February 7Feb 7 4 hours ago, UTPhil2006 said: FHA 203b is what you're talking about. 203K is the rehab loan, no?
February 7Feb 7 the VA version is pretty shitty. For example, you can't do a kitchen remodel or a bath remodel on the VA version. You can replace a roof, replace flooring, and fix plumbing or electrical, but you can't "pretty it up". Also, your contractor has to be VA approved, and very few go through that PITA process.
February 7Feb 7 3 hours ago, Gil Bang said: the VA version is pretty shitty. For example, you can't do a kitchen remodel or a bath remodel on the VA version. You can replace a roof, replace flooring, and fix plumbing or electrical, but you can't "pretty it up". Also, your contractor has to be VA approved, and very few go through that PITA process. Sounds like the VA
February 7Feb 7 Current mortgage is a 203k loan. It was great for me, old home in Kerens, Tx, needed lots of work. Bought the home cheap and got a good appraisal for the loan. It is a pita loan to get and you need to find a GC who will actually work with 203k loan as they get paid after the work is done and inspected .
February 7Feb 7 9 hours ago, Gil Bang said: the VA version is pretty shitty. For example, you can't do a kitchen remodel or a bath remodel on the VA version. You can replace a roof, replace flooring, and fix plumbing or electrical, but you can't "pretty it up". Also, your contractor has to be VA approved, and very few go through that PITA process. I remember that it was very cumbersome and not worth it for me, when I researched it a couple years ago. 39 minutes ago, TexasGrunt said: Current mortgage is a 203k loan. It was great for me, old home in Kerens, Tx, needed lots of work. Bought the home cheap and got a good appraisal for the loan. It is a pita loan to get and you need to find a GC who will actually work with 203k loan as they get paid after the work is done and inspected . OK so things are as I remember, and not for an investor. But for a young person that is very handy, and works for a roofing company? Might be worth taking a hard look at if I was in the situation he is. The fact he is familiar with the hassle of working with insurance companies might actually be a plus in dealing with the BS. I would also think that in more rural areas there might be more opportunity? Maybe easier to find a neglected house on a little land that looks pretty damn nice once fixed up. Maybe I can help this young guy along in life. Good guy, and I wanted to follow up on our conversation with accurate "here's what you can do" advice. -When I did renovate and sell a foreclosure I did it all on my dime. I wasn't trying to scale, just seeing if my instincts were right. It seemed at that point in time the best way for financing for a foreclosure remodel, was building a relationship with a local community banker? And doing a 1 year interest only loan. Or use a hard money lender. I assume this is still the case. Thanks for all the info!
February 11Feb 11 Powell - "Housing has stabilized?" WTF. Stabilized in that as long as everyone keeps bailing madly the life boat may barely remain afloat? So does that mean Powell expects to see improving MMI numbers at these levels? Or that these levels are the acceptable levels? In his prepared remarks, but dang.
February 11Feb 11 8 minutes ago, horn4life said: Powell - "Housing has stabilized?" WTF. Stabilized in that as long as everyone keeps bailing madly the life boat may barely remain afloat? So does that mean Powell expects to see improving MMI numbers at these levels? Or that these levels are the acceptable levels? In his prepared remarks, but dang. The guy is tone-deaf.
February 11Feb 11 1 hour ago, 86txex said: The guy is tone-deaf. I mean he is right in that on a graph housing has stabilized. He also said that even with lower rates the lack of supply will be an issue. Which to me indicated higher price stickiness? Thus a little bump for the builders today. Edited February 11Feb 11 by horn4life
February 11Feb 11 Some predictions for 2025 mortgage market. https://www.newsweek.com/when-will-mortgage-rates-go-down-forecast-rest-2025-rise-borrowing-costs-2029406
February 11Feb 11 16 minutes ago, Dbeasy said: Some predictions for 2025 mortgage market. https://www.newsweek.com/when-will-mortgage-rates-go-down-forecast-rest-2025-rise-borrowing-costs-2029406
February 11Feb 11 Author 1 hour ago, Dbeasy said: Some predictions for 2025 mortgage market. https://www.newsweek.com/when-will-mortgage-rates-go-down-forecast-rest-2025-rise-borrowing-costs-2029406 Pass
February 12Feb 12 2 hours ago, UTPhil2006 said: Pass Ditto. So dumb with the 0.7 bound from top to bottom. Sure Jan.
