All Forum Posts by: Mark H.

I don't know that we "hit a wall" - but we effectively now have two levels of "comps" - recent deals at actual market value & old shorts closing at 20-30% below actual market value.

As a homeowner here in Phoenix, I'm all for a "stagnant" market if that means the end of the bloodbath we had. From what I understand, the "tax relief for deadbeats act" ends in less than 60 days, so hopefully that will relegate the short-sale to the history books where they belong.

I know the west has a long history of bank robbery, and I have no sympathy for bankers, but most of the losses were nationalized & added to the tab that your grand kids will be paying off. At some point, the parasites kill the host, and having prices drop 75% in four-six years was enough of a bloodletting for me.

A "recovery" to perhaps 40-50 cents on the dollar from peak pricing at current interest rates is a long way from another "bubble" - its sustainable pricing & an opportunity for those who did or will buy at retail to actually build a tiny bit of equity. The current "run up" in pricing here only takes us back to perhaps 2009 pricing - still an incredible value for the 5th or 6th largest metro in the US.

If you do buy stainless appliances, I'd strongly consider an extended warranty, especially on the fridge. There are a decent number of dead 2-5 year old stainless fridges on Craigslist in my area. Repairs often cost as much as a new fridge out of warranty.

Ive seen their data before - it quotes a new "midrange" kitchen at $57k. I'd bet the average biggerpockets kitchen at less than 10% of that figure.

Investors don't spend money like retail customers, so the "return on investment" numbers are way off.

If the tile is damaged already, it might be a good time to consider getting the surround re-done in cultured marble. Around here, it costs about $550 to have a pro come in and do it. They can cover the sides & sill in marble & when it's caulked, it's impervious to damage. Your only caulk-lines then are at the tub, in the corners & where the window trim is.

In my area, it was less expensive than re-tiling & eliminates about a mile of grout-lines, which are a headache for both you and the tenant.

This sounds like a mess - by offering verbally to allow the tenant to vacate w/60 days notice, now the tenant has a "void able" 2 yr lease. The new landlord can't jack the rent, but the tenant can leave whenever they want..

Sounds like you need some coaching from a local attorney - perhaps make peace or offer cash for keys, but do it after you've gotten advice from an attorney.

Good points!

I also like to add "no attic access" - even if the scuttle is small & there is no safe place to put things, people will want to store stuff there.

And another provision I like is one that specifies who gets access in case of injury/death of tenant.

What is "some savings" ?

Part of getting a short-sale approved is disclosing all of your assets.

If you're bailing with significant savings I'd expect the lender to yell.

Yes, you still have to pay the utilities. If you don't, you could get hit with penalties by the judge when you do the eviction. Don't make a bad situation worse.

I'd never agree to a fee per "accepted contract" - an accepted contract isn't the same as a closed deal.

As for the junk fees - I'd keep looking for a brokerage that doesn't charge them. I know on the agent's side, many brokerages here want 80% of the agents first three commissions, but if you look a bit, you can find brokers that only charge the agent $25 a month + $200/$300 per closed deal. Those brokers with the lower fees arent usually the big national chains, they're smaller, local guys.

The sellers you'll be buying from wont care about the franchise of the agent.

Yes.

You are going to die, but mouse poop isn't likely to be the cause.

I think the big fear with mouse poo is Hantavirus. It's incredibly rare, but it can be deadly.

That said, nobody's going "swimming" through your attic insulation. Unless the house is new, it could probably use at least a few more inches of insulation anyway. A 6-10" "topper" of blown in cellulose would likely cost less than $1k professionally installed.

A future home inspector might check the depth, but they aren't going to dig around in insulation looking for mouse poo. Disturbing the insulation lowers the R value.

The standard for an FHA appraisal is a "head and shoulders" peek into the attic scuttle, and shoot a couple pictures for the file. Some appraisers have cameras mounted on a stick, so they don't have to even put their head in the attic.

Disclose that there *was* a mouse infestation, get more insulation blown in, and provide the new buyer your receipt showing a licensed pro got the mice out. Done.