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    Sunday, May 9, 2021

    Real Estate: sold for $360k in Feb, relisted in March for $475k, sold yesterday for $675k. Fun times!!

    Real Estate: sold for $360k in Feb, relisted in March for $475k, sold yesterday for $675k. Fun times!!


    sold for $360k in Feb, relisted in March for $475k, sold yesterday for $675k. Fun times!!

    Posted: 08 May 2021 04:27 PM PDT

    Advice for FTHBs who keep losing bids. You won't like it, but you need to hear it.

    Posted: 09 May 2021 07:45 AM PDT

    This market is unprecedented. It's not fun for buyers. It's especially "not fun" for first-time homebuyers (FTHBs). For many, as per 9/10 threads in this sub, it feels like they'll never be able to afford a home and they're missing out on one of the best ways to accumulate wealth. That's a terrible feeling and it's not the way any of this is supposed to be.

    Alas, that IS the way it be! No amount of "woe is me" complaining will help you win a bid. (That statement pissed you off, I know, but stay with me.) Obviously we have major wealth-gap issues in this country, and real wages haven't kept up. These are facts and they're working against you, big time.

    So what can you do? You're already maxing out your budgets, borrowing from family, waiving contingencies. It seems you've tried all the variables, and still losing bids. There is one variable though that too many FTHBs are unwilling to consider:

    Lower Your Standards! Lower Your List Of Demands!

    If you can't win the house you want, you need to set your sights lower, in many cases much lower. (Again, you're already shaking your head "NO!" My standards are already as low as they can get!") I hate to say it, but that's your entitlement talking. (Ok, now you're furious. Take a few deep breaths though, and realize what I describe is the textbook definition of the E word.) You can almost definitely win a bid on a house that you don't want, because it's too old or too small or a bit farther from where you want to be. The only thing stopping you is your entitlement. (Ok, now you hate me.)

    Your first home is not your "forever" home. It's a starter home. It doesn't matter that you and your spouse "need" that extra 1,000 sqft for the family you plan to start. Would you rather start it in an apartment, or in a house that has one or two fewer rooms?

    Stop expecting that you'll win a house built last year, or last decade. Look at older places. Look at places that have weird smells, terrible kitchens, and trash-heap neighbors. Look at places on the wrong side of the tracks. Does that sound bad? Yes. Does it sound worse than continually losing bids and never getting a house? That's your call.

    So the advice is simply this: If you're continually losing bids, then you need to lower your standards until you win. It's really that simple.

    One other bit of advice that plays into this. "You don't make money when you sell your house; you make money when you buy it." Counterintuitive, but true, and probably the best RE advice I've ever heard. Stretching your dollars to buy a nice house now will not lead to better long-term appreciation. Buying a cheaper, crappier house in a neighborhood that's slowly improving will. Plus, it might be your only chance to win a bid.

    Alternatively, take your chances that a major price crash is coming. Wait for that and try again. I've yet to see any compelling argument that this is in any way a "bubble" or that prices are soon to collapse. But nobody can predict the future, so that's a gamble you can take. Just don't be surprised if in 3 years, prices have continued to rise, and you find yourself in a worse situation than you do now.

    Best of luck to all FTHBs. The timing really is bad for you, but you do have options. You just need to consider them all, even the ones you don't like.

    submitted by /u/Clevererer
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    Who the heck are all these people with so much money everywhere buying all the houses?

    Posted: 08 May 2021 08:00 PM PDT

    Who are these people putting in these amazing offers after 1 day with seemingly endless money and no worry about contingencies or appraisals? I hear about them but don't know any of them. How do they have so much $, how are they everywhere in the country at every price point and where have they been until now - why are they coming out of the woodwork this year and if they have so much damn money, why don't they own a home already? People complain about this country but apparently we have a shitload of people doing really well all over the country!

    submitted by /u/Yankees607257
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    Home appraised 40K under agreed sale price, but my contract agreed to paying 5K over appraisal if it didnt meet. Is this enforceable?

    Posted: 09 May 2021 06:52 AM PDT

    So the market in Phoenix is crazy with the west coast cash shoppers putting down crazy sums. I put in an offer with a VA loan and the seller (house flipper company) accepted after the cash offer backed out.

