All Forum Posts by: Dave Smart

Quote from @David Krulac:

@Dave Smart I'd say go with is the norm for the area.  In the Northeast basements are common and the frost line is about 4 feet deep, therefore the crawl space wall goes down 4 feet while the basement wall goes down 8 feet or typically less.  Buyers are used to basement storage as well as as finishing basements for additional living space.  I have NEVER finished a basement but have had houses with finished basements done by prior owners.

In the south basements and slabs are the norm as well as areas with high water tables.  At one property in Delaware, we drill a well and hit water at 8 feet, obviously not a good area for a basement.

A third alternative is to build a house on a slab, cheaper than a basement and don't have issues with moisture issues.  Lots of new construction here in PA. is done with slab construction. The $300-$400 starter home here is a townhouse, often with the garage at ground level built on a slab.  Even small lots can have say 4 townhouses if the zoning permits.  

I appreciate the insight and do agree it is best to follow the norm. My thought process was that it is more cost effective to have a crawl space than slab while having the same issues with no storage space, but maybe after all of the efforts to keep the crawl space dry it might be easier to just do a slab

Thank you sir! I appreciate the response, I am aiming for starter homes in the 300-400 range and could add maybe a little bit more square footage, but the storage seems to be an issue in my mind as well. In my area there is a severe shortage of starter homes and if I could build a few on one lot that would make me money the buyer should come, again though crawl spaces are not the norm in the area

I am wondering if building with a crawl space significantly hurts a spec homes value? I spent years as a commercial block layer and can build a crawl space for significantly cheaper than having a concrete company forum and pour a full size basement; I would save both on labor and also in excavation costs. The house would be located in New England and I could potentially increase the living space if I did a crawl space as well, but I just don’t see any homes built like this in my area. Everything would be insulated and I would have a rat slab and heating/ac down there as well. Any insight would be appreciated.

I am in the process of purchasing a homepath property and discovered a pretty significant leak in the oil tank today. I am positive there was not this much oil on the basement floor two weeks ago when I viewed it, and there is another 3/4s of a tank left. By the time I close I am worried I will have a serious issue on my hands. Can anyone give me any advice on how to handle this, as I have another three weeks left until closing. When notified the selling agent said he will put down some quick dry and a bucket, but I believe this needs to be monitored more closely if it is not properly fixed. 

I expect to pay for the tank replacement and clean up, but this is an urgent issue and I am wondering how to resolve it before it gets worse in the next three weeks.

Quote from @Jeremy Horton:

Quote from @Nick Barlow:

@Scott Trench I agree with what @Elbert O. Said-debt levels are much higher today, and government solvency is at Risk if we sustain higher interest rates for a long term.

Not getting too political, but higher costs leads to either default, or a combination of higher taxes and rationalizing social services/entitlements, and reducing the latter is politically damaging.

In my opinion, the Fed has a ceiling on interest rates, and I think we’re getting close to it.

I also think we won’t know that exact number until we’ve passed it, which we will, and they’ll be back to QE by end of year fixing the damage from “over correcting the response to inflation”.

 What makes you think we're close to the ceiling on interest rates? Fed Funds rate is still almost the lowest it's been...ever

Our national debt is most likely by far the highest it’s ever been too. The interest we pay on that debt would be more than the national budget alone if rates keep going up, and if they went to say 20% we are essentially done as a country

As would I

Thank you everyone for the replies, it is all very helpful. Good to know, and also I didn’t even think of rain damage; hurricanes though have been on my mind. And good point Edgar, I need to be very through on my comps, especially since it’s a new area for me.

That’s great, thanks Jeff!

I am a flipper from CT moving to Fort Lauderdale in a week looking to buy property to flip. My concern is: will it be more difficult to find a buyer if the home is not built with block? Many of the distressed homes I find are wooden and have prior termite damage, which I am fine with fixing, but I am wondering if the stigma of termites affecting wooden homes will hurt the number of potential Buyers I may have. Could anyone with knowledge of the Florida market provide any insight on this? My selling point is going to be around 250k, so i will be selling mostly to first time home buyers and lower income buyers. Thank you!

Hi, I am a flipper from Connecticut that will be relocating to the Fort Lauderdale area shortly. I am in the beginning phases of market research in the area and was wondering where people are buying down here? I’m looking for cash deals on distressed single family homes or condos, and also to connect with any other investors in the area. My experience has been flipping two single family homes a year for the past five years, along with being a mason contractor. I look forward to speaking to all of you!