February 13Feb 13 Author 42 minutes ago, Wulaw Horn said: Wheeeeeeeeeee We got back the inflation numbers so I ain't bitching
February 13Feb 13 Everyone (who's not a cash buyer) seems fucked for the rest of the year. I'm still on the fence over building vs buying and want to see if we get a glut of inventory in the spring to influence price action.
February 13Feb 13 2 hours ago, Gravy Train said: Everyone (who's not a cash buyer) seems fucked for the rest of the year. I'm still on the fence over building vs buying and want to see if we get a glut of inventory in the spring to influence price action. I don’t see where the glut of inventory will come from unless we get lower rates. I think that might bring in an even greater number of buyers though so doubt that it helps pricing (from a buyer perspective) and think it’s more likely to hurt.
February 13Feb 13 3 hours ago, Gravy Train said: Everyone (who's not a cash buyer) seems fucked for the rest of the year. I'm still on the fence over building vs buying and want to see if we get a glut of inventory in the spring to influence price action. If by fucked you mean you aren't going to see 5% in 2025? Yeah, thats the most likely scenario. But I would argue that with tight inventory and assumed appreciation, is that percent that huge? Is an 8% loan fucked in it appreciates 8% in 4 years for example? I would also be selling that yes in the 7's you might feel fucked, but right now with so much uncertainty, you cannot rule out the possibility of a severe DP it the next two fed moves are upwards. Plus there are always some buyers that have to sell, high rates or not. Antidotal story, but I know a gal whose parents got her a house, and she took care of them until the end, and sh put that house on the market like the week before Christmas (like a dumbass). I think her ask was $420, and she got a $385 offer, and held firm without countering. Her folks had bought the house maybe 3 years ago for $400K and she had put in new appliances and countertops and new roof (storm). So that $420K number seemed reasonable. If she got that same $385K offer today she would not only counter, but would be a lot more flexible negotiating. For her it's found money, but she is willing to capitulate on price. Now she's not the norm, but she is an example of a seller willing to capitulate on price to move the property. Her agent of course was pissed.
February 13Feb 13 https://www.wsj.com/economy/housing/housing-market-delisting-home-sales-1afd45aa?st=xKsafn&reflink=desktopwebshare_permalink Nationwide averages are now at 5-months of supply and everyone who delisted during the winter months will try to test the market again in the spring. Additional inventory is the only mechanism on the horizon to push pricing while rates remain high. Buyers will continue to sit on the sidelines with high rates and a weak labor market.
February 13Feb 13 Author 1 hour ago, horn4life said: If by fucked you mean you aren't going to see 5% in 2025? Yeah, thats the most likely scenario. But I would argue that with tight inventory and assumed appreciation, is that percent that huge? Is an 8% loan fucked in it appreciates 8% in 4 years for example? I would also be selling that yes in the 7's you might feel fucked, but right now with so much uncertainty, you cannot rule out the possibility of a severe DP it the next two fed moves are upwards. Plus there are always some buyers that have to sell, high rates or not. Antidotal story, but I know a gal whose parents got her a house, and she took care of them until the end, and sh put that house on the market like the week before Christmas (like a dumbass). I think her ask was $420, and she got a $385 offer, and held firm without countering. Her folks had bought the house maybe 3 years ago for $400K and she had put in new appliances and countertops and new roof (storm). So that $420K number seemed reasonable. If she got that same $385K offer today she would not only counter, but would be a lot more flexible negotiating. For her it's found money, but she is willing to capitulate on price. Now she's not the norm, but she is an example of a seller willing to capitulate on price to move the property. Her agent of course was pissed. What if you are prodotal?
February 14Feb 14 Author 23 hours ago, UTPhil2006 said: Up .09 yesterday down .10 today. Down .07 today
February 18Feb 18 Friend group posted this recently, bullshit or not? Learned something new. All fha and veteran loan are assumable. Meaning if someone is selling their house for 300k and they owe 200k at 3% you can take that over as loan as you bring the difference or a loan for the difference
February 18Feb 18 11 minutes ago, ChickenSandwich said: Friend group posted this recently, bullshit or not? Learned something new. All fha and veteran loan are assumable. Meaning if someone is selling their house for 300k and they owe 200k at 3% you can take that over as loan as you bring the difference or a loan for the difference Not bullshit but also not the panacea for the consumer that it sounds like. Let me give you an example; Joe Smith bought his house in 2018 for $300k, put down 3.5% on and FHA loan, and now wants to sell it (and his 2.5% interest rate) as an FHA assumable loan). The problem is that his house is now worth $500k, he owes $275K, so the new buyer will need to come up with $225k to assume a loan whose PRIMARY utility in the marketplace is to make homebuying more attainable for borrowers lacking great credit and/or more than 3.5% for down-payment. The other shit part is that the assumption (and this is covered upthread) takes 45-“who knows how many” days for the assumption process to conclude and most sellers are going to prefer someone with a predictable timeline. That said, it’s something to sell in a crowded marketplace and there’s probably niche cases (FHA multifamily, VA Jumbo) where it’s far more likely to be utilized.
