Real estate General topic

[paulsharvey]

To be 100% honest, I agree with the appraisal. Although we like the place, and it checks all of me and wife's mandatory items, and many of the want items, it is not anything spectacular. If we could fine the right piece of available property, we could recreate everything as well, or better for the same price. It just there really isn't a lot of 10-20 acre peices around; there are some very nice 40-50 acre pieces, but they are well outside our budget.

There is a 19 acre cleared pasture close to us, for $190k. No infrastructure at all. It's been on market, at same price, for over 400 days now. Wife doesn't care for it, and the land loan, or construction loan would be difficult to do, with the large down payments, high rates, and short terms.

 

[paulsharvey]

If there aren't any cash buyer offers, looks like everyone else would run into the same appraisal issue so isn't the seller faced with working out a deal at a lower price with you?

If another buyer is using FHA loan, 100% yes, for a min of 90 days. Dont know about VA or 20% down conventional. I know VA has some pretty strict rules, and I know guys who have had to repaint the interior when selling to a VA buyer; so I would assume they would be harsh on the appraisal as well.

Heck, I had wondered when we sell our existing, how this will appraise out; but, being on the lower end of the spectrum, and only 2 acres, it should have a ton of comps. Actually was thinking the other day if a $40k down, and owner financing would be a good option when we sell; but hope to just do a normal sale after some repairs/repainting/clean up.

 

[WinterDeere]

Well, this is a tractor forum still, I think, so let's circle that back around. Happen to open FB Marketplace, and the very top item, a TYM 39hp cab. Hmm, is that the machine at sellers house. Yep, confirmed both b6 the equipment on the trailer, ready for sale, as well as the name.

It's frankly not a bad deal; $30k, TYM 394, 300 hrs, grapple, box blade, forks, bucket, disc, and bushhog, on a 30 ft equipment trailer. Not for me, but that's pretty reasonable with the extras. Oh, and it includes a hydralic log splitter too.View attachment 884304

In the several back-and-forth offers and counter offers that lead to us owning our present home, the zero turn mower and tractor ended up getting thrown into the deal. Bottom line, the seller didn't need them where he was going, and was planning to sell them anyway. I needed a mower and tractor, as I was moving up from a smaller property. It helped us close a gap not dissimilar to the one you're facing now.

Jus' sayin'....

 

[paulsharvey]

Got some additional info,if not real news. Agent called, and said appraiser still need to correct year of home on appraisal, even though he threw out their comps. She then said, if the appraisal is still short, would we be willing to pay the sellers cost of the survey, if they moved price down to meet appraisal.

Ok, how much is the survey? Oh, about $800. Keep discussing for a minute; and say, so how much was the survey? Oh, for 1 acre, it should be around $800. "This is 14 acres, not 1" Oh, I'm looking at the wrong line, I'll have to confirm the price. Don't get me wrong, that doesn't sound unreasonable for them to ask us to pay the survey if they are reducing significantly; however, I need a Hard number, not a vague "should be kinda" price.

 

[2manyrocks]

Sounds like the agent is fishing to see how much you'll give as opposed to the seller cutting their price to match the appraisal.

If the appraisal was done correctly by a reputable appraiser, I don't see how the seller can do much of anything but adjust the price to reality if there aren't any other buyers standing around ready to jump in and pay the shortfall.

Next time, just ask the realtor if the realtors would absorb some of the shortfall to move on with life and get this closed? Do some counter-fishing.

 

[ultrarunner]

Only fair everyone gets a haircut as they say…

 

[WinterDeere]

Only fair everyone gets a haircut as they say…

I mentioned previously that the seller threw the mower and tractor into the deal, to help close a gap that appeared, after we were under agreement. That resolved half the problem. The realtor threw in the last bit, just to get the deal done. She was operating under dual agency, and I think the original agreement of sale had her commission up at 3.5% or even 4.0%, in a market where most buyer or seller agents were taking 2.5% - 3.0%.

Just to get the damn thing done, as she was totally fed up with the seller at that point, she offered to cover the gap out of her own pocket. In the end, this effectively lowered her commission closer to the then-typical 2.5% - 3.0%, which was still not a terrible pay-out for a few days' work on a higher-value property.

 

[ultrarunner]

I mentioned previously that the seller threw the mower and tractor into the deal, to help close a gap that appeared, after we were under agreement. That resolved half the problem. The realtor threw in the last bit, just to get the deal done. She was operating under dual agency, and I think the original agreement of sale had her commission up at 3.5% or even 4.0%, in a market where most buyer or seller agents were taking 2.5% - 3.0%.

Just to get the damn thing done, as she was totally fed up with the seller at that point, she offered to cover the gap out of her own pocket. In the end, this effectively lowered her commission closer to the then-typical 2.5% - 3.0%, which was still not a terrible pay-out for a few days' work on a higher-value property.

Real Estate is one of the few areas where negotiation and often ongoing negotiations are the norm…

I like writing my own offers because it says exactly what I want and I know what it says…

 

[WinterDeere]

Real Estate is one of the few areas where negotiation and often ongoing negotiations are the norm…

It's funny, I always thought the same. Then I started my own tech company, and quickly learned there are no rules in business. Or put more accurately, everyone's made up rules and policies are just that... made up.

There are no rules in anything relating to business. You don't like the offer? Counter it! Everything is a negotiation, except "death and taxes".

 

[ultrarunner]

I grew up around the car business and dad would haggle… often when buying from his customers saying how often does someone come in to buy a car hands a check saying fill in the amount?

Had a wedding… three kids needed suits so dad calls his customer that was a tough car buyer saying I need 3 suits and he said no problem…

We found suits and then negotiations started… Dad got 20% off and as he was just about to agree said throw in socks and we got a deal.

At the mortuary mom was a little embarrassed when I questioned the total and I said Dad would not have it any other way… she nodded and said yes.

The person was a little surprised and said family in the car business since the 1920’s so let’s get a real number out the door… it worked and later he confided when I mentioned auto sales he knew what was coming.

At work I have a few tried and true for contracts… no price increase I can sign now…

Or negotiate a new contract and just before signing day instead of 1 year hold the price level for 3 years and I will sign…

Splitting the difference works when both sides want to close the deal…

So does offering non monetary such as home warranty, 3 years oil changes, etc…

Grandpa said if you don’t asked you don’t get…