We need a question that we can answer, instead of guessing what your question is.

Kendra T. · Answer

Scott:  That's good then.

Jawsette:  That's a great attitude.

Jim Wineinger · Answer

I have had remorse that I do not have money left now to play with. But I deal with it by looking at how so many people are loosing their properties because they over leveraged themselves and I know that what I have is free and clear.

Even though I cant play as much right now as I would like to, I know those times are comming (retirement). And no one can take that away, with no worry (stress) about where money is comming from.

I am comfortable in knowing I will be fine despite WHATEVER happens.

Joshua Dorkin · Answer

Kendra - It sounds like you've got some buyer's remorse.  Perhaps you could explain what went down . . . we might be able to offer some ideas.

Buyer's remorse, anyone?

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