    The original offer had an appraisal contingent that said I would pay up to 5K above appraisal if it comes in lower than sale price. Well it came in 40K under and my realtor said their company lawyers are going to talk to their lawyers about what that means if the seller agreed to the offer with the appraisal contingent in the contract. In the past people have walked away when this came up.

    Has anyone ever heard of something like this?

    submitted by /u/bwleung89
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    If you’re a millennial did you get parental/family help to purchase a home?

    Posted: 08 May 2021 07:23 PM PDT

    We sold our home 6 months ago and I remember out of 4 people who either offered or were going to offer, my agent had mentioned that 2/4 were young families whose parents came with them to showings and one of them was "helping" their kids buy it so their grandchildren could grow up close to their own house and the other was going to outright buy the house in cash for his child. I am just curious if you're a millennial, did you get financial help to buy a home? We did. My spouse and I received a small inheritance in our 20s when a grandparent passed away and we banked it and it covered almost half of our downpayment 2 years later

    submitted by /u/muchcoinmuchfun
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    Bitcoin and housing market collide as home sellers increasingly accept crypto

    Posted: 09 May 2021 08:37 AM PDT

    https://money.yahoo.com/bitcoin-and-housing-collide-as-home-sellers-accept-crypto-195630096.html

    Last month, there were 71 listings that mentioned crypto or bitcoin in their descriptions on the real estate listing site. That's 14.3 listings per 100,000 homes, the highest rate on record, according to the data.

    Agents, why isn't your client accepting Bitcoin yet?

    submitted by /u/hyperinflationUSA
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    Market so insane that someone hopes to open a business writing “love letters” for buyers

    Posted: 09 May 2021 05:36 AM PDT

    Can you negotiate with opendoor for a higher offer?

    Posted: 09 May 2021 07:47 AM PDT

    Time sensitive details around selling our house, namely a divorce so that's why we're leaning towards opendoor, but still feel like we're leaving some money on the table for convenience. Charlotte NC metro area.

    submitted by /u/CaroRep
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    [DFW, TX] What type of offers are winning?

    Posted: 09 May 2021 06:17 AM PDT

    If you are a realtor or someone who has had an offer accepted recently in the area, would love to hear what you won with.

    I've been looking for a house for awhile now and have offered on several houses but none have been accepted. Most of our offers have been 20+ over list with the most recent being 31 over on a 300k house. We are financing and putting over 50% down while waiving appraisal. Would it be better to lower our offer and go through a service like Ribbon to submit a cash offer?

    submitted by /u/rodvang
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    Convert 1 car garage to 2 car tandem garage

    Posted: 09 May 2021 06:03 AM PDT

    My home has a 1 car tuck under garage that connects to the basement. I'm thinking of removing a non-load bearing cinder block wall to convert to a 2 car tandem garage.

    Is this advisable and, if so, will it help or hurt with resale value? The existing basement is unfinished. The home was built in the 1930s..

    submitted by /u/ruminator755
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    New construction basement kitchen

    Posted: 09 May 2021 09:39 AM PDT

    We are building a new house. The builder had an option for rough plumbing for a basement bathroom. But we did not see an option for plumbing a basement kitchen. Before I ask my builder about it I'd like to ask here if kitchen plumbing is connected to the same plumbing they are giving for the bathroom or it requires its own plumbing? Thank you.

    submitted by /u/Nofux_given
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    Yellow dot on zillow

    Posted: 09 May 2021 09:32 AM PDT

    Does anyone know how long a sold house stays yellow (recently sold)? Coming up on 3 years now since we bought and my house still shows as yellow when I check it out.

    Just curious - couldn't find it easily anywhere.

    submitted by /u/rjk203
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    Using a home equity loan on rental property to buy a primary home

    Posted: 09 May 2021 09:17 AM PDT

    How good/bad of an idea is this?

    I have a paid-off Bay Area condo I'm renting out and I live in a rental myself. However I'm tired of renting and want to own my primary residence so I can be free to work on it, landscape, and just be the master of my own domain.

    Should I take out a home equity loan to cover the 20% down on a new place?

