All Forum Posts by: Theresa Reynolds

Trying to buy property in a very fast paced market right now with average home prices of 300k going up. Extremely high demand for rentals.

I have my eye on a 70s trailer home, 2bd 1 bath, with a little porch and two small additions, a mud room and a dining nook. It’s on a nice big lot in a B neighborhood, has a well and septic. No garage or shed or anything. Interior has new floors and painted panels, so somewhat updated. Not on a permanent foundation as far as I can tell, so that should help keep taxes low.

Listed for 139k currently. Been on the market for a while. Thinking about offering 95 k cash, live in it for a year while making it a little nicer and then maybe rent it? It would probably rent for 1200 as of now.

Looking for any possible strategies to utilize here. Is it worth it to make it nice? Should I just sell it at some point and build?

@Mike L.

Thank you Mike! That was the most helpful response this far. The only reason I talked about backing out was because he said he wanted to close in a week after I waited 3 months for him to get the roof done. Obviously I can’t deliver that so I felt obligated to back out, not because I wanted to. But then I thought, wait a minute … there is no written closing date in the contract so I don’t see how he can demand that after he hasn’t even completed all the work he’s agreed to do.

To the rest of you folks commenting: I have never done a deal before so I am naive and oblivious to things that might be obvious to you. I’m just trying to see if I can save my deal.

@Theresa Reynolds

Also, he’s been screwing around all summer while stupid little me waiting patiently for him to complete the roof so I can schedule and appraisal and then he requests to close in a week when the roof is barely done, without having a date set in the contract. I think I was naive thinking he can actually dictate when I need to have my ducks in a row when he is the reason everything has been on hold.

@Bill Brandt

I didn’t want to back out. It is a great deal. I was willing to wait. He wanted to close next week, even though we hadn’t set a closing date because I was willing to wait until the roof is on. I needed the roof to be on for it to qualify for the loan. I have not requested my earnest money back yet so on paper we are still under contract. What happened is that he probably got a better offer which is why he said he can’t get **** done. I feel screwed because he said he won’t be around to sign paperwork and he’ll reimburse me for the inspection. He wanted me out because he had a better offer, even though I didn’t want to.

Does he legally still have to sell to me as we are still under contract ? I want to stay in now because I am mad he tried to screw me out.

@Michael Plante

Yes sounds like it. I just got suspicious because of the extremely short time period between me backing out verbally last night and then the new buyer bugging me about the inspection report today.

I signed a contract for a SFH in May. It was a FSBO deal and the seller and I agreed he would put on a new roof, fix the porch and prep the siding for paint. He started to work on it right away but then had to fo on fires. He was gone on and off and didn't do much work on the house. I had an inspection done and kept re-scheduling the appraisal because he needed more time to get the work done. He finally got the roof on and is now telling me he needs to close at the end of next week because he has to go back on fires. I told him to keep me in the loop about the progress of the house because appraisals are two weeks out to schedule. I told him that I won't be able to close with such a short notice. Besides, he said he won't be able to prep the siding either. He said he's understand if I wanted to back out and he'd reimburse me for the inspection cost. That was agreed on last night. TODAY a lady calls me, telling me she wants to buy the inspection from me because she is buying the house.

I can’t help but think the seller tried to drag out the deal intentionally hoping a better offer would come along. I am still under contract and have not requested my earnest money back.

I feel like I’m being screwed out of a deal. Is the seller doing anything illegal here or do I just have to swallow that pill and move on??

@Dan Weber thanks so much! That is very helpful !

HELP! Got my first deal under contract. Off market SFH property FSBO. Decided to go conventional however it won't qualify as the roof needs to be redone.

In the contingencies the owner and I negotiated that he will provide the labor for the roof and I will pay for materials. However, now it needs to be done before the appraisal and the seller currently doesn’t have the funds to do it. How can I handle this without being screwed over? Change the contract?

The loan officer suggested a purchase line of credit with a variable interest rate and interest payments only to finance it. Is it better to get hard money at this point and then refinance?

Also they have a student loan lien on the property. Is there anything I need to watch out for?

I have a house under contract, buying directly from the owner. In the contingencies we agreed that he would fix the roof if I am paying for the materials. However, the lender wants the roof fixed before closing as they don’t want to lend with the roof being in the shape it is. How do we arrange that so I’m not paying for the roof and then I’m put money in case something else goes wrong?

The loan officer gave me the other option of doing a purchase line of credit with a variable interest rate, as an alternative to finance the whole thing. What is my best option here?

Also the owner also has a student loan lien on the house. Is there anything I need to be looking out for?

Interest rates for investment loans jumped from a little over 3% in March to 5%. Where can you find a good deal anymore for investment loans?

On the estimate I got the Total Interest Percentage was 93.669%, which seems extremely high to me. What do you all think?