Urg, prospective House - Not sure what to do...

[rhbgirl24]

Advice, dust, and maybe a little rant....

So my husband and I have been house hunting. We live in a very small one bedroom apartment and just need a bigger place. I've worked in real estate for 8 years previously, and currently foreclosure real estate and NOW is the time to buy, esp with the 8K break.....

Some background - we're looking for a 3 Bedroom, at least one and a half bath on AT LEAST half an acre, with a garage and preferably a basement for hubby to have some work space. Not the easiest thing to find in our price range, but we've looked at 12, and maybe 2 we would consider, the rest HELL NO. I like bigger rooms, more lofty and it doesn't all come in our price range, unfortunately.

So my agent calls me and he found this house outside of where we were looking, in another county all together. Its a bank foreclosure. A 2 story colonial built in 1982, 3 nice size bedrooms, a large master suite, a 2 car attached garage, AND a 2 car detached garage, 2 full bathrooms upstairs and a half bath downstairs. Large formal living room 14x18 (which we dont need, but...), dining room, nice size kitchen, a completely open room with a brick fireplace, and a HUGE family room 16x24. Its on an acre of land. All pergo flooring, skylights in fam room, the works. Its about 1000 Square feet bigger than what we were looking at within our budget. I fell in love with the house....

BUT.... and this seems to be all DH sees. 45 min commute to work for us (we have 15 and 30 min), the inground pool needs a new liner, the kitchen eventually needs to be redone (the most horrid cabs I've ever seen, but they are new and they do work), the upstairs master bath needs to be ripped out and completely redone (it has an old fashion stall shower that DH doesn't fit in he is so tall, and a tub that needs to be replaced. But there is the other full bath to use upstairs while we do it which is newly redone) Plus b/c its a foreclosure there are no appliances, so we would have to buy them straight off..... besides that all it needs is paint, all flooring, walls, everything are in great shape and we'd have the 8K to work with.

I would jump at it, I see the potential for making some money here (we could be getting it for about 200K less than it sold for a few years back, but that still would be the upper end of our budget) and having a house that I love. He just sees a lot of work as soon as we get it, as opposed to some of the others which is work we could do over time.

In this market I'm scared to not take it b/c it will be gone and we prob wont see this opportunity again, but I'm scared to take it because of how the economy is as well. I'm just completely torn, and a little upset that he can't see the positive. I also dont want to push him into something that is a lot of work if he doesn't want to, but I dont think he wants to tell me no if I love it.... urg! I'm just plain confused.

Thanks for letting me rant.... anyone who has done this have any insight?

 

[lyra]

Location, location, location? I feel that you would be getting the house for what it is actually worth, and wouldn''t see a rise in equity for a long time with the economy the way it is. So if you''re comfortable with the selling price as being the worth of the property, and can afford to do the most necessary repairs, then fine. I wouldn''t count on building equity quickly though. If it is a house you see yourself staying in for 10 years, is in a great neighbourhood, etc., then great, go for it. The bathroom issue could possibly wait or be done over a period of time like you say. The pool issue needs to be addressed much sooner. Then there might be added expenses such as monthy pool maintenance, landscaping upkeep, extra heating/cooling for the sq. footage of the home, property taxes (higher?), and so on. It sounds good on paper, but personally, it would be too big for me to be comfortable with. I''ve had very large houses though, so maybe it''s just a phase I''m going through.

 

[tyty333]

I dont know in what part of the country you live...but I''ve had 45 minute rides to work and I''ve had the 15 minute rides to work.
Spending an 1 1/2 on the road each day is not a whole lot of fun. I know in some areas that is the norm and not considered a
big deal but I hated it. If by the time you get home from work you are so tired you cant really enjoy your house then its not worth
it. I''m just trying to give you his prospective on it. Why dont the two of you sit down and make a pros and cons list about the
house. You''ll need to weigh how important things are to you...like having a short car ride, getting a big yard, getting a deal, etc.

Also, when you throw kids into the mix (dont know if you have them yet) less time on the road becomes even more important.

 

[rhbgirl24]

Thanks for the input Lyra.

