Real Estate fallacies

[Pat-inCO]

Back in 1986 I purchased this house. I guess I've got a short memory,
or things sure have changed since then.

I am attempting to purchase a house South East of Phoenix. Reasonable
place on 3.3 acres, city water and electric, paved road out front. One
of my mistakes is to be using my daughter as the Realtor. She thinks
about something and considers it done (not just real estate).

My local Realtor is very happy to have my place available. The
anticipated sale price is a whole lot more than I anticipated.

Then you get into having the money available at the correct place, at
the correct time, and all the ding-danged banks happy. GRRRRRRRRrrrrrr.

Being retired, with my house paid for, I figured it would be easy to
buy a lower cost house. Not really. Unless I put up my old house to
secure the loan on the new house, until the old house sells, to pay off
the loan on the new house, which gives the banks apoplexy about
securing the loan with a house I will no longer own.

A circle what?

I'm going to take a nap.

Peace and serenity be upon you until something more interesting happens.

 

[Rick Courtright]

A circle what?

I'm going to take a nap.

Peace and serenity be upon you until something more interesting happens.

Hi,

Pat, the real estate gods are speaking to you! They're saying, "Don't sell your CO house quite yet. Find a place in Phoenix you can rent for three months, and make them Jul-Sep. Then decide if you really want to live there!" SoCal on the edge of the desert to southern AZ in the heart of it has been quite the adjustment for many I've known: "We THOUGHT we knew what heat is. Boy, were we wrong!" Northern CO to the heart of the desert might be even more serious.

Rick C

 

[GP100]

A circle what?

I'm going to take a nap.

Peace and serenity be upon you until something more interesting happens.

Hi,

Pat, the real estate gods are speaking to you! They're saying, "Don't sell your CO house quite yet. Find a place in Phoenix you can rent for three months, and make them Jul-Sep. Then decide if you really want to live there!" SoCal on the edge of the desert to southern AZ in the heart of it has been quite the adjustment for many I've known: "We THOUGHT we knew what heat is. Boy, were we wrong!" Northern CO to the heart of the desert might be even more serious.

Rick C

Pat,

I agree with Rick.. And also, the housing market isn't all that great right now either.. You might be better off not selling right now..

 

[Gator89]

Pat,

I agree with Rick.. And also, the housing market isn't all that great right now either.. You might be better off not selling right now..

I wonder why my tax assessment went up 20%?

 

[Gator89]

A'int Dodd-Frank wonderful?

 

[Colonialgirl]

Ever been in Phoenix in the middle of summer when it rains at NOON !!
It'll take the crease out of ANY and every "permanent press" clothing.

 

[Bear Paw Jack]

I started getting interested in having rentals in Phoenix. Know a real good realtor if someone needs one. She's educated as an engineer so pretty detail oriented. Bought 4 properties and sold them through her. All of them went smoothly.
If you haven't sold your house in Colorado yet, get prequalified to buy a house, work every angle, minimal down payment, or what ever you are comfortable with, seller to pay some part of the closing or all. Make sure there is no early pay off penalty, obviously. Most don't have that, some want 6 months worth of payments before you pay it off. Don't mention that you are going to pay it off, as soon as your current house sells, they don't need to know that unless qualifying is difficult. Phoenix is pretty much a sellers market as are many markets today. Living in Alaska I figured Phoenix would kill me with the heat. It is what they say. It's a dry heat. I'd get their early so your body has a chance to get used to it. Truth is during the hottest time, most people spend time in their house, their car, or a store, so they heat is mostly walking from the house to the car or what ever. I have some friends that spends most of the year there and the balance in Colorado. They love it. They do a lot of hiking around and seeing things. In their 70's and the temps don't bother them. Wear a hat, use sun screen and carry your gun in the desert. Most people most live in the area of their house just like anywhere else. My properties were in Glendale. Nice place. I like that it cools off early. Wish I'd kept one of my properties but I'm good here in Idaho.

 

[GP100]

Pat,

I agree with Rick.. And also, the housing market isn't all that great right now either.. You might be better off not selling right now..