    I'm not crazy about adding risk to my already-paid-for property, and the additional $50-$60k interest and closing costs over the life of the loan. But I don't see another way to pull off the 20% down.

    submitted by /u/space-spelunker
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    Can I get a mortgage with no income?

    Posted: 09 May 2021 09:10 AM PDT

    I'll try to keep it short.

    My wife and I are potentially looking to get our first home together. We both have excellent credit scores and no debt. We are looking to buy a home that's less than 200k.

    I plugged in the numbers on smartasset and it's estimating around 18k (total for down payment of 3.5% and closing costs including FHA upfront insurance). Monthly mortgage averages about $900, which is extremely cheap for the state we're looking at. State minimum wage could even afford this mortgage.

    We are US citizens, but currently working and living abroad, and we have saved 21-35k for this. We have an emergency fund as well (but not mentioning because it isn't for the purpose of the home).

    We're looking to secure a home before we make the final move back to USA. So obviously, we will have no job/income once we're transitioning into the move. I am confident we will be able to pay mortgage. Will we be able to get a mortgage if we show them our bank statements to prove we're okay?

    submitted by /u/moondun
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    resale houses listing price is dropping but the builders still increase their price-Austin, TX

    Posted: 09 May 2021 08:46 AM PDT

    In the Austin market, so many new listings added in April!!! many of the houses dropped prices after 1 week no offer.

    However, Builders are still INCREASE their price.

    I was in contact with two builders in December and Jan, confirmed the lot and floorplan, but one builder told me in March that "we changed sales strategies, so everyone has to BID"; another builder told me " we decided not to releases these lots until the construction are almost complete".

    Well, what happened to all these back and forth communication about lot and floorplan selection!!!

    I was frustrated. So I decided to wait. Now I am waiting for the builders to understand the market and make the price reasonable for local people,

    submitted by /u/Ambitious_Classroom3
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    Transferring Property Ownership in Family

    Posted: 09 May 2021 04:39 AM PDT

    My wife and I just moved to Austin Texas. We are currently renting, and our lease is due by the end of June.
    Rents are very expensive, so we prefer to buy a house and build equity, than to just give our money to a landlord.

    I spoke to a local loan officer, and they said that although we have the funds to cover the down payment, closing fees, and the monthly mortgage fees, I can't take a mortgage because I don't have a credit score or an employment history (we moved from abroad, and I only start working in June).

    What are our options? We really don't want to lease an apartment for a year. All rentals have an additional charge for animals and we have 2, so it's gets very expensive.

    My father in law has good credit, and I was wondering if it would be possible for him to take a mortgage on our behalf, and then refinancing when we are able. Is that possible? What costs would be involved with this option?

    Appreciate the Help

    submitted by /u/BitAdministrative884
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    Veteran property tax Exemption for Co-op/Condo (NYC)

    Posted: 09 May 2021 08:05 AM PDT

    Hey!

    Quick Question; i know that the Veteran Property Tax Exemption applies to houses in NY state (roughly 15% in the assessed value). however if i were to purchase a condo or Co-Op in Manhattan would this apply as well to the assessed value? or because im paying the assessed value through the Co-Op board i dont get the reduction? anyone with experience would greatly appreciate it!

    second follow up question would be; NY states Eligible fund exemption that offers a $7500 reduction if a veteran uses pension, bonus or military pay. does a any money from a TSP or Military disability count?

    thanks in advance!

    submitted by /u/deepblue02101996
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    Need advice on renting/buying!

    Posted: 09 May 2021 07:52 AM PDT

    hi! my fiancé and I have been trying to buy a house now since about February.. we are located in MA specifically the north shore area. The market is ridiculous as it is everywhere... we're coming to the point where we are 0/8 on our offers and now we're having the fear of overpaying for something and ending up getting screwed in 5-10 years when we try to sell again as it is unlikely we are going to buy our first home it being our "forever home". we were approved for 620k, but we're really not looking to spend more than 3000$ a month on our mortgage including PMI and home insurance. So my question is do you think we would be better of renting for another year and waiting to see if the market is any better then?

