All Forum Posts by: Kama Ward

@Don Konipol - Vaulted ceilings are desirable here. We had basically no population growth from the mid 60's to the mid 90's, so almost no new homes then. We missed out on the 'great vaulting' of the late 70's & 80's. So I guess people do not associate it with the dated past.

I haven't looked at Dwell for a while, so I will pick up a few copies and refresh.

Marcus Geiser & Emilio R- Thanks for the tips, I didn't get in the attic yet. Have not seen trusses in houses around here until much later, but will definitely scrap the idea if there are trusses.
It would be totally worth it if I could use the scissor truss idea and budget!! There is no hvac in the attic.

I've made an offer on a ranch house. If I get it, it will be my first ranch rehab. It could really benefit from vaulting the ceiling. I've vaulted the ceilings in small places before where it was easy and obvious, but never anything major. This would be over a 25'x26' area encompassing both sides of the ridge line. The roof is shallow, I'm guessing 4-5 feet higher in the center. It was built in 1961.

What have been your experiences with vaulting ceilings? What should I look out for? What's been your cost range? Any other tips for ranches?

In the past five/six weeks, I've looked at about 500 mls homes online, driven by 50, been in 15, made offers on 5. One was rejected, on two I was outbid, one we ended 20K apart, and now I'm trying my first HUD home bid.

On one I bid 11K over asking, cash, no due dil, and close in 7 days. There is still hope for the 20k apart one. It's got to sit until the heirs come to terms with the real value of their inheritance.

I feel good about how it's been going. I'd rather come up from the low spot than get in higher and lose money! Persistence will pay. It seems like you are getting nowhere, then you look back at a year ago- and see how much you have learned and done.

Another thing- This is not really partnering, but I do make a point to take the kids to look at houses sometimes, and explain the numbers to them. They also see me working on the houses, negotiating with contractors, showing properties. My son has been to several closings starting when he was five. Neither one has shown an interest, no big deal, but I'm sure the osmosis will help somewhere down the line!

12K is not much in the real estate world. Why not invest 12k of your own money in real estate, and give your daughter the profits or the split as you suggested? (pretend it's hers) That way you can feel as if you are doing what's best for her, but keep away from the sticky situations that many have suggested here.

Keep her money safe and separate, perhaps in a tax deferred educational account- 529, or coverdell esa.

This was not mentioned- and you may already be doing it- but the best thing you can do for her is teach her how to handle money. That will be way more valuable than maxing out 12k for the next seven years.

Also, consider starting an IRA for her as soon as she starts her 1st job. Say she works and makes 5k per yr at 16,17,18. You put in the max 5k per year, and it gets a modest 8%. Then she never makes another contribution-- she will have 446K if she withdraws at 60.

I have an 11yr old- and a 19yr old who just finished her 1st year of college. My 19yr old was responsible for all her extra expenses and spent less than 800$ for the year (she had lots more saved). Most of the other parents, and even her banker, said they still didn't trust their college kids with money. Pitiful. My 11 yr old has his own savings account and put in his own deposits, and has to save some of all money he gets. We're not uptight about it, just aware.

I'm curious as to why you would ask repair costs, and price after repairs. Do motivated sellers know how much repairs cost, and do they attempt to make repairs?

None of my sellers know what repairs cost, and the truly motivated ones will not make repairs.

Is this a case where what they say gives you insight into something else other than what they are answering?

You can take your time on making an offer, but ideally you will get good enough to know as soon as you see a place to know what to offer.

Also, I find the most powerful time to make an offer is the first time you visit a home. You stand there, hopefully face-to-face with the seller, and tell them you want to give them money 'now'. They like that, and almost never get as mad as they might when you lowball them over the phone. Even if the deal does not happen right away, the groundwork is laid that you are serious and a possible problem solver.

Jeff- In the first post I said financial counselor- which is what this guy really needs. The second post I said some type of financial advisor (speaking loosely). Yes, most traditional advisors are just salespeople, much less wise investment people. So I do agree in with you.

I was thinking what might really help him long term, his 'disease' so to speak. Depending on how good a friend he was etc.

If he does take it, Bill's suggestion will certainly help with his symptoms and maybe you will profit too. Sounds like he doesn't want long term help so maybe you can be there when/if more symptoms show up.

How would filing chapter 7 help? If he does have equity, it would be better to sell everything. Have the cash or distill it down to one paid for property. Preferably one he could live in, or get income from now. Not commercial land.
Don't tell him to visit a bankruptcy attorney first- they always tell you to file!-like a realtor always says buy! Visit some type of financial advisor who can lay out several different options.

Good going with the guest cabin Jon!

I would be interested in hearing how people buy vacation properties in areas far away from where they live- if anyone actually MAKES money (cash flow- not appreciation) while still using it from time to time.

I get the impression that the great majority of people only lose less money than they would have if they never rented it out.

So many people here shy away from condos because of the potential HOA problems, but it seems single families in vacation areas might have trouble with vandalism or even a broken pipe with no one to see it until a week later-- when 15K of damage has been done.

So far, whenever I work the numbers, it always seems to be easier/cheaper/more flexible just to rent a vacation home.

Can/Should? What's a little English as a second language between friends?

Marvi: How much do similar fixed-up homes sell for? The houses must be close by- preferably in the same neighborhood. You can ask a realtor to run some comparable sales "comps" for you.

How much will the repairs cost? You can ask a contractor to come by the house (for a small amount of money) and give you an estimate. Or even better, three different ones.

Do you want to live there, rent it out or resell it for a profit?

Do you need financing or have cash? This will affect the best way to actually make the offer if you decide you really want it.

Answer these questions, and put in lots of details, and I'm sure you will get really good advice here.