I wonder why my tax assessment went up 20%?

It's a sellers market.. Not so much a buyer's market.. Here in Idaho, people put the screws to you big time.. They have garbage, and they are asking the moon for it.. Junk that is falling apart, and they think they have gold.. Then they can't figure out why the house has been on the market for a few years.. Asking outrageous prices..

Not to mention the dishonesty of putting pictures on the internet that have been doctored by them.. Then you go look at the actual house and even the real estate agent is like, "Where the hell is this house they claim is so great?"

The pictures are made to look so great.. But you go there, and it isn't.. They can keep their junk.. I would get out of here if I could..

 

[Bear Paw Jack]

Pat I think they call that being property rich and cash poor. First house I sold here in Idaho was to a guy that said that. He had 3 houses and wanted to buy a different one. $700,000 house. Turned out he had another one in the same subdivision. He pulled cash out of his "investments" and paid cash for it, then put his house on the market for the same price. $700,000. He just wanted to move it quick, and he did, about 3 days and it was sold. He put his money back into the market, and got on a selling jag and sold 2 more houses and put that money in the market. I guess he decided he was home, so that's what he did. I asked him if I could sell his other house for him and he said the gal that sold him that house was his friends only wife there and if that made the lady mad wouldn't make his wife too happy, so I didn't get it. Thought he was going to go to Africa with me, but his wife was pretty strict. Nice folks though. There was a swimming pool in the subdivision but his wife wanted one at her house, and a tennis court. Tennis court needed work and I got a couple of bids so he knew what he had to work with.

It's good you are moving down there so you can be around your children. Times goes by so fast, you won't want to miss any of it. Good luck.

 

[Rick Courtright]

he said the gal that sold him that house was his friends only wife there and if that made the lady mad wouldn't make his wife too happy,

Hi,

Limiting oneself to only one wife per city seems like good practice...

Rick C

 

[Pat-inCO]

Pat I think they call that being property rich and cash poor.

Boy THAT'S sure true!

The one saving grace is that the price mine is going up for is 25% higher
than it would have been just over a year ago. And that is not near the
highest price they are going for (the few times they come on the market).

One of the comparables sold a week ago for $160K more than I'm going
to ask for this one. The realtor was here most of the afternoon and we
discussed many things. She thinks I could ask $15K less and end up with
virtually the same $$s in my jeans once done, but that I would have to put
up with a huge amount of foot traffic. Going with the price we agreed on
I should have a lot less people to contend with.

The realtor also said she thought I could close on my sale in two weeks.
HOPE . . HOPE . . HOPE

The listing is being built with two months of my living in my current house.
That gives some time for if it has a problem. :roll:

Time for another nap.

 

[Bear Paw Jack]

Sounds like this whole thing may work out just fine for you. On the house you are making an offer on just push back the closing date a couple of extra weeks. You can always move it back up if necessary. Course two weeks is a pretty quick closing, so apparently there are a lot of cash deals going on there. But with cash deals that even pushing things to hit two weeks. Three is more common.

What town are you looking to settle in? There are a lot of them down there.

 

[Pat-inCO]

What town are you looking to settle in?

Queen Creek. Just SE of Chandler and Gilbert.

The one (other) thing I'm not too sure about is my daughter will be about
two blocks away. To me, that means when I sneeze, I don't rattle her
screen door, and versi-visa[sic]. But if I want to go over to her place, it's
a short walk, OR I may get a small ATV (probably). Will not mind walking
during what passes as Winter there, but I'm not planning on doing any
walking in 115 degree heat (about three months of real Summer).

Standing joke there is 99% of the people will walk a mile in 115 degree
heat, if they can find shade to park in. :lol:

 

[BearBio]

You may be comparing apples and oranges....Before I went back to school, I worked my way up in the title insurance industry (25+ years). In SoCal, as an Advisory Title Officer and Operations Manager in L.A. and Orange Counties, I sometimes handled multiple or out of state transactions. Basically, California (and Nevada & Arizona) followed principles of Spanish Law and Colorado & Oregon followed principles of English Common Law. Also, practices vary. SoCal practices change about Bakersfield. SoCal has separate title and escrow as a norm; Washington uses one company for both (my wife still is an escrow officer).

