topic Re: Put in an offer today... in Mortgage Loans

Put in an offer today...

Anonymous — Sat, 16 Jan 2021 23:04:54 GMT

I put in an offer for a mid-century modern home. It was listed at $189,000. I am pre-approved for $200,000 (though I could go higher than that but I don't want to). It has already dropped from $230,000 when it was first listed three months back. It is being sold 'as is'. It is part of an estate so likely former owner passed away and the executor of the estate is selling the home. No buyer contingency since executor has never lived there. I offered $160,000 (assuming they will counter-offer). No way that the place is worth the asking price of $189,000. Cute home on the outside but needs a ton of work on the inside. All the carpets are horridly stained so all new flooring is needed. At least, a couple windows will need to be replaced as the seals are broken. Very poor patch jobs done on the plaster walls in the living/dining area. The kitchen needs massive updating. The kitchen is in poor condition. The bathroom is okay but will eventually need updating too. Electric also needs updating as all the outlets are the old-style two-prong outlets. It could be a super cute home. It already is super cute on the outside but the inside is a tragedy I don't mind a fixer-upper as long as it is the right price. Hopefully, the inspection doesn't find a ton of problems (assuming they even accept the offer). It has been sitting at the current price for about three weeks with no offers. The agent said they have had several showings but no offers. Hmmm, perhaps because it is over-priced for the amount of work that it needs???

Re: Put in an offer today...

lisabobisa — Sun, 17 Jan 2021 01:26:57 GMT

Congratutations on the offer placement! I'm sold at super cute! Sounds like it has tremendous potential! Are you going to have renovation costs built into your mortgage?

Re: Put in an offer today...

Anonymous — Sun, 17 Jan 2021 19:36:03 GMT

No, I am not having renovation cost built into the mortgage. I plan on renovating the needed stuff first (electric, etc). I plan on doing many of the renovations myself ove the next year or so. Anyhoo, they accepted my offer so they obviously knew they had it over-priced. The house is in liveable condition but just needs a ton of updating. I have an inspection scheduled for Tuesday.

It is a true mid century home with the floor to ceiling windows in the living area, lightly sloped roof over that area and flat roof over the bedroom area. Totally my style. I grew up in a mid century ranch home and have always wanted a mid century home for myself. Granted, my mom and step-father didn't care about mid-century modern. They bought their home in the 80s because it was large and well-priced. Mid century wasn't that popular then. I was the one who loved all the mid century details as a kid and as an adult.

Re: Put in an offer today...

lisabobisa — Sun, 17 Jan 2021 19:51:59 GMT

Wow that was fast! They were eager to sell, no? You seem really excited about the natural character of the house and it sounds like it was meant for you!

i am currently rebuilding my credit to prepare for first time homeownership. Hopefully, this time next year I'll be house shopping and find something meant just for me!

Re: Put in an offer today...

Anonymous — Sun, 17 Jan 2021 22:30:39 GMT

I was in the same boat. A year and half ago my scores were in the lower 600s. Now I am at low 800s so I could get a good rate on the home. I want to renovate the home to mid-century modern standards...meaning no Pottery Barn type interiors (not my style anyway). I always hate when I see someone buy a mid-century home and then remove all the mid-century elements and update to 'modern' aesthetics. It totally destroys the character of the home. It bothers me with other styles too. My sis and brother-in-law bought a run down 1906 Victorian home and meticulously returned it to it's former glory and kept all those lovely Victorian elements. When they sold the house about 7 years ago to move, the buyers got rid of most of the Victorian elements and made the house super modern on the inside. They sold it recently so I saw the photos of the interior online *shudder* The inside does not at all reflect the exterior anymore (luckily they were barred from changing the outside). You wouldn't know that you were even in a Victorian home by the current interiors. They got rid of all the character of the house when they 'renovated' it. It didn't even need renovating as it had been completely renovated just a few years before.

Re: Put in an offer today...

Anonymous — Mon, 18 Jan 2021 17:20:21 GMT

Congrats!!! I actually bought an estate home myself in September of last year. The house needed and still needs updates but was in very good condition otherwise and inspection came good and there were only minor concerns which we did negociate. Since it was an estate home we just agreed to some closing credits and for me to do the repairs. I'm so glad they accepted your offer, inspection is next and definitely worth the money, as i know some people have been waving it. It's a big investment and there will always be some things to fix but as long as it has good structure and is built well, most things can be managed. Good luck with everything and I am happy your offer was accepted!

