Just signed on our first house (PICS INSIDE)

[GT1999]

Just got our last counter offer on a property and both the fiancée and I eSigned the contract on a house here in a Chicago burb. It went on the market two days ago, we were the first to see it. One day passes and another offer comes in but they side with us since we offered $100 over closing $225000 instead of $224900. The seller will be giving $3300 towards closing costs, but also raised the price to $228000 which we signed on.

Our Chase loan is now 3.25% FHA fixed with 3.5% down on a 30 year. Total monthly costs with PMI, Mortg ins, and taxes from 5700 year are $1730/mo.

House details: all brick, built in 1953, mostly remodeled, granite in kitchen and SS appliances, dishwasher, stove, etc included. High quality roof left with 10 years left on it and garage. It is only 1000 sq ft but has a fully furnished basement with another 1000 sq ft with a fireplace. It is a 3 bed 2 bath, the bath upstairs is remodeled,but downstairs bath needs major updating. It also has a detached 2 car garage and small yard in back.

Now that the contract is signed I have sent the PDF to my lawyer and lender. I was told we have 5 days for attorney changes so I will be contacting him tomorrow along with setting up a home inspection. Do those usually include mold inspections? Our realtor recommends a radon inspection, how much do those run and should we do it?

I'm also having my lawyer add a clause to the contract that if the FHA appraisal comes in lower that we can back out.

I'm still a nervous wreck. Opinions?

 

[FleshLight]

Pics

 

[IronWing]

Pics

Of house as well.

 

[GT1999]

Pics

No way. Not telling anybody here where I live, lol. It looks very small but with the fully furnished base,ent, 2 car detached garage and yard it was a good deal IMHO and we have been looking for 2 weeks. Nothing like this has come along. Fortunately we nabbed it before anybody else.

 

[FallenHero]

Radon testing isn't crazy expensive, so if they quote 500 its a scam. It will take 2 days to get done though. FHA appraisal backout should be standard, but good call on putting it in.

Inspector wise, I used Mike Lamb. Fantastic guy, no BS and will tell you straight up how to take care of something. He will point out EVERYTHING. I know my realtor said that other realtors don't like him because he points out everything, takes pictures and files everything in the report. He should be able to set you up with Radon detection too.

Try him at http://www.inspection2020.com/

 

[postmortemIA]

No way. Not telling anybody here where I live, lol. It looks very small but with the fully furnished base,ent, 2 car detached garage and yard it was a good deal IMHO and we have been looking for 2 weeks. Nothing like this has come along. Fortunately we nabbed it before anybody else.

2 weeks is awful short time to find right home, but you know better if it has everything you wanted in your price range.
BTW low interest rate means less with FHA loans as the mortgage insurance premium adds about 1% on top of it.

 

[Newbian]

Yay free Ipads.

But still get some pics as we can't tell where you live unless you hold up the mailing address on some mail to it.

 

[Squisher]

Radon testing can be DIY, but it wouldn't hurt to have it documented by an inspector.

All they do is open some sealed canisters and leave them in the area being tested for a few days, then seal them up in plastic bags and send them off to a lab. DIY is less than $100.

Radon mitigation isn't too bad either ~$1000. They dig down under the foundation and put in fans to suck from under the foundation and expel that air outside of the house.

 

[lupi]

sounds expensive for that size.

 

[rh71]

grats... definitely exciting. Had you been looking for a while before stumbling on this new-to-market? That's the only way I'd pick one so quickly. We've bought 2 so far and have come to realize what we can and should settle for (it will rarely if ever be better) vs. just waiting for something better.

btw, unless both buyers were FHA with the same amount down, I don't know why someone would choose another over $100. What's more important is who is more likely to get their loan (because the seller doesn't want to waste time) and that's where the agents disclose what your financial plans as the buyers are to the seller. FHA is very strict, and obviously an all-cash buyer wins every time - 2 ends of the spectrum. Just FYI.

 

[GT1999]

Well, we won over a conventional buyer. The conventional buyer offered less than asking, so they technically offered lower.

As for it being a short time, we have checked out over 20 homes. I also house searched in 09 and looked at 100s then, so I know what to look for.

This house was obviously a good deal because so many people viewed it over 5) and there were already 2 offers after the first day on the market.

 

[rh71]

Radon testing can be DIY, but it wouldn't hurt to have it documented by an inspector.

All they do is open some sealed canisters and leave them in the area being tested for a few days, then seal them up in plastic bags and send them off to a lab. DIY is less than $100.

