Real estate General topic

[JJT]

Had an intresting call from a coworker today. He's looking for a way to house his mom, can't add another home to his property, hes got a 2nd property with home, but its rented out to a good, long term tenant. He found a home and property up for auction.

Here's the catch, no interior pictures, no inspection period, no walk through. Its 100% site unseen on the interior. Starting bid is Low, for 1 acre and a site built home, but no idea where it will go.

My advice was, you Have to bid as a total gut, or maybe bid as hoe and dumpsters. Property should be worth about $30-40k, without the home. Potentially worth less with the home. My advice was, if your actually interested, throw $16k at it, and dont raise. He said he was thinking $20k.

Anyone ever seen a home auction of this type, not able to even seen the interior?

He said he was going to look from road, take some zoomed in pictures. I mentioned, you can't tell the roof is "good", but you might be able to tell it "bad". You can see if the windows are all broken in, door, siding/stucco (not sure which it has).

The other catch, bidding closes at end of the day Friday, and you have to close by end of the day Monday....

I told him, maybe meth house, hoarder, dead body, or open roof and massive mold. None of those are insurmountable, if you get it right, but if its a total loss, even at $20k, figure $5k in demo, and the real risk is the time your out your money, but you should worst case be break even, and not out anything but time

We had a similar situation here, I bid what the land was worth. Figure worst case scenario - complete tear down.

 

[paulsharvey]

The coworker told me the auctioned home/land ended up at $135k. I told him, they probably plan about $65k in work, and resell for $250-300k.

He did some research the the auction outfit; and apparently they require take 10% deposit on any high bid, and then hold the deposit for upto 6 months. Not winning bids, just any high bid at the time of the bid.... Thats shady at best with minor items, but if your at $120k, high bid, before getting raised, and they hold $12k for upto 6 months, thats a big deal.

 

[WinterDeere]

The coworker told me the auctioned home/land ended up at $135k. I told him, they probably plan about $65k in work, and resell for $250-300k.

Who pays the auctioneer in real-estate auctions? 10% of $135k ain't nothing, when planned profit margin is only $50k - $100k, especially considering any work "planned" at $65k might really cost $90k... the way things tend to go.

 

[paulsharvey]

Who pays the auctioneer in real-estate auctions? 10% of $135k ain't nothing, when planned profit margin is only $50k - $100k, especially considering any work "planned" at $65k might really cost $90k... the way things tend to go.

I wasnt bidding, so, I dont know if its on both sides like most auctions, on seller, or on buyer.

I did point out to coworker, your going up against amateur "flippers", as well as professionals, and the amateurs Often under estimate the cost of hiring in the required repairs, or plan on, illegally, doing them themselves. Again, in FLa, if the owner pulls their own permits, within 1 year of a sale, its considered evading contractor license requirements (the intent of the homeowner permit was for construction, and not owner permit). Even replacing exterior doors or windows, technically requires a permit as they are a Structural item.

 

[two_bit_score]

Even replacing exterior doors or windows, technically requires a permit as they are a Structural item.

I didn't know Florida was such a nanny state.

 

[ultrarunner]

I didn't know Florida was such a nanny state.

Same where I am in California…

 

[two_bit_score]

Same where I am in California…

It's expected and accepted that Cali is a nanny state but I surprised about a lot of things I read about Florida being one.

 

[caver]

When my parents would snowbird in FL they wanted to enclose their screened in porch of their park model. The city wanted engineered drawings.

 

[paulsharvey]

Anything structural requires a building permit, and the envelope is 100% structural, so, doors/windows too. Ones that get me are, above ground pools (nobody actually pulls a permit), and a few other kinda ridiculous things. On your own home, yeah, nobody would likely ever know, or you can go get the permit fairly easily. As soon as its for hire, (or resale within 1 year), that would require a contractors license and permits.

Each county is very different on enforcement, but the building code is same throughout the state. Details on some structure is based on your wind zone of coarse, and coastal windboarn debris zone, ect.

 

[WinterDeere]

We did what is technically deemed an above ground pool, even though it’s mostly in-ground, built into a hillside with a retaining wall on the downhill side. The permitting was mostly about electrical, ensuring adequate space between pool and panel or pump, and ensuring fencing and access from house is controlled.

