Newsflash: Building new versus buying

We’re on year #2 of watching and waiting for a house to buy. Our search area is small and there are probably two to three dozen homes in our search area that meet our size requirements. There is no telling if one will come up for sale this year. I want to at least price out the cost of building a new home if we aren’t able to buy a home in the next few months. I’ve bought and sold homes before, but new construction is brand new territory for me. How do you find out how much new construction costs, or who would be a good builder to use? We live in rural Missouri. We have land to build on already.We would rather just buy… We have let the major real estate agents in our community know what we are looking for, and I get alerts from the realtor . com app. Any advice on how to buy with such slim options? Expanding our search area is not an option.

Read more at https://www.reddit.com/r/RealEstate/comments/beujxf/building_new_versus_buying/?utm_source=ifttt

Advertisements

Newsflash: Acquisition?

I am interested in buying medium to large apt complexes as a business venture( for the cash flow) but I’ve come to the conclusion that I won’t be able to because it’ll require a 20% down payment. Which I don’t have time to build/ nor have yet. I was wondering if it’s possible to offer the seller to be a business partner where he/she owns 20% in equity share via LLC and I finance the rest throw a loan. I figure this way I can go around not have the down payment.What do y’all think about this strategy?I’m 21 and in college. Just looking to create something for myself.

Read more at https://www.reddit.com/r/RealEstate/comments/beur2v/acquisition/?utm_source=ifttt

Newsflash: anyone experince with appraisals or vertan flippers?

im looking at a duplex in a b class area with price being 240k and so far from what i can tell the place is outdated. It needs paint, flooring, etc nothing to crazy. The comps are 250k 270k 255k 285k 315k, does it make sense putting 20k into rehabbing the property and cashing out 1 year later? it cash flows 400 and its in Philly

Read more at https://www.reddit.com/r/RealEstate/comments/betwhk/anyone_experince_with_appraisals_or_vertan/?utm_source=ifttt

Newsflash: Need some advice on my rental property!

Hey all,Just some background information about myself before I get into specifics. I graduated from unit in Canada with a Bachelor of Commerce and my major was in Real Estate. Currently I am 24 and have owned my rental property for 3 years.As a student I was spending 600-700 each month on student housing. I decided to take off a year, work, save up and purchase my own. I made the bulk of my down payment through day trading and the remainder in my part time job. I did all the market research myself and have maintained a 7% cap rate. I am currently cash flow positive by only 50$ per month. The purpose of this property was not for substantial cash flow gains but rather appreciation value.Prior to purchasing this apartment, I informed my agent that it’s purpose was for a rental property. While I was completing school I had a roommate and we shared the rent with no issues. I have now rented the 2 bedroom apartment out to master students and I’ve moved out. I have been receiving emails from the condo corporation asking me if I still reside in the residence, for simplicity I said yes while also listing both of them. I have now come to the realization that it is forbidden to rent out these units as per the condo corporation rules. It was hidden in the contract that my lawyer already looked over. Upon hiring a second lawyer was when the issue was pointed out. I am stuck in a MAJOR dilemma at the moment.As the current lease term is about to come out I need to decide what to do or this will be vacant for the upcoming school semester.Should I: 1. “Play stupid” and lease new tenants and beg for Forgiveness if I get caught. After all I literally cannot find any information online about people being fined for something like this.Try and negotiate with the condo corporation.This property is 1.5 hrs away from where I work and live and will therefore be forced to sell if I am unable to rent it. I do not want to sell it right now as I do have a lot of equity in it as I’ve been prepaying each year. Have anyone of you experienced something similar? If so what did you do?For reference, the apartment was purchased for $170,000, and has a current OSB of $125,000. I’ve dropped $7,200 into adding a second full bathroom and kitchen upgrades. Based on the comps I’ve gathered, I would estimate the market value to be around $215,000. I roughly have $90,000 of equity in the apartment.If I were to keep it, my plans were to refinance and use that money to purchase a multiplex 6 bedroom in the area. I have roughly $20,000 cash on hand for this investment and was hoping to only use a 30%-50% LTV to fund the remainder of my down payment. I’ve read many mixed reviews on using HELOC/home refinancing but from what I remember in school, it’s how people got insanely rich. I hope I’m on the right track, I welcome any questions and criticisms, I only want to learn and better myself.Thanks!