February 18Feb 18 Yeah it’s not a thing. I think last year less than 10k assumable loans were done. 4.06M homes were sold. If you consider something that’s 2/10’s of 1% of the market relevant that’s fine- it’s more a talking point than anything that matters in any real way.
February 20Feb 20 On 2/14/2025 at 6:44 AM, horn4life said: If by fucked you mean you aren't going to see 5% in 2025? Yeah, thats the most likely scenario. But I would argue that with tight inventory and assumed appreciation, is that percent that huge? Is an 8% loan fucked in it appreciates 8% in 4 years for example? I would also be selling that yes in the 7's you might feel fucked, but right now with so much uncertainty, you cannot rule out the possibility of a severe DP it the next two fed moves are upwards. Plus there are always some buyers that have to sell, high rates or not. Antidotal story, but I know a gal whose parents got her a house, and she took care of them until the end, and sh put that house on the market like the week before Christmas (like a dumbass). I think her ask was $420, and she got a $385 offer, and held firm without countering. Her folks had bought the house maybe 3 years ago for $400K and she had put in new appliances and countertops and new roof (storm). So that $420K number seemed reasonable. If she got that same $385K offer today she would not only counter, but would be a lot more flexible negotiating. For her it's found money, but she is willing to capitulate on price. Now she's not the norm, but she is an example of a seller willing to capitulate on price to move the property. Her agent of course was pissed. Sounds like she has a crappy agent. switching gears, go make some money kings. You’re welcome
February 20Feb 20 On 2/5/2025 at 2:41 AM, Wulaw Horn said: As a mortgage guy I have no problem with it. I know all your finances if you do a mortgage with me and that can be awkward for a friend. I imagine the argument is somewhat the same for an agent. That's actually sort of dumb b/c everyone knows what you bought or sold your house for (more or less) without knowing your financial stance, but that's a distinction not many probably make. My opinion. I’ll use a friend as a real estate agent but not for a mortgage
February 20Feb 20 On 2/19/2025 at 3:02 AM, Wulaw Horn said: Yeah it’s not a thing. I think last year less than 10k assumable loans were done. 4.06M homes were sold. If you consider something that’s 2/10’s of 1% of the market relevant that’s fine- it’s more a talking point than anything that matters in any real way. But let’s say I want to go after some lower cost investment properties in the 200-400 range. Could I do that and refi the equity difference On 2/6/2025 at 1:30 AM, Incredulity said: Lots of people go literally insane(largest transaction of their life) over home purchases. I would strongly advise against mixing that with friends and family. "you made 20 grand on the house I bought, you can buy drinks" "you made 20 grand on this house and you only brought over lite beer" "I wish we could go to Acapulco, must be nice to have the 20 grand from the house I sold" rinse, repeat I probably throw some cash her way after close but either way she needs to shut up. But the perception from non realtors is “you just showed us a few homes. We could’ve done that ourselves”
February 20Feb 20 Author Unless it's a 2+plex that you live in one (amongst other stipulations) INV FHA or VA ain't gonna happen so you wouldn't be able to assume the loan based on your parameters
February 21Feb 21 On 2/13/2025 at 3:44 PM, horn4life said: Antidotal story, but I know a gal whose parents got her a house, and she took care of them until the end, and sh put that house on the market like the week before Christmas (like a dumbass). I think her ask was $420, and she got a $385 offer, and held firm without countering. Her folks had bought the house maybe 3 years ago for $400K and she had put in new appliances and countertops and new roof (storm). So that $420K number seemed reasonable. If she got that same $385K offer today she would not only counter, but would be a lot more flexible negotiating. For her it's found money, but she is willing to capitulate on price. Now she's not the norm, but she is an example of a seller willing to capitulate on price to move the property. Her agent of course was pissed. Agreed, she is not the norm. People want blood for their property from what ive seen. She walked away with ~$350K since her cost basis was the cost of the stuff she improved. She for sure is not the norm since the house was given/gifted to her. Sounds like she just wanted to be done by the New Year.