In general, it is recognized as a bad practice to allow a buyer to take possession before close. Too many things can go wrong and the deal often falls through.

 

[ronto]

I moved to Las Vegas from a temperate climate years ago and lasted less than a year spending most of my time inside the house for months like a prisoner with the AC running on high...just too damn hot to go outside. Rent for a while to be sure you can handle the heat.

 

[toysoldier]

How about a home equity loan on the house you have? Use it to buy the less expensive house outright, then pay off the loan when your house sells. Fewer hassals and much cheaper. I did it.

 

[Pat-inCO]

How about a home equity loan on the house you have?

I was thinking about that but it will take (at least around here) a month or
six weeks to bring to fruition. The seller in AZ wants to close this month.

 

[Bear Paw Jack]

he said the gal that sold him that house was his friends only wife there and if that made the lady mad wouldn't make his wife too happy,

Hi,

Limiting oneself to only one wife per city seems like good practice...

Rick C

I didn't say that very well. The realtor that sold them the original house was his wifes best friend. He didn't want to risk making her upset and his wife loosing her best friend.

 

[Pat-inCO]

Have an agreed on price, contingent only on it passing inspection.
(second inspection, actually)

I feel a bit better about the price because the lot next door is up for sale
for the asking price for the one (I think) I have on contract, that has .05
acres more land (yawn), but does not have the power in, nor the water
in, just empty land. As if that were not good enough, there is another one
about a half block West, with the same amount of land and two really old
single-wide things on it . . . for $400K! Who dies that idiot thing he is
kidding! :shock:

DOUBLE DING DANG!
Now I've got to get to packing. :roll:

 

[Pat-inCO]

HO-LEE-BLIPEDY-BLOP!

Have a voice agreement for full asking price, but the guy wants to close
three weeks after I close on my place in AZ. We talked a while and he will
front the money I'm short on the AZ property, if we can close here in
late June. :shock:

Pointed him at my Realtor, said "YES, I'm interested", you guys work out
the legal details . . . . . . Somehow I'll bet they can.

Golly-Gee-Willakers, Phred, I may be an Arizona resident before July 1st.
:shock: . :shock: . :shock: . 8)

Thinking WAY back to "Laugh In" TV program . . . . .
Here come de heat . . . Here come de heat . . . Here come de heat!

 

[RolandDeschain]

HO-LEE-BLIPEDY-BLOP!

Have a voice agreement for full asking price, but the guy wants to close
three weeks after I close on my place in AZ. We talked a while and he will
front the money I'm short on the AZ property, if we can close here in
late June. :shock:

Pointed him at my Realtor, said "YES, I'm interested", you guys work out
the legal details . . . . . . Somehow I'll bet they can.

Golly-Gee-Willakers, Phred, I may be an Arizona resident before July 1st.
:shock: . :shock: . :shock: . 8)

Thinking WAY back to "Laugh In" TV program . . . . .
Here come de heat . . . Here come de heat . . . Here come de heat!

HEY HEY!!!

Congrats on getting your deal put together!! 8)

 

[Bear Paw Jack]

Pat, sounds to me like you may be a part time wheeler dealer!!! good job.

 

[Pat-inCO]

Pat, sounds to me like you may be a part time wheeler dealer!

I'll believe it once I am in Arizona,
with new to me house paid for,
and more money in the bank than I have now.

Until then, I'll keep taking extra blood pressure medicine.

 

[Rick Courtright]

Have a voice agreement for full asking price, but the guy wants to close
three weeks after I close on my place in AZ. We talked a while and he will
front the money I'm short on the AZ property, if we can close here in
late June. :shock:

Hi,

Real estate laws vary from State to State. Here in CA, ALL real estate deals have to be on paper to be valid. At least they did when I had an RE license and I don't think it's changed. There's a reason for that--shouldn't be hard to figure what it is...

Hope it works, Pat!