As for the neighborhood, this one has more value and potential growth than where were were looking at. As my agent put it, ones that we could buy in this price range in our location would more than likely stay similar in price, even when the market goes back up, this foreclosure, because its so discounted now (being sold for the amount left on the loan) would more than likely return to the appraised value with time and then upwards in value with improvements. But I really like the house and would stay for probably 5-7 years.

And TyTy - I've had over an hour drive to work before, actually just last year, so I know how that is. It sucks, no way around it, but probably worth it. And no, no children, and more than likely none in the near future, if ever.

Thanks everyone - I think its important to see all sides..

 

[movie zombie]

the real estate market is not going to rebound for years. if you buy now, be content that you are not going into a money-maker but a home.

the big mistake is buying to make $. the right answer is to buy to have a home.

so, no, i wouldn''t jump on this just because it has potential. that potential may be more than 10 years out and in the mean time you are commuting and your husband may resent you for getting him into this ideal home that is really for you a fixer upper.

mz

 

[MichelleCarmen]

A couple "cons" that would concern me is that you say the house is 1,000 sq feet larger, but it seems part of that space includes a formal living room you don't need. Are there other rooms you won't use?

Also, REALLY keep in mind that 1 acre requires A LOT of maintaince. Is the parcel cleared or is it part woods? We had over an acre 1.25 of cleared and 1/2 landscaped yard and it took FOREVER for my Dh to mow the lawn in the summers. He hated it. The landscaped portion required hours of weeding and we weren't ever able to keep up because I do not like spraying chemicals on my weeds (with having kids/cats) so we did it all by hand.

 

[NewEnglandLady]

I agree with MZ. It sounds like you are very interested in the idea of investing in this house while your husband is more interested in finding a home he loves. In my opinion it''s hard to justify buying a house as an investment for two reasons: 1.) We have no idea if the housing market is going to continue to plummet and never really rebound and 2.) For most people buying a house = going into debt and that is always risky. People who do buy homes as investments pay cash (and can afford to gamble). Those of us who can''t pay cash are taking a risk and going into debt. My mentality is that if I''m going to go into debt, my main focus is going to be on creating a home that fits all of our needs for the next many years and that is well within budget.

If it were me, I would want for my husband to love it as much as I do. My husband and I have been house-hunting for several months now and there have been a few homes that I''ve loved and he hasn''t (I have an easier time seeing past ugly carpet and old kitchens that can be updated). Still, if he isn''t loving it, then there are always other homes. In fact, the house we''re putting an offer on today does need some updates, but he loves it so much that he''s willing to. And in this market, you can negotiate good deals even if something isn''t a foreclosure. I''d say that you might be able to find a large-ish house for a great deal right now, but if you don''t love it, what are you really getting out of it? There are no financial guarantees when buying a house...

 

[rhbgirl24]

You''re completely right. I wouldn''t be buying this just to make a profit. I''d be buying it because I''d LOVE to make it a home, and then possibly, IF we decide to move way down the line, we may come out on top, instead of even.

Most of the backyard is evergreens, not too much grass except around the immediate backyard. So I''m not too worried about mowing and such, no more than we''re used to. There is a couple of flowerbeds, but nothing more than that right now, even though I''d love to add more - I LOVE landscaping and have worked on it much in my life. So I dont see that as a downside.

The size can be a pain with heating and cooling. The house is zoned for both which helps and no we''d probably use the rest of the rooms with the exception of the formal living room, which would more than likely be just that. Ideally we''d combine the kitchen and dining room to make a bigger kitchen and make that formal living room the dining room... but not right away.

Thanks everyone - its A LOT to think about.

 

[NewEnglandLady]

Good, so you would love to buy this house regardless of the fact that it''s a foreclosure. It''s something that fits all of your needs and that feels like "home" to you. This is what I would talk about with hubby. Forget about the financial side of it, or feeling like this is an investment. Stress that this is a house you love, that this is where you want to build a home...if this isn''t where HE wants to build a home, then I think it''s time to move on.

 

[Tacori E-ring]

Date: 12/8/2009 12:38:30 PM
Author: NewEnglandLady
Stress that this is a house you love, that this is where you want to build a home...if this isn''t where HE wants to build a home, then I think it''s time to move on.

