All Forum Posts by: Phillip Dwyer

@Melanie Thomas I'll be there.  I've been meaning to go for years, and I'm finally pulling the trigger.  It helps that it's in my back yard this year.  

Interestingly enough, in the past week I've closed on two sales where I represented the buyers.  Both buyers (different parties) were moving here from San Francisco Bay Area.  They were both renting and now are homeowners.  The higher rates didn't phase them, because they are still saving a ton compared to renting in SF.  

I've been reading articles and listening to various housing channels about house hold formations slowing recently.  If that trend does continue in a significant way, rents may continue to soften.  

If you were closer to market rents, then this may be more of a coin-flip decision.  It sounds like with some minor improvements, you'll end up getting significantly more rent.  I'd probably go that direction.  

I'll take a contrary view on this one.  If you're asking the types of questions you're asking, I don't believe piling on more debt is a good idea.  Staying put or selling might sound may sound conservative, but that's considerably safer in a shifting market with limited resources.  If you had great credit and better savings, that would be different.  

@Ane Fifita send me the details please.

@Alexander Bowman. Talk to your lender about an escrow hold back of seller funds. See if they will let that fly. Otherwise, look into a FHA 203k loan.

@Diana Robayo Congrats on your purchase!

If you're using a real estate agent to represent you in the transaction, ask the agent for recommendations on good inspectors.  Otherwise, reach out to active agents in the area for recommendations.  

@Alex Hochberger Each market is going to be different.  Each seller has different motivations.  Sometimes even motivated sellers have struggles responding quickly.  When the market is changing like this, some sellers will be worried about not selling and negotiate.  Others still might have the market of 5 months ago in their heads, and will be slow to negotiate.  In my market, inventory is growing relatively quickly, so writing low offers doesn't risk much, because there will likely be plenty of alternatives.  I have noticed more counter offer action as of late, where just a few months ago many offers wouldn't even get a reply.  

What about your real estate agent and property manager?  What do they say about the deal?  I understand that the agent is getting paid only if the deal goes through, but if the agent is smart and wants repeat business the agent will be giving you the best info they can to help you be informed for your decisions.  The PM isn't going to want to take on something with unrealistic expectations, so their input will be good to get.  This all assumes a single family home and not a commercial property transaction.  Even then, you'd be asking for their input.

If you want an unbiased opinion, consider hiring an appraiser.  I did consulting work during the last market correction for investment groups when I was an appraiser.  Make sure you vet them though, not all are experienced with investments, costs of repairs, ect.  

Good luck!