put a bid on a foreclosure house for 153 grand/bank signed on to a contract with me/today was the house inspection
He found that there was a lil structural damage on this 13 year old house in the one corner..one crack in wall..a few doors that didn't shut properly due to this shift.
The inspector suggested getting estimates and putting in some steel columns to prevent the one corner of the house from shifting again. He thought it shifted due to a waterline break or something like that.. the repair could run anywhere for 2 to 6 grand
there was evidence of termites..the house was build out of yellow pine..the termites didn't like the taste of the wood and left the house basically alone..termites are common in the midwest
The realitor had me sign a sheet tonight so he could renegoitate with the bank..ask them to repair the damage..
He thinks they will
what is your opinon? will they..and if not..would you still sign the final papers..the house is assessed at 175.
2007-06-25 13:59:46 · 7 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
no no..I didn't "sign" the final papers..rather am in contract with the bank..I can stil back out. The inspection is done after one signs the initial contract...the crack is on the garage back wall/the wall to the living room..the basement is crack free and is on the other side of the house.
the garage/living room sits on a slab of concrete on a slight hill
The realitor thinks perhaps the contractor didn't pack the ground down hard enough in that area?
2007-06-26 08:34:44 · update #1
These answers drive me nuts sometimes. Yes a bank(the owner of the property) will,in some cases repair the damage). You sound like you made an offer with a contingency on the home inspection report. The options are, they will reduce they price of the home by the repair cost,fix the items that need repaired,or hold onto the agreed price. Probably, they will hold onto the agreed price because everyone assumes there might be some damage on a REO home. Your REALTOR can work you through the counter-offers. Banks have a bottom line that they are looking for and if you are close, they will work with you. The fact that you have an accepted offer means you are in the ballpark. An accessed value is only to value the home for taxes and is typically not very accurate,especially when the home is vacant and in an REO situation. Email me if I can help. lumber57@yahoo.com
2007-06-25 16:06:07 · answer #1 · answered by Lifegoeson 2 · 2⤊ 1⤋
I also doubt that the lender will agree to repair this. They may give you a credit at closing, but that is it.
I'd want to know what caused the structural damage. A water line break sounds a bit vague. If there are drainage problems, all the steel columns you can put in won't stop water from affecting the house.
Is it active termite damage, or have the little guys moved on? You will want to get the house treated for termites if it is active termite damage, they may find something they like to dine on.
Who assessed the value at $175,000? If it is an appraisal, that is a valid assessment. If it is a tax assessment, it isn't worth the paper it is printed on in regards to fair market value.
Get some of these issues pinned down, then decide if you want to proceed with this purchase.
2007-06-25 22:38:20 · answer #2 · answered by godged 7 · 0⤊ 1⤋
You already made a deal on the house and signed the papers without the inspection being done. If the bank goes along with you, fine, you pulled one over on them but, the guys at the bank are probably laughing at your suggestion.
It doesn't sound like to much of a problem and only a lot of "maybes" from the inspector.
What was the water leak from, a city main and if so, why weren't they held responsible? didn't any insurance cover any of it? why? some questions to ask.
2007-06-26 08:09:17 · answer #3 · answered by cowboydoc 7 · 0⤊ 1⤋
You should get 3 estimates on the structural damage and on everything else on the inspection report and ask the bank to repair or give credit for them from your $153K price. Make sure the structural damage is not foundation because foundation problem costs more than $6K to fix, foundation damage could cause the whole house to be condemned by the city. If bank doesn't repair or give credit, you are better off to walk away from this deal.
Remember you have to look out for yourself, even your agent/realtor is not reliable. They will tell you that they like helping you, saving you money, looking out for your best interest, blah blah blah, trust me, they aren't, they only want the deal to go thru so they can cash in on the commission.
2007-06-25 21:16:50 · answer #4 · answered by Anonymous · 0⤊ 2⤋
It's like acer said what you will most likely get as a response is going to be that they will give you a credit at closing for the required repairs but they will not, due to the liability, get involved in doing any repairs or warranty the completion of repairs with that property.
2007-06-25 21:40:00 · answer #5 · answered by newmexicorealestateforms 6 · 0⤊ 1⤋
I've NEVER seen a lender agree to handle a repair on a property. They're sold 'as is'. Lenders don't get into repairs because doing so give them a modicum of liability if the repair does not pan out.
They may negotiate price, but don't expect them to handle the issue on their own.
If you have a settling foundation, it's time to bring in professionals who can guide you. This is not a minor issue.
2007-06-25 21:11:14 · answer #6 · answered by acermill 7 · 2⤊ 1⤋
(structural damage) think twice something more could be afoot foundation problems , pipes, water damage, will u be able to get house insurance ( not with water damage) there are a lot of homes going in to foreclosure, do yur homework
2007-06-25 21:14:11 · answer #7 · answered by keikisong 2 · 0⤊ 1⤋