 

[Charmsonym]

I’ve been looking into similar high‑end spots, and checking out Beach Residences gave me a clearer picture of what this level of living actually feels like. The mix of thoughtful design and those extra perks, like the lifestyle add‑ons, helped me compare value across different developments. If you're weighing options, it’s a solid reference point for what true top-tier beachfront living can offer.

 

[paulsharvey]

Got a text from the guy that bought our old house a bit ago; asking if we wanted to see it after all of his renovations are completed. I guess i appreciate the offer? but I just have trouble with the idea of some continuing relationship. Just seems odd to me, money changed hands, yes we had the mis estimated taxes issue, that was dealt with, but I have no desire to chat with the guy. Guess it boils down too, Its not my house, and I just dont care; remodel it, burn it down, rent it to a Crack head, its yours

 

[EscapedSuburbia]

Got a text from the guy that bought our old house a bit ago; asking if we wanted to see it after all of his renovations are completed. I guess i appreciate the offer? but I just have trouble with the idea of some continuing relationship. Just seems odd to me, money changed hands, yes we had the mis estimated taxes issue, that was dealt with, but I have no desire to chat with the guy. Guess it boils down too, Its not my house, and I just dont care; remodel it, burn it down, rent it to a Crack head, its yours

When we closed on our old house it turned out I was an acquaintance with the buyer's husband. He made to comment, "good, if they have a problem we can call you.". Uhm, no. I'm not ongoing product support. I have my own house to deal with. Fortunately they've never called.

 

[bdhsfz6]

Got a text from the guy that bought our old house a bit ago; asking if we wanted to see it after all of his renovations are completed. I guess i appreciate the offer? but I just have trouble with the idea of some continuing relationship. Just seems odd to me, money changed hands, yes we had the mis estimated taxes issue, that was dealt with, but I have no desire to chat with the guy. Guess it boils down too, Its not my house, and I just dont care; remodel it, burn it down, rent it to a Crack head, its yours

My wife and I considered building a small, easy to maintain bungalow on a lot adjacent to our existing home. We decided against it for several of the reasons you mention.

I built our existing house from the ground up myself, and I'm not sure how I would feel about watching a new owner renovate it. That, plus the close proximity might create neighbor tension if future problems occur. An endless stream of questions & complaints as to how and why I built the place could also result.

It's sometimes tough to ignore someone who lives next door. If we do move, it will be somewhere else.

 

[WinterDeere]

Got a text from the guy that bought our old house a bit ago; asking if we wanted to see it after all of his renovations are completed.

You lucked out. Our most recent buyer, my mother's property, tried to sue us over an ice dam gutter/roof issue. We ended up settling out of court, the A-hole is just the "grab what money you can" type, and I don't have the time to waste a day in court arguing with some retiree over stupid little stuff.

I won't be surprised if we hear from him again, when he manages to find himself some new issue to whine about. But thankfully PA law severely limits the time over which he can continue to make such claims.

Just wait until he finds old Claude Musselman.

 

[Sigarms]

Got a text from the guy that bought our old house a bit ago; asking if we wanted to see it after all of his renovations are completed. I guess i appreciate the offer? but I just have trouble with the idea of some continuing relationship. Just seems odd to me, money changed hands, yes we had the mis estimated taxes issue, that was dealt with, but I have no desire to chat with the guy. Guess it boils down too, Its not my house, and I just dont care; remodel it, burn it down, rent it to a Crack head, its yours

Last year we bought a home that a son sold after his mother died. He asked us when we were finished with the house if he and his sister could come over to see it. House isn't finished yet, but no problem on our end.

Now a cousin did stop over to visit unannounced because she saw our car in the driveway and introduced herself, which honestly we thought kind of weird, but at the end of the day, the home was built in 1962, their family was raised there, and their mom passed away about 2 years ago which started the sale of the home and she was giving us her whole family history on the house.

I don't disagree with you about do whatever you want with a home after you buy it, but honestly it seems the buyer of your home are pretty nice decent folk and their giving you an opportunity in their apparent pride on what they've done with your old home. I'd count that more of a blessing vs a PITA.

