House for sale in my neighborhood
#32
Originally Posted by MsPerky,Nov 28 2009, 04:58 PM
....I saw two three-bedroom condos here that had sold in the past six months, both in the mid-$800K range (low for here). I wondered how the people who bought those got appraisals that were close and got financing.
It DOES happen occasionally....and then you're really in the 's seat
#33
Originally Posted by RedY2KS2k,Nov 28 2009, 01:04 PM
Dr. T, you were buying a second house/vacation house, not a primary residence, correct?
#34
Yes, it definitely makes for stricter underwriting requirements.
Think about it. Someone would be much more willing to just walk away from a second house/vacation house than from their primary residence. It would be much easier to tell the kids that "we're not going to the weekend house anymore" than to tell them they have to leave their home, neighborhood, maybe even school.
Additionally, it's pretty hard for the bank to be sure you're buying a vacation home because you want to own it, rather than as a speculative investment. And we all know where mindless speculation in the real estate market got us, don't we.
Think about it. Someone would be much more willing to just walk away from a second house/vacation house than from their primary residence. It would be much easier to tell the kids that "we're not going to the weekend house anymore" than to tell them they have to leave their home, neighborhood, maybe even school.
Additionally, it's pretty hard for the bank to be sure you're buying a vacation home because you want to own it, rather than as a speculative investment. And we all know where mindless speculation in the real estate market got us, don't we.
#36
In our condo association, only one condo of the eight lakefront ones has ever sold since 1995. For many years, we would get cards in the mail and have solicitations hanging from our doorknobs saying from real estate agents saying " I have a buyer(s) for your condo, are you interested?" None of that is happening now, and three are for sale at reduced former prices. None of these are distressed sales; people are looking but not making offers. People either don't have the money, or the credit, or are too scared to commit.
#37
Originally Posted by RC - Ryder,Nov 29 2009, 01:16 PM
....For many years, we would get cards in the mail and have solicitations hanging from our doorknobs saying from real estate agents saying " I have a buyer(s) for your condo, are you interested?" None of that is happening now, and three are for sale at reduced former prices. None of these are distressed sales; people are looking but not making offers. People either don't have the money, or the credit, or are too scared to commit.
Curious....I stopped in a month or two ago and got a tour from the property manager. These are HUGE older apts on the top floor, with wood floors, a small glass-enclosed terrace....about 2,500 SF. 3 BR + library +2.5 baths. Not a lot of charm but solid construction. The going rate incl heat, electric and water is about $3,200/ month...no extra fees.
Turns out that there are 6-8 of these and there has always been 8-10 names on a waiting list....popular for someone in this affluent area who is getting out of a 3-4,000 SF Main Line stone monster. Now there is NO ONE on the waiting list, and that "Penthouse Available" has been there for over 2 months.
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