Major Mistake!

Question: I'm in the process of purchasing a home offered for sale by owner. What questions should I ask the seller that will provide me with pertinent information about the property? Also, what questions should I ask that will give me information that most sellers don't want buyers to know?

Answer: This isn't going to work. There are a universe of potential questions and the odds are overwhelming that you will miss one or more -- and maybe pay thousands of dollars in excess costs as a result.

For instance, is the sale subject to a home inspection? Must the inspection be "satisfactory" to you? If the inspection is not satisfactory to you will you get your deposit back if the owner does not make repairs? Must the repairs be satisfactory to you? Can the seller limit repair obligations to a given dollar amount? Are you getting good, marketable and insurable title? How do you know?  Please, get a Realtor before you sign anything.

Great Time to Sell

We haven't seen the market this hot in a long time! Illinois or Indiana.
Combine a nice sales price with historically low interest rates, and you have a great time to buy your Dream Home. Interest rates won't stay this low forever. Life's too short. There is nothing like the excitement of a new Home. Call us. We can help you with that first step.

1. We will tell you what you need to do to get your home ready for sale.
2. We will do a net out report so you know how much you will have to put down on your next home.       This will include a likely sales price and what the expenses will be.
3. We will show you our Marketing plan.
4. We will go over the entire process with you, so you understand everything.
5. We take you step by step and guide you the entire way.
6. We have done this hundreds of times.
7. Once you have the facts, you can think it out and make a decision that is best for you.
8. No pressure. We don't do business that way.

Call or Email us.
Illinois: 708-828-3304.
Indiana: 219-865-4361
Cathyah@aol.com

Good for the Goose, Good for the Gander

Question:  I negotiated the purchase of a condo, downstate from here recently, and closed a about a month ago. Most of the units in the complex are unsold. I happened to be on the Internet the other day and saw that the builder has now reduced the asking price of similar units in the complex by $35,000.

I did not pay full price -- they met my offer by reducing the price about halfway and made up the rest with seller's credits which I took at closing in various ways. Their rationale for this approach was to "keep the comps up" (my official purchase price was just under that of the last buyer -- so there was a pattern of keeping the comps up).

This maybe a silly question -- but I have to ask: Do I have any recourse against them for dealing with me in bad faith? They had to have been planning this huge reduction for a while.

Answer: A builder is simply a seller. Like any seller, the builder wants as much as possible from every sale. You bargained with the builder and obtained a number of concessions. These concessions must have been attractive, otherwise you would never have purchased the unit.

But, markets change. A good deal today may not be so good tomorrow.

To see if you were treated unfairly, let's try the "good for the goose, good for the gander" test. Imagine that the value of the unit soared $50,000 within a month after buying. Would you have gone back to the builder and said, "help me out, I should be paying you more for this unit so let's renegotiate so I can give you more money." Just a guess, but I don't think so.

As to maintaining comps, the builder is right. The builder has multiple units to sell. He or she wants to maintain prices to maximize future sale values and to keep recent buyers happy with their purchase. If roles were reversed you would have the same strategy.