Honestly, I've talked to a couple of neighbors who stopped by and asked us if they could see what we've done when we're finished. I see it as nothing more than people actually being nice living in a rural area. Below on the house that still isn't finished yet, before and after

When we moved to our home that we're going to be selling, some neighbors had NEVER been invited to the home. We changed that. We're really going to miss our old neighbors when we move 20 minutes down the road, but honestly the people around our new home seem just a neighborly as the road we're leaving.

 

[Sigarms]

It's sometimes tough to ignore someone who lives next door. If we do move, it will be somewhere else.

Funny, I consider myself a anti social butt hole, but when it comes to your neighbors, you've got me beat

Where you live at is pretty important to at least try to get to know your neighbors. Yes, some will be anti social, but some of our friends are our neighbors, and we're yankees living in NC with the road named after the family a couple of houses down LOL

 

[bdhsfz6]

Last year we bought a home that a son sold after his mother died. He asked us when we were finished with the house if he and his sister could come over to see it. House isn't finished yet, but no problem on our end.

Now a cousin did stop over to visit unannounced because she saw our car in the driveway and introduced herself, which honestly we thought kind of weird, but at the end of the day, the home was built in 1962, their family was raised there, and their mom passed away about 2 years ago which started the sale of the home and she was giving us her whole family history on the house.

I don't disagree with you about do whatever you want with a home after you buy it, but honestly it seems the buyer of your home are pretty nice decent folk and their giving you an opportunity in their apparent pride on what they've done with your old home. I'd count that more of a blessing vs a PITA.

Honestly, I've talked to a couple of neighbors who stopped by and asked us if they could see what we've done when we're finished. I see it as nothing more than people actually being nice living in a rural area. Below on the house that still isn't finished yet, before and after

View attachment 5709766

When we moved to our home that we're going to be selling, some neighbors had NEVER been invited to the home. We changed that. We're really going to miss our old neighbors when we move 20 minutes down the road, but honestly the people around our new home seem just a neighborly as the road we're leaving.

I'm glad it worked out for you, but unfortunately this isn't always the case.

A few years ago, we bought undeveloped acreage adjacent to ours. A decade or so earlier, the previous owner had planted a dozen Spruce trees along the property line. They grew nicely to a height of 30' or so and the original owner would visit occasionally even after the sale to admire his handiwork.

Two years ago, a blight killed all but one of the Spruce trees. The original owner is now harassing us because we didn't take care of "his" trees. I feel sorry for the loss, and we did consult the county forester who said there wasn't much that could be done.

There is just no telling how neighbor relations will turn out.

 

[Sigarms]

I'm glad it worked out for you, but unfortunately this isn't always the case.

A few years ago, we bought undeveloped acreage adjacent to ours. A decade or so earlier, the previous owner had planted a dozen Spruce trees along the property line. They grew nicely to a height of 30' or so and the original owner would visit occasionally even after the sale to admire his handiwork.

Two years ago, a blight killed all but one of the Spruce trees. The original owner is now harassing us because we didn't take care of "his" trees. I feel sorry for the loss, and we did consult the county forester who said there wasn't much that could be done.

There is just no telling how neighbor relations will turn out.

In retrospect, I acted in a haste due to a drive for work before I quoted your post, and while driving and thinking about it, my comment directed towards you was completely way out of line.

Reality is we would probably never build next to a home we lived in that we would put up for sale because it's just too easy for the new homeowner to be bugging you with questions after the sale.

You are absolutely correct. You have no idea if you're going to live with someone who has common sense or who is a nut. Although we get along great with most of our neighbors where we have lived, the reality is those with common sense in our opinion kind of agree that we do have some nuts that live on the road

We had a couple at our church that had shown interest in our home that they knew we would be selling, and my wife mentioned she would feel kind of weird about, and giving it some thought, I agreed with her.

 

[ultrarunner]

I’ve revisited property I or family had previously owned…

Often it was during an open house decades later…

My childhood home parents owned 41 years changed hands several times and as we moved when I was age 9 it was like stepping back in time…

I think it has sold 3 times in 20 years since mom sold but some of her handiwork in the garden still exists…

I did a lot of work at my brothers first home and he put together a album showing before and after which I was quite proud of…

I asked to see the album a few years back and he said he gave it to the buyers when he sold saying it was full disclosure…. :-(