February 21Feb 21 Update, my friend with the inherited house was smart in the end. She had somebody meet her $420K price, and I think closing is next week? But she would ahve taken the low offer if that was all she got. I think that it was just a low ball December offer. Which is what every offer submitted in December honestly almost should be.
February 22Feb 22 Interesting experience today doing a showing. Yesterday I text the listing agent asking for a 9 AM appointment. I get the confirmation quickly. This morning at 8:15 or so, I get a text from the listing agent: I will have the home ready for your 9 AM showing. I will have the home at 70 degrees, all the lights will be turned on, and candles will be lit around the home. When the showing is complete, just text me and I will come over and secure everything. The doors will be unlocked by 8:45 so you can walk your client through the front door without fooling with a lockbox Fucking listing agent doing his job to present his listing in the best possible light. Mad respect for this guy.
February 22Feb 22 1 hour ago, Gil Bang said: Interesting experience today doing a showing. Yesterday I text the listing agent asking for a 9 AM appointment. I get the confirmation quickly. This morning at 8:15 or so, I get a text from the listing agent: I will have the home ready for your 9 AM showing. I will have the home at 70 degrees, all the lights will be turned on, and candles will be lit around the home. When the showing is complete, just text me and I will come over and secure everything. The doors will be unlocked by 8:45 so you can walk your client through the front door without fooling with a lockbox Fucking listing agent doing his job to present his listing in the best possible light. Mad respect for this guy. And for $5 they could have closed the fucking deal!
February 22Feb 22 1 hour ago, Gil Bang said: I will have the home ready for your 9 AM showing. I will have the home at 70 degrees, all the lights will be turned on, and candles will be lit around the home I've uhhh seen movies, short movies that is, that start out like this.
February 22Feb 22 Wondering what you guys would do in this situation: A few years ago I enlisted an agent to rent out my house. He found my current tenant. The first time I raised the rent, the tenant proactively offered to buy my house (at a low-ball price). We declined and just extended the lease. Last year, I told him I am extending lease for the final time and would sell the house afterwards; he made no indication of interest to buy. Recently I talked to the agent to ask about selling the house. We shook hands on him putting it on the market this summer when the lease ends. He said he would also ask the tenant if hes interested (or if he needs help looking for a property). ….well now the tenant just got back to me directly, saying he wants to buy the house directly (at a very fair price). and suggested the agent doesnt need to be involved to save cost. The standard procedure in this market is 3.6% agents fee payable by the buyer. Its completely true that agent is not doing anything here - no listing, hosting, etc. But I feel obligated to him out of a sense of ethics. I’m thinking if we skip him out of the process, I buy the guy an Omega watch or something as a ‘serious’ business gift? Is that fair? Edited February 22Feb 22 by 52-80
February 22Feb 22 8 minutes ago, 52-80 said: The standard procedure in this market is 3.6% agents fee payable by the buyer. Its completely true that agent is not doing anything here - no listing, hosting, etc. But I feel obligated to him out of a sense of ethics. Personally, I would tell the agent that we’ve negotiated a deal between ourselves but want to credit him in some way because of the prior agreement. Then ask him what he would suggest. You can still decline whatever that is if it’s too much, but he‘s most likely going to ask for something reasonable (or nothing at all), and then it’s him making that decision rather than you making it for him (and therefore he’ll be happier with it, which is what this is presumably all about, anyway).
February 22Feb 22 I'm curious, if the agent were to get a 3.6% cut, would it all go to him or would some of it go to his broker/office?