Re: Put in an offer today...

Anonymous — Mon, 18 Jan 2021 18:42:29 GMT

Well, the sellers put in writing that they won't be responsible for any repairs the inspector finds. We knew this going in, but we have an out that if the inspector finds big issues that we can back out. We already saw some issues during our walkthrough touring the home (electircal, a couple windows with broken seals). We couldn't determine what the shape of the roof was as it is mostly a flat roof. Hopefully, the roof is in decent condition.

There is a build on room in the back that also likely needs a new heating system (not connected to main furnace). It has it's own electrical panel and baseboard heaters. The baseboard heaters looked ancient and not well taken care of. I would be afraid to even try to use them LOL My plan is to eventually convert that whole area into a master bed/bath if the inspection goes well.

Also, looks like the home (except for the bathroom) was renovated in the later 70s when addition was built. So most of the interior mid-century details have been removed. It looks like a 70s home (not a 50s home) on the inside. Most of the finishings they used were on the cheaper side too and haven't held up well.

Re: Put in an offer today...

cleansl8tvet — Mon, 18 Jan 2021 21:45:20 GMT

I've seen victorian homes recently when looking at places to see what I would like and they have the most character out of all the homes out there. The new ones are just too cookie cutter like and have no warmth or cozyness feel to them when you see them. Instead you get a clinical cold feeling that usually goes with hospitals or hotels. It's a lot of work to get homes to that level of character to begin with. Ruining it by taking away all the character defeats the purpose of getting the house in the first place unless you want a modern place that is just tall or has a lot of square footage. Some people have pretty different styles and tastes that's for sure. I just wanted to comment saying I would never change much if I bought a victorian house except for some of the technological aspects nothing that would outright ruine it. Did you see some of the historical homes too online? I'm sure every state and county have them. They are some of the coolest houses I have ever seen. Some have original stain glass windows, ceilings etc...

Re: Put in an offer today...

nastalgia — Mon, 18 Jan 2021 22:22:37 GMT

Congratulations on the offer. I close on my offer on the 1st Feb.

Re: Put in an offer today...

Anonymous — Tue, 19 Jan 2021 19:36:04 GMT

I currently live in a Victorian home that was split into apartments. It does have tons of character...original floors, tall windows, large moulding along floor and ceilings. Very pretty. I think a real mid-century modern home has tons of character too. A very different character than a Victorian though. I have always loved mid-century modern since I was a kid. I was the only one of the family who appreciated the mid-century elements on our old home. Everyone else was like, 'Meh...whatever.'

Anyhoo, the inspection went surprisingly well. The electric needs upgrading but we already knew that and budgeted for it. There needs to be some flashing (whatever that is) around the chimney as there was a bit of water seepage but nothing major. The inspector said that house was overall in very good condition. The roofs are apparently a membrane roof since they are flat over part and very low slope over the rest. Membrane was apparently newer so no issues there. Apparently, the house is built on a slab even though the ductwork is underneath the home. They poured the concrete around the ductwork. The inspector said he had never seen that before. But that means that I should just be able to remove the flooring and have the concrete floors done as I wanted concrete floors throughout the home anyway.

Re: Put in an offer today...

jrands — Wed, 20 Jan 2021 08:37:55 GMT

Did someone say mid-century modern home??? I am currently looking for my own. You must put up a reno thread. Would live to see the finished product. Congratulations.

Re: Put in an offer today...

Anonymous — Wed, 20 Jan 2021 13:16:05 GMT

Took me forever to find a mid-century home in the area where someone hadn't recently 'updated' it and removed all the character. So because they were recently 'updated' (meaning looks like Pottery Barn inside) they cost an arm and a leg. The mid-century I am under contract for had most of the mid-century elements removed in the 70s. It hasn't really had much done with it for 40 years except for basic upkeep (new roof membrane, HVAC, etc). So I was able to get it for a good price since it needs work. Electric and finishing the concrete floors will most likely be first things I tackle. Will get contractors for that stuff.

