My son and his wife are trying to buy this house in Prairei Grove. And I think they are being taken advantage?

Question

I think the Guy is trying to Screw them. At 1st the sign outside said to be Auctioned Off, Then a Coulpe weeks Later the sign said For Sale By Owner. Then a Remax sign came into the yard. I seen red Flags But my Husband told me to leave it alone. So I did. But starting Out I was told they Were Leasing it then that would go toward a Down Payment. Started out at 750, Then 799.Then 800 then when they got the lease it was 810 I thought that was high but I was not gonna cause a Fight Then last night they met with a HUD loan financing Mortgage company and I was told the Payments would be 860.00 a month NOT FIXED.payment. It has never been inspected a friend of my sons told him it needs a new roof, It has 4 Layers of Shingles, The Roof Bows in several Places the floors are weak. If you walk through my grandsons Bedroom past his TV the stuff all falls into the floor. The girls bedroom windows are 6 inches shorted than the holes they put boards under them on the walls. The Air conditioning

The air condition leaks down the wall on the opposite side of the house. The back door was kicked in and the facing was missing we fixed it.The guy who owns the house keeps telling them soon as we get the Papers signed I will get the new roof on it for you, I told my son not to sign anything because It is the landlords Place to Fix the bad roof, He refuses to get it inspected, I am just afraid he is getting into a mess. Because a friend of my sons is in construction and he done a walk through on the house the Roof Is bad It has little or no Decking Boards What it does have is covered with Mold, It Has 4 Lauers of Shingles, It needs trusses in it, The back wall by the girls room is rottes n from water draining down from the AC unit. The floors are weak. But they are Trying to get HUD financing The guy they are getting it from can not explain the contract to them. I think something is shady what should he be Looking for.

Answer 1

I think they need to find another place.

Answer 2

I think it might be a good idea to talk with at real estate lawyer. There is a lot of legal jargin that needs to be gone through and interpreted. From what you've written, it sounds like the foundation of the home is unstable. I cannot see someone purchasing this home even to flip it. I have never been a big fan of adjustable rate mortgages, and they tend to get folks in trouble. I understand what your husband is saying, about not getting involved because your son needs to learn. At the same time though, there are circumstances when you should at least raise the important questions. If the drywall is rotted and there is mold, that is one thing. You can always redo that. There actually may be situations when you enter into an agreement that would require fixing the roof. Unless you're "demo"ing the entire house and starting from the ground up, I have never heard of someone buying a property when the foundation is failing. I would say something, raise the proper questions without being invasive and telling your son that he is wrong. You can be discreet and still get your point across. You owe it to your grandchildren to at least ask questions

Answer 3

Sounds like this has to be made up. Is your son determined to have this place? Any idea why? Roof alone is scary. Not only shingles but structure seems bad. VERY very costly. This alone could ruin him. Take pictures and ask a roofer for an ballpark estimate. Should be a real eyeopener. Sonny's moved in it seems. Leasing then part is downpayment sounds like rent-to-own. The party renting-to-own, must then qualify for a mortgage, usually in one or two years. Fixing up to increase value contributes to equity. One wouldn't expect perfection, but to take on a disaster is surely folly. If the place is a wreck, surely no bank would finance it. Shakey floors ALSO! You can't run your son's life but you can learn more about the property and present facts. I'd have serious doubts about this mortgage lender. Be as objective as you can, gather information. Stick to facts. Ulitmately it's his decision but now he must not be thinking. Sounds like a ready made disaster that could ruin him or at least cost him all he's investing and more. Why remax 'for sale' sign then a lease to own arrangement? Sounds like no one would buy the place. I'm surprised by sounds of it anyone would move in. A $110 increase monthly. Sounds like a very bad bet to me. Flags? Seems like ALARM BELLS! Of course we really hate to see our kids hurt. No fighting but do collect any data you can. An inspection is in order when things seem okay on the surface. Seems just walking into this place ought to be inspection enough to warrant screaming and running away. It's hard to see others walk into disasters. Present objectively without fighting and then your son and family decide knowing you've done what you can and it's his problem.

Answer 4

It all depends on how much they are paying for it. A lease purchase will have provisions where rent will increase and it will go toward their down payment. Realize when they do close, it needs to be insurable in order to get a mortgage. Improvements done can (and not always will) go toward the down payment. I would recommend your son have an attorney go over the paperwork or at least find someone experienced in lease purchases, maybe a real estate broker (not all will be experienced in this, so do your research). If the terms are right, this may not necessarily be a disaster.

Answer 5

This sounds like a joke. Anyone who would try to buy a rotting shack like that needs to have their head examined. $860 a month would buy a nice $130k+ place including taxes and insurance. This dump isn't worth $5k. Actually, it isn't worth the cost to pull it down and clear the land.

FYI, there's no way that this dump would qualify for a HUD loan.

Answer 6

Wow soo did you get with him because you like him as a person? or just because he took you out? Your boyfriend works for his money, if he even spends a penny one you appreciate it and dont take it for granted. Why would u be mad at him for spending his own money on himself? STOP being so selfish and spoiled. Soo now that hes not giving you what u DESIRE, you dont NEED it but for your own personal gratification, your willing to break up with him because he doesnt spend enough money on you?? Hmmm sounds kinda F***ed up..I think you need to forget this whole thing, wait for a hoiliday or even your B day to expect a gift! Dont put your bf up too such high standards and get mad when he doesnt pull thru, thats not his fault its yours. If you dont like how your boyfriend handels his OWN money either leave him, go find you some rich dude and hopefully hell be able to buy you everything your heart desires....Just remember money doesnt buy happiness.

Answer 7

thats the funniest story i've heard all year....
I mean this is going to be their home? for years to come!!! if that does not matter than i dont know.
Tell em not to sign nothing, say nothing and stop that process today as of 10/05/2007 and not a day later!!!!

Answer 8

RUN, RUN LIKE THE WIND.

There is something fishy there and they would be better off not getting cught in it.