February 22Feb 22 57 minutes ago, 52-80 said: Wondering what you guys would do in this situation: A few years ago I enlisted an agent to rent out my house. He found my current tenant. The first time I raised the rent, the tenant proactively offered to buy my house (at a low-ball price). We declined and just extended the lease. Last year, I told him I am extending lease for the final time and would sell the house afterwards; he made no indication of interest to buy. Recently I talked to the agent to ask about selling the house. We shook hands on him putting it on the market this summer when the lease ends. He said he would also ask the tenant if hes interested (or if he needs help looking for a property). ….well now the tenant just got back to me directly, saying he wants to buy the house directly (at a very fair price). and suggested the agent doesnt need to be involved to save cost. The standard procedure in this market is 3.6% agents fee payable by the buyer. Its completely true that agent is not doing anything here - no listing, hosting, etc. But I feel obligated to him out of a sense of ethics. I’m thinking if we skip him out of the process, I buy the guy an Omega watch or something as a ‘serious’ business gift? Is that fair? Good lesson on always approach the existing tenant, before you list with a realtor. Or exclude the existing tenant in the contract. But you don't have a signed contract. I might write a listing contract with the realtor with an exclusion for the tenant buyer. At a price that would justify the additional costs for the agent? But more likely I would likely tell the agent here's the deal. Last time I talked to the tenant, he did not seem interested. But my perception was mistaken, and he made an offer that I view as very reasonable. Then see what the agent says? Right now he hasn't done anything, and you have not signed a contract. Lots of folks would say fuck off, but I, like you have some moral sense when I shake somebody's hand. So I would likely just talk to the agent. How that conversation goes would guide me, in all likelihood.
February 22Feb 22 Hes the boss of his particular branch office and is ‘junior partner’ in the franchise, so i assume he nets a sizable chunk of the commission.
February 22Feb 22 Why not just tell that agent he can have a grand or two to shepherd the transaction.
February 22Feb 22 10 minutes ago, bluto said: Why not just tell that agent he can have a grand or two to shepherd the transaction. Thats what i ballpark the watch is for. income taxes are really high in this market, and doing cash is kinda icky for me. I figured a fancy watch is worth the seatdown meeting we had and he can flip it for cash if he wants to.
February 22Feb 22 43 minutes ago, 52-80 said: Thats what i ballpark the watch is for. income taxes are really high in this market, and doing cash is kinda icky for me. I figured a fancy watch is worth the seatdown meeting we had and he can flip it for cash if he wants to.
February 22Feb 22 Sure he likes watches?.. Also, are you sure his readable offer isn’t leaving some/a lot on the table? Personally I’m a fan of as many eyes seeing it as possible.
February 22Feb 22 Wife and I are contemplating buying a cabin with her mom in Colorado (Fairplay or Buena Vista area). $600k range. Is there a joint mortgage option we could do where if one party passes it automatically goes to the other joint account holder? Stepmom has a terminal illness and looking to spend her final few years in a larger place, and we are looking for our future summer home to get out of the texas heat. Not looking for advice on if we should do it, but how we should do it. Want to ensure there are no issues like the house going to probate, best tax strategy, etc. Edited February 22Feb 22 by FigurelliPwC
February 22Feb 22 20 hours ago, Gil Bang said: Interesting experience today doing a showing. Yesterday I text the listing agent asking for a 9 AM appointment. I get the confirmation quickly. This morning at 8:15 or so, I get a text from the listing agent: I will have the home ready for your 9 AM showing. I will have the home at 70 degrees, all the lights will be turned on, and candles will be lit around the home. When the showing is complete, just text me and I will come over and secure everything. The doors will be unlocked by 8:45 so you can walk your client through the front door without fooling with a lockbox Fucking listing agent doing his job to present his listing in the best possible light. Mad respect for this guy. The fact that this is unusual enough that you came here to post about it is exactly why realtors get a bad name. Every time I’ve sold a house, I’ve never let the listing agent put it on lockbox and I require that they are present at every showing. If I’m paying you $50k to sell my home, you need to do your job. Marketing a home shouldn’t be putting pictures up on MLS, hanging a lockbox and putting a sign in the yard.
February 22Feb 22 2 hours ago, FigurelliPwC said: Is there a joint mortgage option we could do where if one party passes it automatically goes to the other joint account holder? It’s not really about the mortgage per se, it’s setting up the deed so that its joint tenancy with right of survivorship. Any lender can do that on a conventional loan but you’ll probably freak them out since it’s uncommon enough they may not have seen it. It’s also not a solution for stepmom to neglect estate planning (as a good attorney will tell you).
February 23Feb 23 3 hours ago, FigurelliPwC said: Wife and I are contemplating buying a cabin with her mom in Colorado (Fairplay or Buena Vista area). $600k range. Is there a joint mortgage option we could do where if one party passes it automatically goes to the other joint account holder? Stepmom has a terminal illness and looking to spend her final few years in a larger place, and we are looking for our future summer home to get out of the texas heat. Not looking for advice on if we should do it, but how we should do it. Want to ensure there are no issues like the house going to probate, best tax strategy, etc. Why complicate the mortgage to include a “terminally ill” woman? She can gift each you and your wife up to 18k a year, which I assume would be plenty to cover her portion of any payment.
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