Rick C

 

[Pat-inCO]

Real estate laws vary from State to State. Here in CA, ALL real estate
deals have to be on paper to be valid. At least they did when I had an RE
license and I don't think it's changed. There's a reason for that--shouldn't
be hard to figure what it is...

Hope it works, Pat!

I hear what you are saying. Some of the problem is that, even with both
the seller's representative (my realtor) being licensed, AND the buyer
being a licensed realtor, AND my daughter (that somehow REALLY wants
to see all of the documentation (because SHE is a licensed realtor)) we
are having problems with the form for the sales contract.

One specific example: the word record. Is it record, as in music, or a
record of past transactions . . . when there are not sufficient words
wrapped around it to tell you which usage is intended. :roll: THEN, when
questioned, the answer is "but that's a standard form". I personally do not
give a rusty ripp about it being a "standard" if it is insufficient to clearly
understand what is intended.

As I said in the initial post . . . the fallacies in Real Estate.

SIGH!

,

Now using olde time winderz phrase . . . . execute option FINGER CROSS!



P.S. THANKS!

 

[Pat-inCO]

So much for things being calm.

One of the paper pushers in AZ has her knickers in a knott about how/where
I am getting the temporary loan to close on the AZ property. Well, I've made
a whole heap and a bunch of calls and most of them believe there is no
actual problem, as long as the AZ property passes the . . next . . inspection.

That's one of the problems in that one inspection found problems that are
being handled with adjustments in price, then found another that yatta,
yatta, yatta . . .

Two interruptions later, I'll even try to finish this post.
Now they seem to be happy, and it could/may/will(?) come to pass.

Like I said to start with, fallacies in real estate transactions.

Na-nu na-nu (as Mork would say).

 

[bigbob]

I came from MINNESOTA and my dad always said, Don't tell anyone that you are smart because there is a good chance that the person that you are talking to is smarter--don't let anyone tell you how nice a area is unless they purchase it for you on a 365 day/no interest loan---never live close to a family member that you think is dumber than you, you just may find out it is a bad situation
As i said, I lived in MN, came down to AZ for 15 yrs every winter, was told no don't move, but did it anyway.
Now after 15yrs, as it was after one yr, if I could break even on my house,15 yrs old, sun city west, WE WOULD BE OUT OF HERE ASAP. THERE ARE JUST TOO MANY -----'s, THEY OUT WEIGH THE +++'s TWO FOLD YOU ARE NEVER TOO OLD TO LISTEN.

 

[Pat-inCO]

Now after 15yrs, as it was after one yr, if I could break even on my
house,15 yrs old, sun city west, WE WOULD BE OUT OF HERE ASAP.

Well Bob . . . sorry you made a bad decision.

I am . . not . . going to be in a retirement community (both of the Sun City
groups are not to my liking . . and Sun Lakes is only a bit better). I will be
in an area that is growing quickly, and the prices are almost nutz. Like I
said in a previous post, the three acre lot next to the one I am buying is
for sale, with water at the road and power at the road, but nothing else,
for MORE than I have a contract going for.

My plan is to put about $25K into it to make sure it is comfortable and very
liveable. Since I will have enough from the sale of my current residence
to move again, if I choose to, I'm not as concerned as you seem to be.

Will you be completely right? Sure could be, but then again I could be the
one with better perspective for my situation. Only time will tell. :shock:

In the mean time, I will continue to take a bit more BP medication than
normal, pack, and keep my fingers crossed.

 

[bigbob]

just a last two points, if the winters are as long as you were told--aks good weather, why do the snow birds come very late in the year and are gone by march, ask one. Has anyone you talked to you about VALLEY FEVER, I was very close to loosing my wife from it and the neighbor across the street died of it also. SNOW BIRD GREAT, RESIDENT, IT SUCKS RESEARCH!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

 

[kramden]

I was in AZ. in the service. Summers are BRUTAL. Actually only decent months are Nov. thru Feb. (which IS summer). Better try it before you buy it. That "dry heat" stuff you hear is nonsense. It's dry but incredibly HOT!