All Forum Posts by: Surya Kumar

Sorry for the bump. @Bob Collett Do you know how much time they take? I contested taxes for one of my property (27% reduction) at the start of last year (Jan 2018) and I still haven't heard back from them. They haven't responded nor called me for a hearing. Does it take this time usually? 

So we recently moved to bay area and live in apartment for the past year. We plan to stay here for at least 3 years and may be more. I would rent forever but with the bay area market going very strong, I think prices will appreciate still for a while. We have saved up some cash ($100k) for a small condo/town house somewhere in the bay area.   What are the areas where it is affordable with this downpayment, and secondly what are the upcoming areas that will get the most appreciation in the next 5-7 years? I am thinking of areas like Union City, Hayward, Dublin but I am finding it hard to narrow down. Any help would be welcome. 

I'm closing on my second property and got an offer accepted. I just received the inspection report and the roofing conditions have come back worser than I thought. I know the roof is old (17 yrs) but I thought it had some good 5-6 years left on it. But this is the report I received.

1) The roof covering showed signs of cracking, curling, and loss of granules. This condition generally indicates that the roofing materials are approaching or close to the end of their useful life. Although immediate replacement may not appear necessary at this time, we recommend maintenance be performed on a regular basis with annual inspection by a qualified roofing contractor. The inspector cannot offer an opinion as to whether the roof leaks today unless it is moderately raining at the time of inspection.

2) Maintenance and / or repair is recommended to the flat or low sloped roof. This usually consists of covering all exposed areas with additional flashing material, repairing or sealing any seams, any cracks in the flashing, or any cracks in the roofing material. Given this condition, it is possible that the roof has leaked at one time. Recommend further evaluation by a qualified roofing contractor. The inspector cannot offer an opinion as to whether the roof leaks today unless it is moderately raining at the time of inspection. Client should obtain full disclosure / history information from the seller prior to close.

A bit about the property. $110k list price. Offer accepted for $103k and I would be putting in around $5k for changing electric panel and some touch up. Rents for $1400. New furnace and AC (2018). It is not a flip and would be rent and hold for at least 5 years.The roof is Asphalt Shingles.

With a roof change costing generally around 8-9k, what do you suggest is the best way to handle this situation

• Walk away from the deal.
• I can ask to reduce the price on the house. My problem is here is even they reduce the price ( say 98k-100k), it looks like I may have to change the roof some time in the near future.
• Get a roofing inspection and quote and see any information that the roof inspector provides ( may be how much life is remaining)

Any help to handle this situation is really welcome.

I am closing in on a Fannie Mae property for $75k with 3% seller credits for closing. So that comes to $72750. The appraisal was done and it came to $73k. So my lender is asking if I can negotiate the price or bring the 2k difference from my pocket. Any suggestions on how to handle this? Is it still worth talking to the seller here, Fannie Mae to bring down the price?

I woullike to like to know as well. @Shiv Jey Curious to know if you went on to buy these properties.

I recently got a rental SFH that needed some work. The first one was turn key and I didn't have to do much work. The basement had some torn up carpets and I also did the basement waterproofing and the contractors ripped up the carpet that was in the basement. The floor likes attached images. What kind of flooring would be the best for rental basement flooring. I am thinking of laminate flooring or carpet. Which one would be more preferable and any idea about about cost of each of these? Any help would be welcome. Thank you.

Just updating here for future readers. The title company does property survey as part of their process. You can request a copy of it (I did and there was an encroachment of 0.9 inch). If you want to know in advance you might have to order a property survey as part of the offer or ask for survey from the seller. 

Can anyone give me current recommendations for property management for a SFH? Thank you very much.

I am in the process of buying first property (Out of State) and was close to closing when I got en email from my lender(Bank of America) saying they could not approve my loan because of driveway encroachment. 

Your driveway encroaches on to the adjoining lot and does not meet policy for an acceptable driveway encroachment. Unfortunately-due to the location of the dwelling, and the detached garage being within 10 feet of the property line of the adjoining property. This causes the driveway to encroach. This would require for you to have exception approval for the Property which the Underwriter could not approve.

First of all, I am not sure if there is actual encroachment at all here. (It says garage is within 10 feet of the property line). I was not able to contact the lender at all after this email at all. So I contacted my agent and mentioned her about this. I got a reply from her saying there is nothing wrong with the title and she doesn't understand why the lender was saying like that. I could always get another lender but I am not sure if this is an actual problem or not. I got the copy of appraisal from the lender and nothing related to driveway encroachment is mentioned there and nothing is mentioned in the property disclosure as well. How do I verify that there is/is not a driveway encroachment? What documents do I need to ask from the agent/seller to make sure there is/is not encroachment? Any help on this would be really welcome. 

Note : The property is in Ohio if that matters

I am going to close my first ever purchase (105k with 20% down payment). Just got a loan estimate from my lender. I have to accept it is more than what I estimated.I actually estimated at 4-5%.I would like to understand the closing costs mentioned by the lender so that I have a better understanding before closing.

• Loan Costs --- $4342.

A.Origination Charges - $1590

0.655% of Loan Amount (Points) - $550 ---> Is buying this point compulsory?

Lender Origination fee - I understand this.

B.Services You cannot shop for $612 ---> I understand this.

C.Services You can shop for

Survey - $250 --> What is this fee for? Who pays this generally? Is this service compulsory?

Title - ALTA 8.1 Endorsement $25 --> What is this fee for? Who pays this generally? Is this service compulsory?

Title - ALTA 9.0 Endorsement $150 ---> What is this fee for? Who pays this generally? Is this service compulsory?

Title - Closing/Escrow fee $1115 --> Is this same as earnest money?

Title - Lender's title insurance $600 --> Do I have to pay this at closing? How can I shop for Lender's title insurance?

• Other Costs --- $3978

E. Taxes and Other Government Fees $716

Recording Fees and Other Taxes $295 --> If I understand this the seller would pay for this. Is this correct?

Transfer Taxes $421 --> I understand the fee. Who pays this generally?

F. Prepaids $595

Homeowner's Insurance Premium (12 months) $420 --> I understand this fee.

Mortgage Insurance Premium ( months)

Prepaid Interest ($10.93 per day for 16 days @ 4.750%) $175 --> I am not sure what this is.

Property Taxes ( months)

G. Initial Escrow Payment at Closing $2,304

Homeowner's Insurance $35.00 per month for 2 mo. $70 --> I get this.

Mortgage Insurance per month for mo.

Property Taxes $558.52 per month for 4 mo. $2,234 --> I am buying this property in July 2018. Is this property tax for

March, April, May, June 2018?

H. Other $363 --> I get this.

Title – Owner's Title Insurance (Optional) $363

Any help in understanding this or to reduce the closing costs would be really welcome.