Ditto. You are in real estate. There is lots of inventory out there and there will only be more in the next year. Looking at 12 houses isn''t that high!

 

[movie zombie]

Date: 12/8/2009 12:40:44 PM
Author: Tacori E-ring

Date: 12/8/2009 12:38:30 PM
Author: NewEnglandLady
Stress that this is a house you love, that this is where you want to build a home...if this isn''t where HE wants to build a home, then I think it''s time to move on.

Ditto. You are in real estate. There is lots of inventory out there and there will only be more in the next year. Looking at 12 houses isn''t that high!

unfortunately, this is so very true.

mz

 

[phoenixgirl]

Ditto what NELady said. I think buying a house should be one of those things where you just *know* it''s right, at least in this market. If it were the kind of market where you had to bid instantly and aggressively just to get anything, I''d say go for it, but it isn''t, so you should proceed only if it''s right for both of you.

 

[HollyS]

Location is the most important factor, but coming in at a close second is 'condition'. I don't mean 'does it need paint?' But the bones: foundation, electrical, plumbing, roof, furnace and a/c. Or evidence of water damage or mold. The stuff which can be extremely expensive to repair or replace. When the fixes are minor, and mostly cosmetic, a house like this is a great buy as an investment. Especially if you're getting it at a fraction of what it did cost, and what it may soon cost again.

You said you need to upgrade kitchen, bathrooms, etc. Well, so do we. We bought in August, and have been in the house for just a few months. Our home was built in 1980. Custom home then, but look how decor, appliances, and tastes in general have changed in the last 30 years. While it has been freshly painted, tiled, crown molded, and fixtured for us, it still has 1980s oak cabinets, laminate countertops, the original cooktop, vent, and wall oven, and faux marble bathrooms. Fortunately for us, even these dated features are in great shape; so we can take our time renovating. Move-in ready is a lot of different things to different people; perfection wasn't necessary for me.

If this home is a coat of paint, a few appliances, and a change of light fixtures away from being perfectly livable, then buy it for the investment that it will be, and the lovely home it has the potential for being. Maybe a walk-through with an experienced renovator would help your DH see the possibilities.

But - - do not settle for any house just because it's a good buy. The house had to be one you can seriously envision as your home; it will indeed speak to you when it is the right one.

 

[junebug17]

After thinking about this for a little bit, my opinion is that both of you should be excited and happy about the house, and if one of you isn''t then you should keep looking. Look at it this way, what if dh was trying to talk you into a house you didn''t care for? There are lots of houses out there, 12 isn''t really that many! I would keep looking, it''s no fun when one person isn''t excited about a new home. You could talk to hime a little more, perhaps point out that the house doesn''t really NEED that much work...the cabinets are cosmetic, you could live with them, even the bathroom could wait since you have another one, the appliances won''t be that much in the grand scheme of things, you''d really only have to address the lining right away. But if he really still seems against the house, I''d keep looking.

Another thought: Maybe you could point out that there''s a high likelihood that any house you buy is going to require some work? It''s pretty rare that a house is in perfect move-in condition. Good luck with this, I know it''s hard!

 

[rhbgirl24]

Date: 12/8/2009 3:13:02 PM
Author: junebug17
After thinking about this for a little bit, my opinion is that both of you should be excited and happy about the house, and if one of you isn''t then you should keep looking. Look at it this way, what if dh was trying to talk you into a house you didn''t care for? There are lots of houses out there, 12 isn''t really that many! I would keep looking, it''s no fun when one person isn''t excited about a new home. You could talk to hime a little more, perhaps point out that the house doesn''t really NEED that much work...the cabinets are cosmetic, you could live with them, even the bathroom could wait since you have another one, the appliances won''t be that much in the grand scheme of things, you''d really only have to address the lining right away. But if he really still seems against the house, I''d keep looking.



Another thought: Maybe you could point out that there''s a high likelihood that any house you buy is going to require some work? It''s pretty rare that a house is in perfect move-in condition. Good luck with this, I know it''s hard!

Thanks! I think he may seem against any house somedays.... looking isn''t fun work, I can say that. Good to hear other people perspective, I very much appreciate it!

 

[gardengloves]

Does your husband have construction skills? ready for a project? if so, go for it.