All Forum Posts by: Hattie Dizmond

 Hey Mark, wasn't slamming you at all, just trying to acknowledge to Jamie that I had actually read the comments!  So many folks will jump on a thread and act like they are the first person to comment, which puts some of the statements out of context.

As for the $15k cost, it really depends with below slab systems.  If there are indeed multiple points of failure in the system, some of which can't even be identified, because the lines are filled with roots and dirt, it may be necessary to expose the entire system for a visual inspection/replacements.  If you take a look at the picture Rocky posted, you can see the effect of tunneling under the foundation to replace the system and how incredibly labor intensive that would be.  Again, if the entire system has been compromised, replacing the cast iron pipes is the only way to completely remediate the problem.  Anything else would be akin to sticking chewing gum in a damn.

I believe most sleeve type repairs around here are done with an iron sleeve, but I could be wrong. Most of the sectional repairs I've observed on cast iron systems were accomplished by cutting the section out and replacing it. The joints and joinery look a lot like fixtures used for creating conduit from galvanized pipe...at least they do to me.

There are a lot of investors I know - some very successful ones - who will only buy properties on a slab foundation.  This is a perfect example of why I prefer pier & beam, with a crawl space.  Slab has 2 bad (in my opinion) options...1) The pipes are laid under a foot of dirt and 4" - 6" of concrete.  2)  The pipes run through the attic, which has a tendency to rattle, when the hot water is turned on, and is not a pretty situation, when a leak occurs.

Kim...I have cash.  A lot of investors have cash right now.  What everyone, including myself, is lacking are deals.  I probably tell 10 new investors a month, if you have good deals, you don't need an extensive buyer's list. 

So, if you feel you're having trouble finding buyers for the properties you have, post the details in the Marketplace.  But, if your numbers are off, be prepared to get called on the carpet for it.  :)

 As was pointed out, if there has been a partial re-piping of the property, they likely can't.  However, I do expect my inspectors to check the clean outs and the back flow valve at the main.  Unless those have been replaced, it's pretty easy to identify cast iron.  Also, with a lot of older houses, there will be a drain in the floor of the garage...really easy place to check.  

Guess who grew up in a house built in 1949?!  ;-)

Jamie,

The real problem is the cast iron pipes.  They rust and deteriorate, which can make repairs difficult to impossible.  If the pipes have copious amounts of dirt in them, the quote makes sense, because they have little to no way to find all of the leaks.  I'm not sure where @Mark Gallagher came up with $150, because that will cover just the supplies, assuming a sleeve type of repair.  The major cost in almost all plumbing issues is labor.  Busting out sections of the foundation, digging down to the pipe and then doing the repair, covering and rebuilding the foundation are all quite labor intensive.  

Did you not get a home inspection prior to closing?  At the very least the inspector should have told you there were cast iron pipes, which would have raised a flag of concern.

Also, the leak may or may not prevent underwriting.  It would likely depend on the type of financing.  However, you know about the problem, so you would have to disclose it.  Any savvy realtor will advise their client to get a quote and then ask for you to either make the repair or reduce the price.

@Kara Haney

The economies capable of sustaining real growth in NC are seriously concentrated in the Research Triangle and Charlotte, which leave much of the state either depending on tourism or military bases or other niches.  Then, within the Triangle & Charlotte, the economies are so homogeneous.  Charlotte to an absolute beating starting in 2008, because of the banking crisis.  At one point, white collar unemployment in Charlotte was near 20%.  It took forever to begin a serious recovery.  When it did, banks were only offering contract positions to people who had been FTE.  The Triangle is less volatile, for now, but it is still tied to a single industry.  It's my belief that, until the 2 largest areas of industry and population make a concerted effort to diversify their economies, you will not see the type of growth possible for those 2 markets.

And...I was named after my grandmother, but she was from Texas!

DFW posts consistent, if unremarkable appreciation. However, looking at "Dallas" appreciation is incredibly misleading, since a very small portion of the the population actually resides in Dallas. The North Texas MLS covers +12,000 sq miles. The DFW-A MSA is >8,200 sq miles. It is impossible to look at markets this geographically large and with this much diversity and make meaningful statements about anything above the Sub-Market level. 3 specific areas - micro-markets - of Richardson have posted +25% appreciation since Q3 of 2012, topping out last summer at slightly over 30%. However, one of the things that makes Texas so bubble resistant is the fact it is not given to runaway appreciation.

There really is no reason for Texas to experience the kind of appreciation regularly seen in over major markets.  A couple of years ago Texas Monthly published an article about why Texas was "bubble proof".  (I don't believe any market is bubble proof, but I do believe Texas is seriously bubble resistant.)  Experts agreed that the crazy appreciation seen in markets like CA, Miami, Phoenix, Denver, etc. is brought on by the organic - naturally occurring - geographic barriers to development.  Much of CA is stuck between mountains/desert and the ocean.  There is a narrow strip of developable land to build on.  Miami is bound by the sea and the swamp.  Phoenix is surrounded by desert.  Denver?  Well, they have those pesky Rocky Mountains to deal with.  The real population centers in Texas have no such barriers.  The area is mostly flat and easily developed.  There is no reason for property prices to escalate at levels seen in other major markets.

Hey Harland!  Welcome.  Since you're looking for a cooler, hipper area I'm suggesting you reach out to my friend Jeremy Whitaker.  He's a top producer here in Dallas, specializing in the Uptown, West Villiage, Park Cities areas.  But, he was born & raised here, so he's definitely not limited.  He's also on the younger side and uber plugged in, so he will completely get what you're looking for.  As for locations, if you're looking to keep your entry point < $300k, you may be limited in the areas you've mentioned.  But, if anyone can hook you up, I have no doubt it's Jeremy.  PM me, if you want his contact information, or you can just Google him.  He's with Dave Perry Miller.

(I'm not affiliated with the brokerage, nor do I work with or for the realtor.  He's just a friend.)

Post it as a job on Craigslist

Wow.  All of my angry calls come from little old ladies.  Seriously.  Little old ladies threatening to sue me or call the cops and telling me I should be ashamed of myself for trying to scam them.  As I attempt to explain this isn't a scam, and we would indeed like to purchase their house, if we can agree on a price, they become even more irate.  These are the people who refuse to tell me their name or address.

I laugh, when I get off the phone, knowing they're going to get yet another letter.  Then I thank them, in my head, for confirming Jerry Puckett's letters really do get opened!

To quote one of my favorite country songs, "God is great.  Beer is good.  And, people are crazy!"

@Rajiv Nair

You're going to have a really tough time selling non-disclosure of visible damage as a legitimate issue.  Also, the disclosure document is generally geared toward non-cosmetic issues.  And, drywall damage in a garage, which isn't even required by state building codes to be drywalled, would be considered cosmetic.

As for the taxes, how was the contract written? If the contract specifies that the seller is responsible for prorated taxes through closing, they have no choice but to use the current tax assessment for those calculations. The same goes for the HOA. If your contract says they are responsible for any incurred HOA fees, through closing, they must perform. If they fail to perform on either of those, they will be in default on the contract, and you may exit the transaction with your EMD. If you didn't write the contract to make those items the seller's responsibility, then you've learned a lesson and need to get that straight with your agent, before your next purchase.