Read more at https://www.reddit.com/r/RealEstate/comments/bernek/need_some_advice_on_my_rental_property/?utm_source=ifttt

Newsflash: Pre-Purchase Inspection Question

I just received the 3rd party inspection and there are a couple of things I’m unsure of, hoping somebody would know the answer.The electrical service panel on the outside of the house cannot be accessed because the fence was built too close. How hard will it be to remedy this assuming the fence can’t be moved? Can the seller (or me) go back to the builder to fix this since it’s not up to code? Home is only 5 years old. Here’s a picture: https://ibb.co/jVVHgSNThere is a tree very close to the home with branches over the roof, is it common to request the seller to have the tree trimmed? Inspector couldn’t perform a visual inspection of the roof from the ground due to this.Is it common to ask to replace burned out bulbs? Or is this just nitpicking?Thanks everyone.

Read more at https://www.reddit.com/r/RealEstate/comments/betjgk/prepurchase_inspection_question/?utm_source=ifttt

Newsflash: Living in shared inherited house guidance

My father in law has suggested that my husband, myself, and our children move into his house (he’d still live there). We would be paying him a rent price to cover the mortgage and a little extra towards his living expenses. He’s stated that he’d like for it to be a long term arrangement as he is getting old and we will be meeting soon to discuss some finer details before we make a decision. This is where I hope you all can help offer some suggestions/guidance.My husband mentioned that if we were to relocate there we’d be building a new life there and would like to have some reassurance that when his father passed we would be able to stay in the home. His father said that currently the house (again, not paid off) is willed to be split evenly between his children.Because we would be paying the mortgage payments and assuming repair and renovation costs as they arose, plus raising our family in the home we aren’t comfortable with deciding to move in only to have to move and sell the home eventually when his father passed. The home is in an area we wouldn’t be able to afford to purchase a home in ourselves and we’d have to relocate all over again, and we also wouldn’t be able to afford to pay off his two siblings and also keep paying the mortgage. This home is extremely sentimental to my husband and his father has expressed that if we don’t move in he’ll likely need to sell it and he also doesn’t want to sell it (no one wants it to be sold).We know these things can be tricky so we’re hoping that anyone more versed in the intricacies of inherited homes could give us some insight into what will arrangements we could suggest to him might be more fitting for the home if we go through with living there. He’s open to hear our suggestions at the meeting.Thank you

Read more at https://www.reddit.com/r/RealEstate/comments/bes2en/living_in_shared_inherited_house_guidance/?utm_source=ifttt

Newsflash: No response from sellers agent after an offer.

Has anyone had this happen? We made an offer on a house last week. Initially, the sellers agent said it was a solid offer and they would present it, the house has been on the market for 9 months. We gave them 3 days to respond and our agent never heard from them again. They aren’t returning calls or emails for 5 days now.We’re already so overwhelmed and aggravated by the home buying process and were really excited about this house. We can’t force the seller to respond I suppose so I guess we’re moving on… I just find not getting a response extremely aggravating.

Read more at https://www.reddit.com/r/RealEstate/comments/beskk8/no_response_from_sellers_agent_after_an_offer/?utm_source=ifttt

Newsflash: Lean on house from developer not paying sub

My house was built and certified for occupancy in March 2018 and I have been living it in for a year. The entire tract of 33 homes has been completed for a year as well.The HOA and City have a total of $1M in escrow yet to be returned to the developer because they have failed to complete certain infrastructure items one of them being land branding in between the homes to mitigate flooding.The developer contracted with a land grading company to perform the work and now the developer is not paying the grading company.The sub has now put a Lien on all 33 homes. There was no contract between the home owners and the grading company. They did not even seek consent from homeowners to come on our property and start ripping up the ground.Does the grading contract have legal grounds to put a lien on my home in this situation?

Read more at https://www.reddit.com/r/RealEstate/comments/bes9vx/lean_on_house_from_developer_not_paying_sub/?utm_source=ifttt