Radon mitigation isn't too bad either ~$1000. They dig down under the foundation and put in fans to suck from under the foundation and expel that air outside of the house.

if the sellers are still living there I doubt they'd let them leave something there a few days and then you'd have to wait longer for test results. I'd let the inspector do it - these are small costs in the grand scheme of things especially if you are in love with the house. EDIT> didn't expect $500 if that's true... That's the cost of a home inspection itself. How likely is it in the neighborhood? Have you checked city-data.com forums to see what local people say?

This house was obviously a good deal because so many people viewed it over 5) and there were already 2 offers after the first day on the market.

Not saying I don't believe you, but we had 2 offers at our first weekend open house and it ended up taking 42 days to sell to some random guy who came along many weeks later. Some people were just sticklers to their offer (didn't come up) or were playing 2 houses at once.

Good deal = less than comps and/or better condition... everyone will jump on those, especially if every other home being offered is in poor or old condition... best of luck to you.

 

[Doppel]

Good luck.

Don't worry about Radon. I mean, you should test it, but it's not likely that your house is a radioactive pit of death and decay.

$500 is obviously fvckin' NUTS to get that tested. You can buy your own testers with a digital display for less. $130: http://compare.ebay.com/like/280905853234?_lwgsi=y&ltyp=AllFixedPriceItemTypes&var=sbar Not sure how reliable it is, but it's by the same company that made this http://www.amazon.com/Safety-Pro-Se...8&qid=1343388758&sr=8-1&keywords=radon+tester and that one is very well reviewed. This last one says it has a numeric LED screen but I sure don't see it in the pics so wonder if it's a review of the one on ebay actually.

 

[Juddog]

Grats GT! I am closing on a house soon myself, FHA loan, 3.5% down, same as you.

The bank ended up not finishing the "closure to close" until literally 2 days before the cutoff date. The whole thing turned me into a nerve wracked mess.

 

[RearAdmiral]

3.25%? oreery

 

[GT1999]

sounds expensive for that size.

It's a very expensive area. Good schools, close to the city (arguably THE best burb to live in close to the Chicago city limits, and it is in Cook County).

If the appraisal comes in less than we offered, then the seller will have to reduce the price to that. So it's in our favor.

Similar houses in the area actually go for over $250k (comp)

 

[GT1999]

3.25%? oreery

Yeah, good credit on both our parts and FHA giving out credits = low rate

This is why we bought now and locked our rate in yesterday which will be good until after closing.

 

[GT1999]

Radon testing isn't crazy expensive, so if they quote 500 its a scam. It will take 2 days to get done though. FHA appraisal backout should be standard, but good call on putting it in.

Inspector wise, I used Mike Lamb. Fantastic guy, no BS and will tell you straight up how to take care of something. He will point out EVERYTHING. I know my realtor said that other realtors don't like him because he points out everything, takes pictures and files everything in the report. He should be able to set you up with Radon detection too.

Try him at http://www.inspection2020.com/

Thanks for the recommendation. I called him and he seems like a good guy and also it's a good price, unfortunately I'm going to have to call our lender to see if we require an FHA inspection. If we do we may have to go that route.

 

[GT1999]

Okay okay... pics as requested. Yes it looks small, but it's in GREAT shape and like I said this is a very expensive area... so those of you in hick cities, go ahead and think it's overpriced, but it isn't. The pictures do not do the basement justice, there's a full kitchen and bath down there.

 

[GT1999]

More pics:

My future man-cave! 65" LED LCD wallmounted on order

 

[sdifox]

Welcome to house serfdom. Your to do list is really more of a to do bucket.


So, Pepto-Bismol pink?

 

[GT1999]

 

[GT1999]

Welcome to house serfdom. Your to do list is really more of a to do bucket.


So, Pepto-Bismol pink?

We're going to keep it hot pink for the time being, my fiancee has a kid sister who is 5 and loves pink so it'll work out since she loves sleepovers. Once we have a kid, it'll go to whatever color is appropriate for then.

Paint is no big deal at all.

 

[sdifox]

We're going to keep it hot pink for the time being, my fiancee has a kid sister who is 5 and loves pink so it'll work out since she loves sleepovers. Once we have a kid, it'll go to whatever color is appropriate for then.

Paint is no big deal at all.

My mortgage is more than your house :|

 

[slightlyhuman]

hick cities? calm down bro, no one here is biting your style. i like it. the basement sold me.