Re: Put in an offer today...

Anonymous — Wed, 20 Jan 2021 13:27:50 GMT

BTW, this house is just outside Lexington. My mom was talking with one of her friends on Zoom and had me tell her about the home. They both live in Lexington now. Anyhoo, the woman knew the EXACT house I was talking about as she grew up next door This isn't a small area either the Lexington area and surrounding communities have well over 300,000 people so small world. Her mom still lives next door and she knows all the people in the homes around there so said she would introduce me around. Seems most of them are older people now whose kids have moved out. She used to play with the girl next door during the 60s so knew the house well. It was sold in the 70s to a childless couple. The man died several years back but his wife only died this past year. I didn't notice it at the time but she said the reason that couple bought that home was because it was wheelchair friendly due to larger than average doors. The man had been in an accident and was wheelchair bound.

Re: Put in an offer today...

Anonymous — Wed, 20 Jan 2021 13:56:25 GMT

thats great, I hope the inspection goes well. A good structure if i think very important. I also had a few contractors i knwo come in and do estimates for me so I also knew what I was gettin into for thing I know I couldn't do myself, like upgrading electricial boxes, fixing things on the roof or chimney. If you are able to this is also a good idea just to give you a basis of what you will be getting into financially as well.

Re: Put in an offer today...

Anonymous — Wed, 20 Jan 2021 15:53:06 GMT

The inspection was done yesterday and went surprisingly well. Newer roof membrane so no issues there which was my biggest concern as we couldn't see the roof during the tour as it is a flat roof. Electric needs updating but we already knew that and had budgeted for it. The chimney needs some flashing fixed as there was a bit of moisture seepage but not bad. The electric was his biggest concern but we were already planning on fixing that. A couple windows need replacing and the seals were broken but we already knew about that too because we saw it during the original tour. The flaashing was the only thing we didn't know about and he seems to think it will be fairly inexpensive to fix. He found no major issues. There was also a termite inspection yesterday. The house looked fine but they did find termites in an old tree stump. So area needs to be treated but in Kentucky the seller is required by law to treat for termites if they are found so the seller will have to pony up the cost for that.

Re: Put in an offer today...

Anonymous — Sat, 13 Feb 2021 17:05:46 GMT

My closing date has been moved back *sigh* Everything was squared away on my end so I talked to my loan guy and my realtor about moving up closing date and they didn't think it would be an issue. My realtor contacted the seller's agent, and she also thought there would be no issue moving up the closing date. Anyhoo, I got a call back later than night from my realtor saying that the attorney handling the estate had failed to file some needed paperwork for the title. It was filed this past Wedsneday and must be filed 30 days before closing for estate sales so that means we can't close until March 12th now. The sellers are PO'ed at their attorney. This house was put on the market in November. He had MONTHS to get all the paperwork filed. My loan guy had to extend my rate lock which cost about $585 which the sellers are paying. I hope they charge their attorney for it since it was his mistake, not theirs.

I have also started to get estimates for changes (electrical upgrades, new laundry room and bathroom, new kitchen, refinishing concrete floors). Most of the quotes range from $21,500 to $23,000. Not as high as I thought they would be. I do realize that these are estimates only but I expected higher so I am pleasantly surprised.

Re: Put in an offer today...

Anonymous — Thu, 11 Mar 2021 13:12:39 GMT

Assuming no other issues arise, I should be closing on the house on Monday 3/15. My loan is good to go and the sellers say that the estate attorney has all the paperwork ready this time. I am meeting another contractor at the house today. Wanted to get one last quote. I think I am going with one person, but another option can't hurt.

Re: Put in an offer today...

Anonymous — Tue, 16 Mar 2021 03:02:40 GMT

Closed today. I am now officially a homeowner. Now, we need to start fixing the place up

Re: Put in an offer today...

AllZero — Tue, 16 Mar 2021 03:06:42 GMT

@Anonymous wrote:
Closed today. I am now officially a homeowner. Now, we need to start fixing the place up

Congratulations! Enjoy your new home!

Re: Put in an offer today...

lisabobisa — Wed, 17 Mar 2021 20:33:35 GMT

Woohoo! Congratulations!!