    Right now we are month to month renters paying $1920 for a 700 sq ft apartment; we have two dogs so this is why we've been pushing to buy as we really want them to have a yard. There is an option of a 833 sq ft townhome rental near us that is $2200 a month, but that would mean we would be locked in for another year of renting unlike our current situation which is month to month. I need advice; I'm torn as to what to do! I have this unrealistic fear aka "FOMO' (fear of missing out) on our perfect home in the next year.

    Also to add to the mix even more we're currently trying to plan a wedding for Summer 2022 as if we don't have enough on our plates lol!

    Please help :-)

    submitted by /u/dogmom1119
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    Clayton Home Process?

    Posted: 09 May 2021 03:23 AM PDT

    If I find a land lot that already has septic and water hookup from a previous home (that burned), what would be the process of securing something like a manufactured Clayton home on the property? For example, would a conventional loan cover something like this? I can imagine in my head that it might be 2 different financing things - one for the land and one for the clayton home itself? Any information is helpful. (PS I'm aware of some of the downsides of the manufactered homes/appreciation). Thanks!

    submitted by /u/Pinkisacoloryes
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    Saving an old house as a FTHB

    Posted: 09 May 2021 06:31 AM PDT

    Through a weird chain of events, my husband and I found out a friend of a friend was going to sell their house in the neighborhood we want to live in. It is a 4 br 2 ba brick 1930s house with a slate roof and a nice backyard--a gorgeous old house. They had rented it out for the last year and their renters destroyed the place--had bunnies and a cat that they let loose in the house when they weren't supposed to have animals and smoked cigarettes in the finished attic, which is the 4th bedroom. They are currently living out of state and came up to clean out the house; we swung by to get a tour and I had a splitting headache afterward from all of the strange animal/cigarette smells. I have asthma and allergies so this immediately set alarm bells off. The couple was not trying to hide any of this though, they were clearly very upset at what the renters had done to their house.

    However, we could see how special this house was. It had its original hardwood floors (that need to be redone), the original stain glass door, the original carved wooden staircase, the wood burning fireplace, even some original light fixtures. Some things were original that were not ideal: the windows for instance and no air conditioning. And an outdated definitely not original kitchen. I know this house would be a lot of work and we don't know what we are doing. I also have this overwhelming desire to save it so an investor doesn't ruin it--I'm getting a degree in design history so I appreciate the historical details.

    They are prepared to give us a very good price on the house if we take it as is. Should I let this go? With asthma and allergies is this just a non-starter? Are we getting ourselves into a money pit we will regret? Or might we be getting a chance at our dream home that we would otherwise never be able to afford?

    submitted by /u/headoverheels14
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    Moving abroad, sell duplex or keep it?

    Posted: 09 May 2021 05:31 AM PDT

    I am moving abroad in the next year. I would be gone anywhere from two to many years. I would get a property manager if I don't sell before I move but currently do things myself. Should I sell my duplex or keep it? Anyone have any stories about being a landlord from abroad?

    -bought in 2017 for $175k -comps are selling for $280k to $300k -gross income is $1750 per month -both sides rented to great tenants -mortgage + taxes + landscaping is $990 per month -average yearly maintenance/ upgrades cost $2,400 (roof repair, new hot water heater, etc) -big upcoming expenses - new HVAC systems ok both sides ~10k each -very well built property in desirable area near downtown - property manager charges 10%

    When I bought it I lived in it for a year and really love the neighborhood and house itself. I could potentially move back to this city but my family would need a bigger space unless I lived there later as an empty nester.

    The previous owner bought in 2005 for $149k. So with comps being so high, it seems like a good time to sell. I'd reinvest the proceeds into either REITs or a broad market ETF, I wouldn't buy in my new city.

    submitted by /u/cocoindo
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    Help! Home buyer lost their job less than a week before closing - what should they do?

    Posted: 08 May 2021 05:52 PM PDT

    Homebuyer has been looking for a house for over a year. They were terminated with a large severance days before the closing date. What should they do? Ideally, they want the house regardless and already have interviews lined up so finding work is not a concern. (Ohio)

    submitted by /u/chelsah10
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    Is it possible to rent an apartment with a partner who has a prior eviction from 6 years ago

    Posted: 08 May 2021 01:54 PM PDT

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