So im thinking of buy a house here soon, The house im looking at is dirt cheap its a 4 bed 2 bath 70,000. I have not had a chance yet to do a look around, But in the pictures it looks ok what do you really expect for 70,000. The reason for the house being so cheap i think is because of the locationi think the population is maybe 5-600 people but its filling up quick with new houses and new people.Well since i will be a new home owner soon hopefully, What kinda questions should i ask ? The house is sold as is so im guessing it was a forcloser. I go in monday to do the loan paper work. I might get a better one, depends on the intrest rate but before the end of the year i will have one. So what kinda things should i look for and ask about ?

 

my suggestion to you would be to have a professional inspector do a thorough look-through of the house. i believe you can find someone to do this for maybe $400-$500, and they will most likely find any problems that would cost you tens of thousands in the long run (if the house has any such problems). if there are issues with the house (not always easy to see because they're easy to mask) you can negotiate a lower price most likely. it may seem likea lot of money to pay out $500 for someone to inspect the house prior to purchasing it, but if you decide not to, you may find yourself in some serious debt down the road as some of the house's problems are uncovered. this isn't to say that the house WILL have problems that need fixing, but if it does, it's better to hear about them from a professional that deals with this kind of thing on a daily basis. i'd be leery of the "as-is" tag. sounds like a CYO move on the part of the seller.

 

You are going to go see it before you commit to anything right, PsycoJester?

I realize it's a foreclosure but see if you can get an inspection anyway...you never know what major repairs might be waiting. Roof, foundation, plumbing,electrical, septic system, masonry, siding, trim, couldbe shot. Does it have termites, rodents, mold,or radon gas? Is the title clear; are there any liens on the property,back-taxes due, etc? (a title search willhelp with that). Are there high-tension wires overhead, is it in a flood-zone,a flight-path,or near train-tracks? How busy are thestreets around it?

On the inside, many foreclosures are trashed, e.g., holes in the walls, needs paint, stained/burned/water-damagedcarpets and flooring, reeks of smoke and/or animals. Plus doors and windows are pretty expensive.

And last but not least, check out the neighbors...this is SOOOO important! If the guy next door hasn't mowed his lawn since Clinton was in office,his fence is falling down, he's got one of those 1980's satellite dishes that looks like he could communicate with the Space Shuttle Endeavour,and there's crap everywhere including a rusted-out old Pinto up on blocks you'll be way beyond aggravated living next to him.

Trust me, I don't mean to scare you from buying --- but most real-estate markets are sliding (it's just the tip of the iceberg what's going on with foreclosures and the mortgage industry problems) and you could be stuck living there for years waiting for your house to be worth what you paid (including the cost of repairs/renovations,and a 4 - 6% realtor commission.)

Good luck --- let us know how it goes. Hopefully the house will be a pleasant surpriseand everything will work out for you!


P.S.Type the address into Zillow.com or Trulia.com. You should be able to find out some info about it, including past sale-prices, taxes, and selling prices of other homes in the neighborhood. You can usually seea satellite view plus birds-eye photos. They also have links to general community information.

 

this is something i forgot about. i'm not sure about where you live, but here in Texas it's the buyer's responsibility to ensure that the deed to the house is clear of any liens. this isn't something to be taken lightly, because if you buy the house and a lien-holder comes forth, you could be forced to pay. these records are made public and should be found at your local courthouse i believe.

 

O yea i will do a tour of the place first. Im just going to the office to see what i qualify for i don't really want to go out looking for something get my hopes up high and then be disapointed. I work in the area so i kinda know everyone in town,one of the nighbors is a pharmacy and the other side is a open lot.. What im really looking for is a townhome but there all over priced and i will be there by myself, kinda looking to get out where i am and start something ya know. I will look into a inspector to go and check it out.
Thanks for the help guys.

 

Sorry for the 2-week old bump PJ, but how was the house?

 

I took a look at it with a inspector and he kinda told me it needed alot of work, more work then i have money so i'm still looking..

 

[sm=smiley20.gif] on hiring the inspector and good luck with your search.

 

Thanks bro, hopefully i can find one soon.

 

liens, deeds of trust, etc. can usually be found at the county recorders office. Also, this is something escrow should take care of for you.